Nieves v. County of San Mateo

Filing 18

Order by Hon. Vince Chhabria granting 17 Stipulation and Request for Approval of Settlement Agreement and Dismissal of Action With Prejudice.(knm, COURT STAFF) (Filed on 5/15/2015)

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JOHN C. BEIERS, COUNTY COUNSEL (SBN 144282)
By: Daniel J. Valim, Deputy (SBN 233061)
Hall of Justice and Records
400 County Center, 6th Floor
Redwood City, CA 94063
Telephone: [phone]
Facsimile: [phone]
E-mail: [e-mail]

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Attorneys for Defendant
COUNTY OF SAN MATEO

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UNITED STATES DISTRICT COURT

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NORTHERN DISTRICT OF CALIFORNIA

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NANCY NIEVES,

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Plaintiff,
vs.
COUNTY OF SAN MATEO,

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Defendant.

Case No. CV 14-05160 VC
STIPULATED REQUEST FOR APPROVAL
OF SETTLEMENT AGREEMENT AND
DISMISSAL OF ACTION WITH
PREJUDICE AND PROPOSED ORDER
THEREON
[LOCAL RULE 7-12]

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Pursuant to Local Rule 7-12, Defendant County of San Mateo (“Defendant”) and Plaintiff, Nancy

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Nieves, (“Plaintiff”) hereby submit the following Stipulated Request for Approval of Settlement

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Agreement and Dismissal of Action with Prejudice.

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1.

As a general proposition, employees may settle or compromise FLSA back wage claims in

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one of two ways. See Lynn’s Food Stores, Inc. v. United States, 679 F.2d 1350, 1352 (11th Cir. 1982).

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First, pursuant to FLSA Section 216(c), the Department of Labor may approve such a settlement. See id.

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at 1353. Second, if the employee files a private civil action under the FLSA, a district court may enter a

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stipulated judgment “after scrutinizing the settlement for fairness.” Id.

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determine whether the settlement is a “fair and reasonable resolution of a bona fide dispute” of the

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claims. Id. at 1355.

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2.

In doing so, the Court must

The parties, each of whom has been represented by counsel throughout this Action, Nieves

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v. County of San Mateo Case No. CV 14-05160 JCS (“Action”), wish to avoid the uncertainty, expense

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and delay of litigation.

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Case No. CV 14-05160 VC

STIPULATED REQUEST FOR APPROVAL OF SETTLEMENT AGREEMENT AND
DISMISSAL OF ACTION WITH PREJUDICE

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3.

The parties seek court approval of the Settlement Agreement (attached as Exhibit 1)

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(“Settlement Agreement”) reached in this private civil Action filed by a single individual pursuant to the

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FLSA. The settlement is a reasonable compromise of Plaintiff’s claims and the Court may approve the

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settlement to promote the policy of encouraging settlement of litigation. See Lynn’s Food Stores, 679

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F.2d at 1354(11th Cir. 1982).

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4.

Plaintiff was employed as a social worker for the County’s Human Services Agency,

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Child and Family Services Division. For over three years she worked a weekend on-call shift from

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Friday evening to Monday morning. Plaintiff was scheduled to work in the office for 8 hours and spend

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54 hours on call each weekend. For this mixed schedule of office hours and on-call hours, Plaintiff was

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paid for the equivalent of 40 hours per week at the regular social worker pay rate. Plaintiff’s Complaint

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asserted she was a misclassified non-exempt employee who, while on-call, received enough calls to

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convert her entire amount of on-call time to hours worked. Plaintiff’s Complaint asserted this resulted in

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an underpayment of 24 hours of overtime each week, except in those weeks in which she took leave such

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as vacation or sick leave. In the alternative, Plaintiff contends the the amount of calls she received while

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in an on-call status caused her to actually work beyond 40 hours per week without receiving overtime

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pay.

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5.

The parties are in dispute as to whether or not Plaintiff was exempt from the FLSA as a

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learned professional, executive, and/or a highly compensated employee. The parties are also in dispute

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as to whether or not the conditions of her on-call time were sufficiently restrictive that all of her on-call

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hours should count towards overtime under the FLSA.

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not Plaintiff actually worked in excess of 40 hours per week for each individual week over the period for

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which she seeks relief. The parties are also in dispute as to the amount of the regular rate of pay at issue.

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The parties are also in dispute as to whether or not any violation of the FLSA, if one occurred, was

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willful or in good faith and thus the parties are in dispute over the application of liquidated damages

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and/or the application of a third year for purposes of the statute of limitations. The parties agree there is

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a bona fide dispute as to each of these issues.

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6.

The parties are also in dispute as to whether or

Given these bona fide disputes, the parties believe the settlement figures agreed to in

Section 1(a) and (b) of the attached Settlement Agreement are a fair and reasonable resolution. The
Case No. CV 14-05160 VC

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STIPULATED REQUEST FOR APPROVAL OF SETTLEMENT AGREEMENT AND
DISMISSAL OF ACTION WITH PREJUDICE

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settlement figures were reached after the parties engaged in internal analysis, informal discovery and

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settlement discussions. Although disputed by Defendant, Plaintiff estimated her potential back pay and

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liquidated damages recovery could have been roughly $300,000 if successful on all counts. Based on the

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discovery efforts, the negotiations between counsel and the bona fide disputes regarding liability and

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damages, the parties agree the settlement figures reached are a fair and reasonable resolution.

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If successful, Plaintiff also may have been entitled to reasonable attorneys’ fees and costs,

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which, had this matter proceeded to trial, Plaintiff’s counsel estimates the fees could have exceeded

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$300,000. The parties have also settled the claim for attorneys’ fees and costs for the figure agreed to in

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Section 1(c) of the attached Settlement Agreement. However, the Court is only required to approve the

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settlement of the unpaid wages in a single plaintiff action under the FLSA. See Lynn’s Food Stores, 679

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F.2d at 1353 (11th Cir. 1982).

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8.

The parties present the Court with this Stipulated Request for Approval of Settlement

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Agreement and Dismissal of Action with Prejudice in order to obtain the entry of a stipulated judgment

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approving the settlement and dismissing the matter with prejudice. By entering into this stipulation and

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requesting Court approval, the parties do not seek any findings or determination regarding the

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Defendant’s alleged violation of the FLSA. The parties have expressly agreed in the Settlement

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Agreement that this is a “no fault” settlement and that nothing contained in the Settlement Agreement is

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an admission of liability or wrongdoing by any party.

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9.

Plaintiff has acknowledged that she read and understood the Settlement Agreement and

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that she agreed to its terms and signed the Settlement Agreement voluntarily and without coercion.

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Plaintiff further acknowledged that the release and waiver Plaintiff made in the Settlement Agreement

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was knowing, conscious and with full appreciation that Plaintiff is forever foreclosed from pursuing any

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of the rights or claims so released or waived.

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10.

The parties ask that the Court reserve jurisdiction with respect to this matter for the sole

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purpose of enforcing, if necessary, any dispute regarding the Settlement Agreement. The parties make

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this request in the interest of judicial efficiency. Rather than filing a request for Court approval of the

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settlement, then making payment of the settlement amount, and then filing another request for dismissal

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of the Action, the parties seek approval and dismissal at the same time. The parties do not anticipate

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Case No. CV 14-05160 VC

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STIPULATED REQUEST FOR APPROVAL OF SETTLEMENT AGREEMENT AND
DISMISSAL OF ACTION WITH PREJUDICE

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there will be any issues with regards to payment of the settlement amount and, if this Stipulated Request

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for Approval of Settlement Agreement and Dismissal of Action with Prejudice is granted, it will almost

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certainly be the last the Court hears from the parties on this matter.

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Agreement and enter the Stipulation and Order:

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The parties jointly request the Court approve the terms and conditions of the Settlement

IT IS THEREFORE STIPULATED, by and between the parties, through their respective counsel,
that:
1. The Settlement Agreement, which is incorporated herein by reference, is a fair and reasonable
resolution of the bona fide disputes in this matter and the Court should therefore approve the
Settlement Agreement;
2. The Court should reserve jurisdiction solely for any disputes regarding the enforcement of the
Settlement Agreement;
3. The Court should not make any findings or determination regarding the Defendant’s alleged
violation of the FLSA; and
4. Upon the Court’s approval of the Settlement Agreement, the court should enter the stipulated
judgment and dismiss this Action with prejudice.
Dated: May 8, 2015.

JOHN C. BEIERS, COUNTY COUNSEL

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By:_____________/s/___________________
Daniel J. Valim, Deputy
Attorneys for Defendant
COUNTY OF SAN MATEO

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Dated: May 8, 2015.

JASON M. ELRICH,
MCCORMACK & ELRICH, LLP

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By:__________/s/________________________
Jason M. Elrich, Esq.
Attorneys for Plaintiff
ERNEST BENDAR

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Case No. CV 14-05160 VC

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STIPULATED REQUEST FOR APPROVAL OF SETTLEMENT AGREEMENT AND
DISMISSAL OF ACTION WITH PREJUDICE

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PROPOSED ORDER
The Court has reviewed the Settlement Agreement and the Stipulated Request for Approval of

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Settlement Agreement and Dismissal of Action with Prejudice. Based upon a review of the record, and

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good cause appearing, IT IS HEREBY ORDERED, ADJUDGED AND DECREED as follows:

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1. The Settlement Agreement, which is incorporated herein by reference, is a fair and reasonable

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resolution of the bona fide disputes in this matter and the Court approves of the Settlement

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Agreement and the terms and conditions therein;

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2. The Court reserves jurisdiction of this Action, if necessary, solely for any disputes regarding
the enforcement of the Settlement Agreement;
3. The Court has made no findings or determination regarding the Defendant’s alleged violation
of the FLSA; and
4. The stipulated judgment is entered and the Action is hereby dismissed with prejudice.

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May 14, 2015
Dated: __________________.

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___________________________________
VINCE CHHABRIA
UNITED STATES DISTRICT JUDGE

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Case No. CV 14-05160 VC

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STIPULATED REQUEST FOR APPROVAL OF SETTLEMENT AGREEMENT AND
DISMISSAL OF ACTION WITH PREJUDICE