Cuevas v. Elio & Sons LLC et al

Filing 21

OPINION AND ORDER re: 19 JOINT MOTION for Settlement Parties' Joint Motion for Approval of FLSA Settlement. filed by Henry Cuevas. It is hereby ORDERED that the settlement agreement is not approved in its current form; it is fur ther ORDERED that any amendment to the settlement agreement or new settlement agreement shall strike the "no assist" provision (paragraph 5), which purports to prohibit Plaintiff from "voluntarily tak[ing] any action to support, encou rage or participate in any action which names, or may in any way damage the reputation of the Defendants." This provision is in "strong tension with the remedial purposes of the FLSA" because, among other reasons, it "raises th e specter of defendants settling FLSA claims with plaintiffs, perhaps at a premium, in order to avoid a collective action or individual lawsuits from other employees whose rights have been similarly violated." Cheeks v. Freeport Pancake House, Inc., 796 F.3d 199, 206 (2d Cir. 2015). It is further ORDERED that any amendment or revised settlement agreement shall be filed by June 29, 2017. A separate order relating to attorneys' fees will issue after the filing of any such amendment or agreement. (Signed by Judge Lorna G. Schofield on 6/19/2017) (kgo)

UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
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:
HENRY CUEVAS,
:
Plaintiff,
:
:
-against:
:
ELIO & SONS LLC, et al.,
:
Defendants. :
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6/19/17

17 Civ. 2490 (LGS)
OPINION AND ORDER

LORNA G. SCHOFIELD, District Judge:
WHEREAS, on April 6, 2017, Plaintiff filed his Complaint, which alleges wage-related
claims under FLSA and state law.
WHEREAS, on June 1, 2017, the parties filed a proposed settlement agreement and a
letter with attachments explaining why the Court should approve the settlement as fair and
reasonable. It is hereby
ORDERED that the settlement agreement is not approved in its current form; it is further
ORDERED that any amendment to the settlement agreement or new settlement
agreement shall strike the “no assist” provision (paragraph 5), which purports to prohibit Plaintiff
from “voluntarily tak[ing] any action to support, encourage or participate in any action which
names, or may in any way damage the reputation of the Defendants.” This provision is in
“strong tension with the remedial purposes of the FLSA” because, among other reasons, it
“raises the specter of defendants settling FLSA claims with plaintiffs, perhaps at a premium, in
order to avoid a collective action or individual lawsuits from other employees whose rights have
been similarly violated.” Cheeks v. Freeport Pancake House, Inc., 796 F.3d 199, 206 (2d Cir.
2015). It is further

ORDERED that any amendment or revised settlement agreement shall be filed by June
29, 2017. A separate order relating to attorneys’ fees will issue after the filing of any such
amendment or agreement.
Dated: June 19, 2017
New York, New York

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