Plumitallo v. Unum Group

Background

The court stated that the parties had reported reaching a settlement in a case brought by Stephen Plumitallo, individually and on behalf of others similarly situated, against Unum Group. The settlement included claims under the Fair Labor Standards Act, a federal law governing certain wage and hour rights.

Court’s Instructions

The court explained that, under the Second Circuit’s decision in Cheeks v. Freeport Pancake House, Inc., parties generally cannot dismiss Fair Labor Standards Act claims with prejudice—that is, in a way that bars refiling—through the ordinary voluntary-dismissal procedure in Federal Rule of Civil Procedure 41(a)(1)(A). To dismiss those claims with prejudice, the parties must seek court approval under Rule 41(a)(2).

The court directed the parties first to discuss whether they would consent to having all further proceedings conducted by the assigned magistrate judge. If both sides consented, they were required to file the specified consent form by May 30, 2022. If either side declined, the parties were required to notify the court by that date without identifying the party that withheld consent. The order stated that withholding consent would have no negative consequences.

If the parties did not consent to magistrate-judge proceedings, they were directed to file a joint motion by June 6, 2022 explaining why the settlement was fair and should be approved. The motion had to address the factors described in Wolinsky v. Scholastic Inc. and include the settlement agreement. The court stated that it would not approve settlement agreements containing confidentiality provisions and would not allow settlement-related materials to be filed under seal without a specific showing overcoming the presumption of public access. If the settlement included attorney’s fees, the parties also had to address whether the fees were reasonable and provide detailed attorney time records.

Other Resolution Options

The court also described a procedure for dismissing the Fair Labor Standards Act claims without prejudice, meaning the claims would not be barred from being filed again. Under the Second Circuit’s decision in Samake v. Thunder Lube, Inc., the parties could use that procedure only if the dismissal was without prejudice and they certified that there had been no settlement of Fair Labor Standards Act claims. If they could not make that certification, they had to seek court review of the settlement. Any such stipulation and certification was due May 30, 2022.

Finally, the court explained that the parties could resolve the case through an offer and acceptance of judgment under Federal Rule of Civil Procedure 68. Relying on the Second Circuit’s decision in Met Xing Yu v. Hasaki Restaurant, Inc., the court stated that court approval was not required for a Rule 68 offer of judgment involving Fair Labor Standards Act claims. The parties were directed to submit the executed offer and acceptance, along with a proposed judgment, by May 30, 2022 if they chose that option.

Disposition

Judge Gregory H. Woods ordered the parties to proceed under one of the three described alternatives. The order did not approve the settlement, dismiss the claims, or enter judgment.