Sanchez v. McKee Foods Corporation
- Valerie Caproni
- 1:20-cv-10185
- U.S. District Court · Southern District of New York
- 2
In Sanchez v. McKee Foods, Judge Caproni dismissed the settled case with prejudice, without costs or fees, and left absent proposed class members unbound.
Christian Sanchez and McKee Foods Corporation were bound by the dismissal; absent proposed class members were not bound by the dismissal or any settlement.
What happened
In Sanchez v. McKee Foods Corporation, Christian Sanchez and McKee Foods Corporation told the court they had reached an agreement in principle resolving all issues. The court canceled scheduled conferences and deadlines.
The court dismissed the case with prejudice and ordered that neither side pay costs or attorneys’ fees. It directed the clerk to end pending motions and close the case, while allowing the parties to seek reopening within 30 days for good cause.
Judge Valerie Caproni also removed the class-action language from the caption. Because the parties had not said they would follow the required class-settlement procedure, the dismissal and any settlement applied only to Sanchez and McKee Foods and did not bind absent proposed class members.
The detailed version
- Sanchez v. McKee Foods Corporation · No. 1:20-cv-10185
- Valerie Caproni
- May 4, 2021
Background
On May 3, 2021, the parties notified the court that they had reached an agreement in principle resolving all issues. Christian Sanchez had brought the case on behalf of himself and others described as similarly situated.
Court’s Order
The court canceled all previously scheduled conferences and other deadlines. It dismissed the case with prejudice and without costs, including attorneys’ fees, to either party. The clerk was directed to terminate all open motions and close the case.
The parties could apply to reopen the case within 30 days, but the application had to show good cause for keeping the case open despite the settlement. The court stated that a request filed after 30 days, or without a showing of good cause, could be denied on that basis alone.
The court also explained how the parties could ask it to retain jurisdiction—that is, continuing authority—to enforce their settlement agreement. Within the same 30-day period, they had to submit the settlement agreement under the court’s individual-practice rule and request an order expressly retaining that authority.
Class-Action Effect
The court directed the clerk to remove the words “individually and on behalf of all others similarly situated” from the caption. Because the parties had not notified the court that they intended to follow the procedure for approving class settlements, the dismissal and any settlement applied only between Sanchez and McKee Foods Corporation. They did not bind absent proposed class members.
Disposition
Judge Valerie Caproni dismissed the case with prejudice, without costs or attorneys’ fees to either party, and closed the case subject to the stated 30-day procedures.
Read the full 2-page opinion on CourtListener, the free public archive maintained by the Free Law Project.