Sanchez v. Fitch, Inc.

Filing 15

MEMORANDUM AND ORDER - The Proposed Settlement is approved. The Joint Motion for Approval of Settlement (Filing No. 14 ) is granted. Ordered by Chief Judge Laurie Smith Camp. (GJG)

IN THE UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF NEBRASKA
BILLIE J. SANCHEZ,
Plaintiff,

8:15CV293

vs.
MEMORANDUM
AND ORDER

FITCH, INC.,
Defendant.

This matter is before the Court on the parties’ Joint Motion for Approval of
Settlement (Filing No. 14.) made by and between Plaintiff Billie Sanchez (“Sanchez”)
and Fitch, Incorporated d/b/a A-1 Containers and Recycling (“Fitch”). The parties move
this Court to approve a proposed settlement of Sanchez’s claims, including one brought
pursuant to the Fair Labor Standards Act, 29 U.S.C. §§ 201–219 (“FLSA”). (Filing No.
14 ¶ 7.)
FLSA rights are statutory and generally cannot be waived. Copeland v. ABB,
Inc., 521 F.3d 1010, 1014 (8th Cir. 2008) (citing Barrentine v. Arkansas-Best Freight
Sys., 450 U.S. 728, 740 (1981); Reich v. Stewart, 121 F.3d 400, 407 (8th Cir. 1997)).
However, one exception to this general rule allows an employee to waive her rights
under the FLSA when “[the] employee brings suit directly against a private employer
pursuant to [29 U.S.C. § 216(b)], and the district court enters a stipulated judgment.” Id.
However, the Court must first “scrutiniz[e] the settlement for fairness.” Lynn's Food
Stores, Inc. v. U.S. By & Through U.S. Dep't of Labor, Employment Standards Admin.,
Wage & Hour Div., 679 F.2d 1350, 1353 (11th Cir. 1982) (citing D.A. Schulte, Inc., v.
Gangi, 328 U.S. 108, 113 (1946)). To approve a FLSA settlement under § 216(b), the

Court must find that “(1) the litigation involves a bona fide dispute, (2) the proposed
settlement is fair and equitable to all parties concerned, and (3) the proposed settlement
contains an award of reasonable attorney fees.” Grove v. ZW Tech, Inc., No. 11–2445–
KHV, 2012 WL 4867226, at *3 (D. Kan. Oct. 15, 2012).
The Court has reviewed the proposed settlement and determines that it meets all
of the requirements of § 216(b).

The proposed settlement provides Sanchez

compensation exceeding the maximum amount she could recover were she to prevail
on the merits, and spares Fitch from the substantial expense it might incur through
continued litigation, even if it ultimately prevailed. The Court finds the settlement is fair
and equitable to both parties. Further, the settlement resolves a bona fide dispute and
provides reasonable attorney’s fees and costs for Sanchez’s counsel.

For these

reasons, the Court will approve the settlement and grant the parties’ motion.
Accordingly,

IT IS ORDERED:
1.

The Proposed Settlement is approved;

2.

The Joint Motion for Approval of Settlement (Filing No. 14) is granted.

Dated this 18th day of November, 2015
BY THE COURT:
s/Laurie Smith Camp
Chief United States District Judge

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