Ortega v. Fake Bake LLC

Background

On July 22, 2022, the parties notified the court that they had reached an agreement in principle resolving all issues. The opinion does not provide the settlement’s terms.

Rulings

The court ordered that all previously scheduled conferences and other deadlines be canceled. 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. Any such application had to show good cause for keeping the case open despite the settlement and had to be filed within that 30-day period. The order also stated that a request filed late or without a showing of good cause could be denied solely on that basis.

If the parties wanted the court to retain authority to enforce their settlement agreement, they had to submit the agreement and request an order expressly retaining that authority within the same 30-day period.

Putative Class Claims

The court directed the clerk to remove the caption language stating that Juan Ortega sued individually and on behalf of all others similarly situated. Because the parties had not notified the court that they intended to follow Federal Rule of Civil Procedure 23(e), which governs certain settlements and dismissals involving class claims, the dismissal and any settlement operated only between Ortega and Fake Bake LLC. They did not bind absent putative class members.

Classification

This is a procedural order because the court dismissed the case following the parties’ settlement agreement in principle rather than deciding the underlying claims on their merits.