Mendez v. R+L Carriers, Inc. et al

Filing 90

ORDER by Judge Claudia Wilken FOR 84 PRELIMINARY APPROVAL OF CLASS ACTION SETTLEMENT, SETTING OF A FINAL APPROVAL HEARING AND APPROVAL OF NOTICE TO THE CLASS. (ndr, COURT STAFF) (Filed on 12/23/2013)

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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF CALIFORNIA

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ROBERT MENDEZ, an individual, )
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RANDY J. MARTINEZ, an
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individual, ANTHONY A.
HARANG, an individual, KEVIN )
JOHNSON, SR., an individual on )
behalf of all others similarly situated )
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and the general public,
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Plaintiffs,
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vs.
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R+L CARRIERS, Inc., a
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Corporation, R&L CARRIERS
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SHARED SERVICES, LLC, a
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Corporation, and DOES 1-10,
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Defendants.
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Case No. CV 11-02478 CW
Assigned to the Hon. Claudia Wilken
Courtroom 2
Filed: May 20, 2011
ORDER FOR PRELIMINARY
APPROVAL OF CLASS ACTION
SETTLEMENT, SETTING OF A
FINAL APPROVAL HEARING
AND APPROVAL OF NOTICE TO
THE CLASS

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ORDER FOR PRELIMINARY APPROVAL OF CLASS ACTION
SETTLEMENT
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The Court, having fully reviewed the Class Representatives’ Motion for

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Preliminary Approval of Class Action Settlement and all supporting documents

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HEREBY MAKES THE FOLLOWING DETERMINATIONS AND ORDERS:

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1.

The Court finds, on a preliminary basis, that the Final Settlement Agreement

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appears to be within the range of reasonableness of a settlement which could

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ultimately be given final approval by this Court; the Court notes that Defendants

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R+L CARRIERS, Inc. and R&L CARRIERS SHARED SERVICES, LLC have

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agreed to pay the entire Settlement Amount of $9,500,000, plus the employer’s

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share of payroll taxes, to the Class Members, Class Representatives, Class Counsel,

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the Claims Administrator, and the State of California Labor Workforce and

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Development Agency, in full satisfaction of the claims as more specifically

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described in the Final Settlement Agreement;

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It further appears to the Court, on a preliminary basis, that the settlement is

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fair and reasonable to Class Members when balanced against the probable outcome

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of further litigation, liability and damages issues, and potential appeals of rulings.

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It further appears that significant formal and informal discovery, investigation,

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research, and litigation has been conducted such that counsel for the Parties at this

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time are able to reasonably evaluate their respective positions. It further appears

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that settlement at this time will avoid substantial costs, delay and risks that would

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be presented by the further prosecution of the litigation. It also appears that the

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proposed Settlement has been reached as the result of intensive, informed and

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non-collusive negotiations between the Parties;

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ACCORDINGLY, GOOD CAUSE APPEARING, THE MOTION FOR
ORDER OF PRELIMINARY APPROVAL OF CLASS ACTION SETTLEMENT
ORDER FOR PRELIMINARY APPROVAL OF CLASS ACTION
SETTLEMENT
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IS HEREBY GRANTED.

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2.

The Court finds that the Notice of Proposed Class Action Settlement and

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Exclusion Form fully advises Class Members of the proposed settlement, of

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preliminary Court approval of the proposed Settlement, exclusion timing and

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procedures, dispute resolution procedures, and of the Final Approval Hearing.

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These documents fairly and adequately advise Class Members of the terms of the

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proposed Settlement and the benefits available to Class Members thereunder, as

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well as their right to exclude themselves from the Class and procedures for doing

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so, and of the Final Approval Hearing and the right of Class Members to file

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documentation in objection and to appear in connection with said hearing; the

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Court further finds that said Notice clearly comports with all constitutional

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requirements including those of due process;

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ACCORDINGLY, GOOD CAUSE APPEARING, THE COURT HEREBY

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APPROVES THE PROPOSED NOTICE OF PROPOSED CLASS ACTION

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SETTLEMENT;

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3.

The mailing to the present and last known addresses of the Class Members

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constitutes an effective method of notifying Class Members of their rights with

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respect to the Settlement; ACCORDINGLY, IT IS HEREBY ORDERED as

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follows:

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(a)

On or before December 27, 2013 Defendants shall forward to the

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appointed Claims Administrator, Rust Consulting, Inc., a database (in an electronic

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spreadsheet format) of all Class Members, including the names, last known

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addresses, telephone numbers, dates of employment, social security numbers, and
ORDER FOR PRELIMINARY APPROVAL OF CLASS ACTION
SETTLEMENT
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respective total weeks worked during the Class Period (May 20, 2007 through

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December 23, 2013;

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(b)

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On or before January 2, 2014, the Claims Administrator, Rust

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Consulting, Inc., shall mail to each member of the Settlement Class, by first class,

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postage pre-paid, the Notice of Class Action Settlement, Exclusion Form, and a

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postage-paid envelope addressed to the Claims Administrator. All mailings shall

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be made to the present and/or last known mailing address of the Class Members

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based on Defendants’ records, as well as addresses that may be located by the

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Claims Administrator, who will conduct standard address searches in cases of

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returned mail. The Court finds that the mailing of notices to Class Members as set

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forth in this paragraph is the best means practicable by which to reach Class

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Members and is reasonable and adequate pursuant to all constitutional and

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statutory requirements including all due process requirements;

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(c)

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On or before January 16, 2014, Defendants will provide confirmation

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that they have provided notice to all appropriate Federal and State officials

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pursuant to 28 U.S.C. § 1715.

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4.

IT IS FURTHER ORDERED that all:
(a)

Requests for Exclusion must be mailed to the Claims Administrator,

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postmarked on or before February 3, 2014, excepting Class Members who had

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Notice Packets remailed, who shall have until February 18, 2014;

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(b)

Objections must be filed with the Court as described in the Class

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Notice and also served on Class Counsel and on Defense Counsel on or before

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February 3, 2014, excepting Class Members who had Notice Packets remailed,

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who shall have until February 18, 2014;
ORDER FOR PRELIMINARY APPROVAL OF CLASS ACTION
SETTLEMENT
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5.

IT IS FURTHER ORDERED that the Final Approval Hearing shall be held

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before the undersigned at 2:00 p.m. on March 6, 2014; at the above-entitled court

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located at 1301 Clay Street, Oakland, California, 94612 to consider the fairness,

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adequacy and reasonableness of the proposed Settlement preliminarily approved by

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this Order of Preliminary Approval, and to consider the application of Class

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Counsel for an award of reasonable attorneys’ fees, litigation expenses, Class

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Representative Service Payments, and for costs of claims administration incurred;

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6.

IT IS FURTHER ORDERED that the motion for final approval of the

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Settlement shall be served and filed with the Court on or before February 6, 2014;

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the motion for attorneys’ fees and costs shall be filed on or before January 10,

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2014.

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7.

IT IS FURTHER ORDERED that pending final determination of whether

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this proposed Settlement should be granted final approval, no Class Member, either

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directly or representatively, or in any other capacity, shall commence or prosecute

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any action or proceeding asserting any of the Class Members’ Released Claims, as

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defined in the Settlement Agreement, against Defendants in any court or tribunal;

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8.

IT IS FURTHER ORDERED that any party to this case, including Class

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Members, may appear at the Final Approval Hearing in person or by counsel, and

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may be heard to the extent allowed by the Court, in support of or in opposition to,

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the Court’s determination of the good faith, fairness, reasonableness and adequacy

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of the proposed Settlement, the requested attorneys’ fees and litigation expenses,

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and any Order of Final Approval and Judgment regarding such Settlement, fees

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and expenses; provided, however, that no person, except Class Counsel and

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counsel for Defendants, shall be heard in opposition to such matters unless such
ORDER FOR PRELIMINARY APPROVAL OF CLASS ACTION
SETTLEMENT
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person has complied with the conditions set forth in the amended Notice of

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Proposed Class Action Settlement which conditions are incorporated therein;

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IT IS FURTHER ORDERED that in the event of the occurrence of the

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Effective Date, as defined in the Settlement Agreement, all Class Members, except

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those who have requested exclusion from the settlement, and their successors shall

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conclusively be deemed to have given full releases of any and all Released Claims

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as defined in the Settlement Agreement against Defendants, their former and

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present parents, subsidiaries, affiliated corporations and entities, and each of their

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respective officers, officials, directors, employees, partners, shareholders and

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agents, any other successors, assigns or legal representatives (“Released Parties”)

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and all such Class Members and their successors shall be permanently enjoined and

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forever barred from asserting any Released Claims against any Released Parties as

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described by the Settlement Agreement;

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10.

IT IS FURTHER ORDERED that if, for any reason, the Court does not

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execute and file an Order of Final Approval, or if the Effective Date does not occur

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for any reason whatsoever, the proposed Settlement Agreement and the proposed

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Settlement subject of this Order and all evidence and proceedings had in

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connection therewith, shall be without prejudice to the status quo ante rights of the

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parties to the litigation as more specifically set forth in the Settlement Agreement.

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11.

IT IS FURTHER ORDERED that, pending further order of this Court, all

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proceedings in this matter except those contemplated herein and in the Settlement

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Agreement are stayed.

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12.

IT IS FURTHER ORDERED THAT the parties shall make the following
ORDER FOR PRELIMINARY APPROVAL OF CLASS ACTION
SETTLEMENT
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changes to the Notice of Proposed Class Action Settlement before issuing the

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Notice to class members:

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(a) On the first page of the Notice, change the clause “and there could be a

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trial which the drivers might win more money” to “and there could be a trial in

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which case the drivers might win more money.”

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(b) On the second page of the Notice, change the date of the conclusion of

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the class period from “December 19, 2013” to “December 23, 2013.”

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13.

Based on the parties’ representations at the preliminary approval hearing,

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the parties are directed to use the same skip-tracing procedures that they agreed to

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use to remail undelivered Class Notices in order to remail any undelivered

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settlement checks.

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The Court expressly reserves the right to adjourn or continue the Final Approval

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Hearing from time-to-time without further notice to the Class Members.

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IT IS SO ORDERED.

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December 23
Dated:_____________, 2013

________________________
Hon. Claudia Wilken
JUDGE OF THE UNITED STATES
DISTRICT COURT FOR THE
NORTHERN DISTRICT OF
CALIFORNIA

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ORDER FOR PRELIMINARY APPROVAL OF CLASS ACTION
SETTLEMENT
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