Uribe v. Prestige Car Care of NY Inc.
- Lorna Schofield
- 1:23-cv-01853
- U.S. District Court · Southern District of New York
- 3
In Uribe v. Prestige Car Care of NY Inc., Judge Schofield approved the wage-settlement, awarded counsel fees and costs, and closed the case.
The plaintiffs will receive the remainder of the approved settlement after $6,328.00 in attorney’s fees and $1,016.00 in filing and service costs are paid to their counsel. The case was closed after the settlement was approved.
What happened
In Uribe v. Prestige Car Care of NY Inc., the parties submitted a settlement agreement resolving the plaintiffs’ wage claims. The court found the agreement fair and reasonable based on the claims, litigation risks, and expected expenses.
After fees and costs, the plaintiffs will receive $12,656.00. The court noted that this was about 36% of the plaintiffs’ estimated maximum trial damages and about 72% of their alleged unpaid overtime wages. The settlement resulted from negotiations by experienced lawyers with help from the court’s mediation program, and the court found no indication of fraud or collusion.
Judge Schofield approved the settlement, granted plaintiffs’ counsel $6,328.00 in fees and $1,016.00 in filing and service costs, directed that the remaining settlement funds be distributed to the plaintiffs, and directed the Clerk of Court to close the case.
The detailed version
- Uribe v. Prestige Car Care of NY Inc. · No. 1:23-cv-01853
- Lorna Schofield
- Aug. 9, 2023
Background
The parties filed a joint letter and settlement agreement on August 9, 2023. The opinion identifies the dispute as involving claims under the Fair Labor Standards Act, the federal wage-and-hour law. The agreement included time records and a breakdown of plaintiffs’ counsel’s requested fees.
Settlement approval
The court approved the settlement as fair and reasonable. It explained that federal courts in the Second Circuit must review and approve private settlements of Fair Labor Standards Act claims when the parties seek to dismiss those claims with prejudice under Federal Rule of Civil Procedure 41.
After attorney’s fees and costs, the plaintiffs will receive $12,656.00. The court stated that this amount is approximately 36% of the maximum total damages the plaintiffs estimated they could recover at trial and approximately 72% of their alleged unpaid overtime wages. The court found these percentages consistent with early settlements in the district, where the plaintiffs’ chances of recovering at trial were uncertain.
The court also found that the settlement resulted from arms-length negotiations by experienced counsel, facilitated by the court’s mediation program. It found no indication of fraud or collusion and determined that the agreement did not improperly release claims unrelated to wage-and-hour issues.
Attorney’s fees and costs
The court granted plaintiffs’ counsel $6,328.00 in fees, excluding costs. The requested amount was substantially below the lodestar, which the court defined as the reasonable hourly rate multiplied by the reasonable number of hours required for the case. Counsel submitted contemporaneous billing records, and the court considered the requested hourly rate and the work performed.
The court also granted plaintiffs’ counsel $1,016.00 for filing and service fees, finding those costs reasonable. The remainder of the settlement was to be distributed to the plaintiffs.
Disposition
Judge Schofield approved the settlement, granted the fee request, granted the filing-and-service-cost request, directed distribution of the remaining settlement to the plaintiffs, and directed the Clerk of Court to close the case.
Read the full 3-page opinion on CourtListener, the free public archive maintained by the Free Law Project.