Deas v. Alba Carting & Demolition, Inc

Background

Melvin Deas brought this action individually and on behalf of other similarly situated laborers against Alba Carting & Demolition Inc., Alba Services Inc., and Andrew Horan. The matter concerned wage-and-hour claims under New York law and the Fair Labor Standards Act. The settlement covered Deas, thirty participating opt-in plaintiffs, and a New York settlement class.

The court held a fairness hearing on March 2, 2021, after granting preliminary approval and directing notice to the class. The court found that the notice was valid, sufficient, and the best notice practicable under the circumstances. Of 311 people who were mailed notices, none opted out and none objected.

Settlement Classes

The court granted final certification to two settlement classes:

- Under 29 U.S.C. § 216(b), current and former laborers who worked for the defendants at any point from May 24, 2011, through September 11, 2020, and who submitted a claim form or signed the settlement agreement to opt into the action. - Under Federal Rule of Civil Procedure 23(a) and (b)(3), current and former laborers who worked for the defendants in New York at any point from May 24, 2011, through September 11, 2020.

Court’s Findings

The court found that the parties had conducted sufficient investigation and exchanged enough information to evaluate the claims, defenses, and settlement. It also found that the settlement was fair, reasonable, adequate, and in the best interests of the settlement classes. The court considered disputed factual and legal issues, litigation risks, possible motions, trial and appeal, the expected duration of continued litigation, and uncertainties related to the COVID-19 pandemic.

The settlement provided for a maximum gross settlement fund of $1,500,000, with $909,773.90 available as the net settlement amount for class members. Fifty-four participating class members were to receive checks calculated under the settlement’s allocation formula. The settlement also provided $65,000 in service awards, $500,000 in attorneys’ fees, $11,317.22 in counsel’s expenses, and $13,905 in settlement-administration fees.

Ruling and Disposition

The court granted the motion for final approval of the class and collective action settlement, service awards, attorneys’ fees and expenses, and entry of final judgment. It approved the settlement and directed the parties to comply with its terms. Defendants were ordered to fund $700,000 by March 31, 2021, followed by additional payments in $50,000 increments every thirty days until the amounts owed under the settlement were fully paid, along with applicable employer-side payroll taxes.

The court approved the $65,000 in service awards, including $15,000 for Melvin Deas and awards ranging from $5,000 to $7,500 for eight opt-in plaintiffs. It granted class counsel’s requests for $500,000 in attorneys’ fees and $11,317.22 in costs and expenses. The court also ordered payment of the settlement administrator’s $13,905 fee.

Class members who received notice released the defendants from New York Labor Law wage-and-hour claims asserted or that could have been asserted in the lawsuit. Participating claimants also released the defendants from the related Fair Labor Standards Act wage-and-hour claims. The settlement was not an admission of liability, fault, wrongdoing, or the truth of the allegations.

The court dismissed all claims against the defendants with prejudice, directed the Clerk to close the case, and retained exclusive and continuing jurisdiction over the settlement’s interpretation, implementation, enforcement, administration, and distribution. Final judgment was entered under Federal Rules of Civil Procedure 54 and 58.