Zavala v. Top Shelf Electric Corp.

Background

The plaintiffs brought an action under the Fair Labor Standards Act (FLSA) and the New York Labor Law (NYLL). On February 2, 2023, the parties submitted a proposed settlement agreement and a supporting letter.

Proposed Settlement

Under the proposed agreement, the defendants would pay $33,648.53 to the plaintiffs and $16,351.47 in attorneys’ fees and costs to Kakalec Law PLLC, the plaintiffs’ attorneys. The agreement allocated one-third of the settlement amount, after costs, to plaintiffs’ counsel as attorneys’ fees.

The court stated that the overall settlement amount was substantively reasonable but found the original release clause too broad because it covered “including but not limited to, any and all claims” asserted in the case. The parties submitted a revised agreement on February 21, 2023. The revised release clause expressly limited the released claims to “those claims raised in the Action.”

Ruling

After reviewing the revised agreement, the court found that it was reached through procedurally fair means and was fair and reasonable under the standard for reviewing FLSA settlements. The court approved the agreement and directed the Clerk of Court to close the case.

Effect

The order approved the parties’ settlement and ended the case on the court’s docket. The opinion does not provide further information about the individual plaintiffs identified by “et al.”