Garcia v. Sal 79 Associates, Inc.
- John Cronan
- 1:19-cv-01301
- U.S. District Court · Southern District of New York
- 3
In Garcia v. Sal 79 Associates, Inc., Judge Cronan entered a $90,000 judgment after defendants defaulted on an approved settlement.
The five plaintiffs received a $90,000 judgment, including attorney’s fees and costs, against SAL 79 Associates, Inc., Salvatore’s Corp., and Salvatore Coppola jointly and severally, plus post-judgment interest.
What happened
In Garcia v. Sal 79 Associates, Inc., the plaintiffs brought a Fair Labor Standards Act case against SAL 79 Associates, Inc., Salvatore’s Corp., and Salvatore Coppola. The parties reached a settlement covering all claims, and the court approved it on December 16, 2021.
The defendants were required to make eight settlement payments totaling $90,000, but they made no payments and did not correct the default. Under the settlement agreement and confession of judgment, the plaintiffs sought the full $90,000.
Judge John P. Cronan entered judgment for the five plaintiffs against all three defendants jointly and individually for $90,000, including attorney’s fees and costs, plus post-judgment interest until the judgment is paid.
The detailed version
- Garcia v. Sal 79 Associates, Inc. · No. 1:19-cv-01301
- John Cronan
- Dec. 15, 2022
Background
The five plaintiffs—Julio Tellez Garcia, Julio Cesar Garcia, Carlos Tapia, Cesar Tello Vargas, and Julio Cesar Gandarilla—filed a collective action under the Fair Labor Standards Act against SAL 79 Associates, Inc. doing business as Coppola’s West, Salvatore’s Corp. doing business as Coppola’s East, and Salvatore Coppola individually.
The parties reported reaching a settlement in principle on November 12, 2021. They submitted a motion for court approval and a signed settlement agreement on December 15, 2021. The court approved the agreement and found its terms fair on December 16, 2021.
Settlement Default
The agreement required the defendants to pay $90,000 in eight installments, including attorney’s fees and costs: an initial $20,000 payment, six payments of $10,500, and a final payment of $7,000. The first payment was due within 60 days after court approval, and later payments followed at 90-day intervals.
The defendants did not make any required payment. The judgment states that they failed to correct their default and that the full $90,000 remained due. Under the settlement agreement and an accompanying confession of judgment, the defendants agreed that a payment default would make them indebted to the plaintiffs for $90,000, reduced by any amounts previously paid.
Ruling
On the plaintiffs’ motion, the court entered judgment for the five plaintiffs against SAL 79 Associates, Inc., Salvatore’s Corp., and Salvatore Coppola jointly and severally. The judgment amount is $90,000, inclusive of attorney’s fees and costs arising from the defendants’ default under the settlement agreement. The judgment also includes post-judgment interest under 28 U.S.C. § 1961 from the date of entry until payment.
Read the full 3-page opinion on CourtListener, the free public archive maintained by the Free Law Project.