Marquez de la Cruz v. Estrellita Poblana, Inc.
- Gabriel Gorenstein
- 1:20-cv-05437
- U.S. District Court · Southern District of New York
- 1
In Marquez de la Cruz v. Estrellita Poblana, Judge Gorenstein ordered the parties to explain why their Fair Labor Standards Act settlement is fair and reasonable.
The plaintiffs and defendants in the case, and their attorneys, were required to prepare and file the joint letter or motion and supporting materials.
What happened
Marquez de la Cruz v. Estrellita Poblana, Inc. involves one or more claims under the Fair Labor Standards Act. The court required the parties to address whether their settlement is fair and reasonable.
By August 6, 2021, the parties had to file a joint letter or motion discussing the claims and defenses, possible damages, the strengths and weaknesses of each side’s case, the settlement negotiations, and other relevant factors. They also had to disclose the fee arrangement, provide the retainer agreement and information about fees spent, and attach the settlement agreement.
The order required these submissions under the review process described in Cheeks v. Freeport Pancake House, Inc.; it did not approve or reject the settlement in this order. Judge Gabriel W. Gorenstein issued the order on July 8, 2021.
The detailed version
- Marquez de la Cruz v. Estrellita Poblana, Inc. · No. 1:20-cv-05437
- Gabriel Gorenstein
- July 8, 2021
Background
The case contains one or more claims under the Fair Labor Standards Act. The order states that the parties have reached a settlement that must be addressed through a joint filing concerning whether the settlement is fair and reasonable.
Required filing
The parties were ordered to file a joint letter or motion by August 6, 2021. The filing had to address:
- the claims and defenses; - the defendants’ potential monetary exposure and the bases for calculating it; - the strengths and weaknesses of the plaintiffs’ claims and the defendants’ defenses; - any other factors explaining a difference between the potential value of the claims and the settlement amount; - the litigation and negotiation process; and - other issues relevant to whether the settlement is reasonable, including whether a judgment would be collectible if the case went to trial.
The parties also had to disclose the attorney-fee arrangement, attach the retainer agreement, provide information about the actual attorney fees expended, and attach the settlement agreement itself.
Ruling
The court ordered the joint letter or motion and the required supporting materials under the settlement-review requirements discussed in Cheeks v. Freeport Pancake House, Inc., 796 F.3d 199 (2d Cir. 2015). This order required information for review; it did not state that the court approved or rejected the settlement. Judge Gabriel W. Gorenstein signed the order on July 8, 2021.
Read the full 1-page opinion on CourtListener, the free public archive maintained by the Free Law Project.