Geng v. Shu Han Ju Restaurant II Corp

Background

Lijun Geng brought this action for damages under the Fair Labor Standards Act, a federal wage-and-hour law, and the New York Labor Law. He sued on behalf of himself and others similarly situated. The defendants included Shu Han Ju Restaurant II Corp., doing business as Hui Fu Chinese Cuisine and Shu Han Ju, along with other defendants listed in the caption.

Settlement Review

The parties submitted a joint request for approval of their settlement agreement, along with a fully executed copy. Federal courts must review settlements in Fair Labor Standards Act cases to determine whether they are fair and reasonable, resulted from arm’s-length negotiations, and do not reflect employer overreaching.

The court had assisted with mediation and reviewed the settlement agreement and the parties’ letter. It considered, among other things, earlier proceedings, the risks, burdens, and costs of continuing the case, the possible recovery, whether the agreement resulted from arm’s-length bargaining between experienced counsel or parties, attorneys’ fees, and the possibility of fraud or collusion. The court also noted that the agreement had no confidentiality restrictions or non-disparagement provisions, included a mutual general release, and provided for attorneys’ fees within a fair, reasonable, and acceptable range.

Ruling

The court found the settlement agreement fair and reasonable and approved it. Because the case was resolved by settlement, the court dismissed and discontinued it in its entirety, with prejudice, without costs or fees to any party except as provided in the settlement agreement. The court directed the Clerk of Court to terminate all motions and deadlines and close the case.