Judge: Elaine Lu, Case: 23STCV20214, Date: 2025-05-21 Tentative Ruling
Case Number: 23STCV20214 Hearing Date: May 21, 2025 Dept: 9
Preliminary Approval of Class Action Settlement
Department SSC-9
Monica Del Rio v.
Golden West Security, Inc.
Case Number: 23STCV20214
Hearing: May 21, 2025
c/f March 25, 2025 c/f January 8, 2025 c/f May 28, 2024
The Parties’ Motion for Preliminary
Approval of Class Action Settlement is GRANTED as the settlement is fair,
adequate, and reasonable.
The essential terms of the Settlement
Agreement are:
·
The Gross Settlement Amount (“GSA”) is $960,000,
non-reversionary. (¶3.1)
·
The Net Settlement Amount (“Net”) is the GSA
minus the following:
o Up to $319,968 (33%)
for attorney fees (¶6.4);
o Up to $19,000 for litigation costs (Ibid.);
o Up to $5,000 for a Service Payment to the Named
Plaintiff (¶3.1);
o Up to $10,000 for settlement administration costs
(¶3.2.2);
o Payment of $50,000 PAGA penalty (75% or $37,500 to
the LWDA; and 25% or $12,500 to the Aggrieved Employees). (¶3.1)
·
Defendant will also pay employer-side taxes.
(¶3.1)
·
Plaintiffs shall release Defendants from
claims described herein.
The Parties’ Motion for Final Approval
of Class Action Settlement must be filed by {the Court requests that the parties indicate -- either
in submitting to this tentative ruling or at the hearing on this motion -- the
filing deadline they would like the Court to set} and
will be heard on {the
Court will select a hearing date based on the filing deadline that the parties
select}. Failure
to file the Parties’ Motion for Final Approval of Class Action Settlement by
this deadline will result in a continuance of the final approval hearing to the
Court’s first available hearing date, which could be months after the hearing
date noted here. Prior to filing the
moving papers, Plaintiff must contact the court staff for Department 9 to
obtain a briefing schedule, which must be included in the caption of the moving
papers.
The Parties’ Motion for Final Approval
of Class Action Settlement must include a concurrently lodged single
document that constitutes a [Proposed] Order and Judgment containing among
other things, the class definition, full release language, and names of the any
class members who opted out.
Non-Appearance Case Review is set for {the Court will select a non-appearance
case review date based on the filing deadline that the parties select},
8:30 a.m., Department 9 re filing of Motion for Final Approval of Class Action
Settlement.
BACKGROUND
This is a wage and
hour class action. Defendant provides security services in Los Angeles County
and throughout the State of California. On August 23, 2023, Plaintiff a Class
Action Complaint against Defendant alleging: (1)Failure to Pay Minimum Wages
(Lab. C. §§ 1182.12, 1194, 1194.2, 1197 and 1197.1); (2) Failure to Pay
Overtime Wages (Cal. Lab. C. §§ 510, et seq.); (3) Failure to Timely Pay Wages
During Employment (Cal. Lab. C. §§ 204, 210); (4) Failure to Timely Pay Wages
Upon Termination (Cal. Lab. C. §§ 201 – 203); (5) Failure to Pay Meal Periods
Premiums (Cal. Lab. C. §§ 226.7, 512); (6) Failure to Pay Rest Periods Premiums
(Cal. Lab. C. §§ 226.7, 512); (7) Failure to Provide Accurate Wage Statements
(Cal. Lab. C. § 226); (8) Failure to Indemnify for Business Expenses (Cal. Lab.
C. §§ 2800, 2802): (9) Unfair Competition (Cal. Bus. & Prof. C. §17200, et
seq.); (10) Failure to Permit Inspection of Employment Records (Lab. C. §§ 226,
432, 1198.5); (11) Private Attorney General’s Act Violation (Cal. Lab. C. §
2698, et seq.).
Counsel represents
that prior to mediation, Defendant produced over 8,000 pages of time, wage,
payroll and policy records, from which Class Counsel randomly selected time and
wage records for a sampling of 50 employee from which aggregate workweeks and pay
periods, average hourly rate, average length of shifts and average number of
hours worked per week. From this data, Class Counsel estimated the number of
allegedly noncompliant meal periods, the amount of allegedly unpaid overtime,
and the amount of allegedly unpaid sick time.
On September 19,
2023, the Parties engaged in a full-day mediation with Lynn Frank, and were
able to come to an agreement via
mediator’s proposal. Thereafter the parties executed a long-form settlement
agreement, a copy of which was filed with the Court on March 22, 2024 attached
to the Declaration of Aidin D. Ghavimi (“Ghavimi Decl.”) as Exhibit 1.
On May 28, 2024, the
court issued a checklist of items for counsel to address and continued
preliminary approval. In response, on November 25, 2024, counsel filed a fully
executed Amended Settlement Agreement attached to the Supplemental Declaration
of Aidin D. Ghavimi (“Ghavimi Supp.
Decl.”) as Exhibit C.
On January 8, 2025,
the court issued a checklist of items for counsel to address and continued
preliminary approval. In response, on March 11, 2025, counsel filed a partially
executed Amended Settlement Agreement attached to the Second Supplemental Declaration
of Aidin D. Ghavimi (“Ghavimi 2nd
Supp. Decl.”) as Exhibit C.
On May 25, 2025, the court
continued preliminary approval for further revisions. In response, on April 23,
2025, counsel filed a fully executed Amended Settlement Agreement attached to
the Supplemental Declaration of Zachary D. Greenberg (“Greenberg. Decl.”) as
Exhibit B.
Now before the Court
is the motion for preliminary approval of the settlement agreement.
SETTLEMENT CLASS DEFINITION
·
“Class
Employee" means all non-exempt employees employed by Defendant in
California during the Class Period. (Settlement Agreement, ¶1.4a.)
o
“Class
Period" means August 23, 2019 through November 19. 2023. (¶1.19a)
o
Based on a review
of its records to date, Defendant estimates that as of September 26, 2023,
there were 470 Class Employees who worked an average of 104 Class Pay
Periods. (¶4.1a)
·
"Aggrieved
Employee” means all non-exempt employees employed by Defendant in California
during the PAGA Period. (¶1.4b)
o
“PAGA
Period" means June 15, 2022, through November 19, 2023. (¶1.19b)
o
Based on a review
of its records to date, Defendant estimates that as of September 26, 2023,
there were 137 Aggrieved Employees who worked a total of 26 PAGA Pay Periods.
(¶4.1b)
·
Defendant has
represented that there are approximately 53,768 affected workweeks in the
period from August 23, 2019, through November 19, 2023. (¶3.2.1)
· The parties agree to class certification for the purposes
of settlement. (¶3.1.a)
TERMS OF
SETTLEMENT AGREEMENT
The
essential terms are as follows:
· The Gross Settlement Amount (“GSA”) is $960,000, non-reversionary. (¶3.1)
· The Net Settlement Amount (“Net”) ($568,532) is the GSA minus the following:
o Up to $319,968 (33%)
for attorney fees (¶6.4);
o Up to $19,000 for litigation costs (Ibid.);
o Up to $5,000 for a Service Payment to the Named
Plaintiff (¶3.1);
o Up to $10,000 for settlement administration costs
(¶3.2.2);
o Payment of $37,500 (75% of $50,000 PAGA penalty)
to the LWDA. (¶3.1)
· Defendant will also pay employer-side taxes. (¶3.1)
· Funding of GSA: Defendant
shall fully fund the Gross Settlement Amount by transmitting the funds to the
Administrator no later than 14 days after the Effective Date. (¶4.3)
· Within 14 days after Defendant funds the Gross Settlement
Amount, the Administrator will mail checks for all Individual Class Payments,
Individual PAGA Payments, the LWDA PAGA Payment, the Administration Expenses
Payment, Class/PAGA Counsel Fees Payment and Class/PAGA Counsel Litigation
Expenses Payment. (¶4.4)
· There is no claim form requirement. (¶3.1)
·
Participating
Class Member Payment: Class Member settlement shares
to participating Class Members will be calculated pro rata based on the number
of pay periods worked in the Class Period. (¶3.2.3)
o Tax Allocation: 20% wages, 40% interest, and 40%
penalties. (¶3.2.3)
·
PAGA Payments: Aggrieved Employee
settlement shares will be calculated pro rata based on the number of workweeks
worked in the PAGA Period. (¶3.2.3)
o
Tax Allocation: 100% penalties. (¶3.2.3)
·
Response
Deadline: The Response Deadline is either sixty (60) days from the
Administrator’s mailing of the class notice, or sixty (60) days plus an
additional fourteen (14) days (for a total of seventy-four (74) days) for class
member notices that the Administrator has to re-mail. (¶7.10)
o
Defendant
may, in its sole discretion void the Settlement
Agreement if 5% or more Class Members, opt out of the settlement. (¶4.4.2e)
· Uncashed Settlement Checks: The face of each check shall prominently state the date
(not less than 180 days after the date of mailing) when the check will be
voided. (¶¶4.4.1a-b) For
any Class/Aggrieved Employee whose Individual Class Payment/ Individual PAGA
Payment check is uncashed and cancelled after the void date, the Administrator
shall transmit the funds represented by such checks to the California
Controller's Unclaimed Property Fund in the name of the Class/Aggrieved
Employee. (¶4.4.3)
· The settlement administrator will be Phoenix
Settlement Administrators. (¶1.2)
·
The
Settlement was submitted to the LWDA on March 22, 2024. (Exhibit 3 to Ghavimi
Decl.)
· Participating class
members and the named Plaintiff will release certain claims against
Defendants. (See further discussion
below)
ANALYSIS OF SETTLEMENT AGREEMENT
1. Does a presumption of fairness exist?
1.
Was the settlement reached through arm’s-length
bargaining? Yes. On September 19, 2023, the Parties
engaged in a full-day mediation with Lynn Frank, and were able to come to an agreement via mediator’s proposal.
(Ghavimi Decl., ¶10.)
2.
Were investigation and discovery sufficient to allow
counsel and the court to act intelligently? Yes. Counsel
represents that prior to mediation, Defendant produced over 8,000 pages of
time, wage, payroll and policy records, from which Class Counsel randomly
selected time and wage records for a sampling of 50 employees (9.7%) from which
aggregate workweeks and pay periods, average hourly rate, average length of
shifts and average number of hours worked per week. From this data, Class
Counsel estimated the number of allegedly noncompliant meal periods, the amount
of allegedly unpaid overtime, and the amount of allegedly unpaid sick time. (Id.
at ¶8.)
Counsel contends that the Parties met and conferred and
agreed to review a much larger and second representative statistical sampling,
and to that end, Plaintiff’s expert conducted a second more extensive and
comprehensive expert analysis of time and pay records for a randomized sampling
of 98 individuals from a putative class of roughly 470 Putative Class Members
(20.9%), which confirms that Defendant’s exposure aligns with the projections
from the initial, smaller sample. (Ghavimi 2nd Supp. Decl., ¶¶9-10.)
3.
Is counsel
experienced in similar litigation? Yes. Class Counsel is experienced in class
action litigation. (Id. at ¶¶35-36.)
4.
What percentage of the class has objected? This cannot be
determined until the fairness hearing.
See Weil & Brown, Cal. Practice Guide: Civil Procedure Before Trial
(The Rutter Group 2014) ¶ 14:139.18, (“Should the court receive objections to
the proposed settlement, it will consider and either sustain or overrule them
at the
fairness hearing.”).
CONCLUSION: The settlement is entitled to a presumption
of fairness.
1.
Is the settlement
fair, adequate, and reasonable?
1.
Strength of Plaintiff’s case. “The most important factor is the strength of
the case for plaintiff on the merits, balanced against the
amount offered in settlement.” (Kullar v. Foot Locker Retail, Inc.
(2008) 168 Cal.App.4th 116, 130.)
Counsel
has provided an exposure analysis as following:
|
CLAIM
|
EXPOSURE
|
|
Minimum
Wages |
$191,860.00 |
|
Overtime
Wages |
$160,961.00 |
|
Meal
Breaks |
$1,582,567.00 |
|
Rest
Breaks |
$0 |
|
Wage
Statements |
$510,854.00 |
|
Waiting
Time Penalties |
$721,166.00 |
|
Business
Expenses |
$0 |
|
Inspection
of Employment Records |
$0 |
|
PAGA |
$1,767,700.00 |
|
TOTAL |
$4,935,108.07 |
(Ghavimi
2nd Supp. Decl., ¶13.)
2.
Risk, expense, complexity and likely duration of further litigation. Given the nature of the class claims, the
case is likely to be expensive and lengthy to try. Procedural hurdles (e.g., motion practice and
appeals) are also likely to prolong the litigation as well as any recovery by
the class members.
3. Risk
of maintaining class action status through trial. Even if a class is certified, there is always
a risk of decertification. (See Weinstat
v. Dentsply Intern., Inc.
(2010) 180 Cal.App.4th 1213, 1226 (“Our Supreme Court has
recognized that trial courts should retain some
flexibility in conducting class actions,
which means, under suitable circumstances, entertaining successive motions on
certification if the court subsequently discovers that
the propriety of a class action is
not appropriate.”).)
4. Amount
offered in settlement. Plaintiff’s counsel obtained
a $960,000 non-reversionary settlement. This is approximately 19% of
Plaintiff’s estimated recovery, which is within the “ballpark” of
reasonableness.
The $960,000
settlement amount, after reduced by the requested deductions, leaves
approximately $568,532 to be divided among approximately 470 class members.
Assuming full participation, the resulting payments will average approximately
$1,209.64 per class member. [$568,532 /470=$1,209.64.]
5. Extent of discovery
completed and stage of the proceedings.
As indicated above, at the time of the settlement, Class Counsel had
conducted sufficient discovery.
6. Experience
and views of counsel. The settlement
was negotiated and endorsed by Class Counsel who, as indicated above, is
experienced in class action litigation, including wage and hour class
actions.
7. Presence of a governmental participant. This factor is not applicable here.
8. Reaction of
the class members to the proposed settlement. The class members’ reactions
will not be known until they receive notice and are afforded an opportunity to
object, opt-out and/or submit claim forms.
This factor becomes relevant during the fairness hearing.
CONCLUSION: The settlement can be preliminarily deemed
“fair, adequate, and reasonable.”
2.
Scope of the release
Effective on the date
when Defendant fully funds the entire Gross Settlement Amount Plaintiff, Class
Employees, and Aggrieved Employees, will release claims against all Released
Parties as follows: (¶5)
All Class Employees are deemed to release, on behalf of
themselves and their respective former and present representatives, agents,
attorneys, heirs, administrators, successors, and assigns, the Released Parties
from all claims that were alleged, or reasonably could have been alleged, based
on the Class Period facts stated in the Operative Complaint, including those
arising from California Labor Code§§ 200, 201,201.5, 202, 203, 204, 205.5, 206,
206.5, 208, 210, 226. 226(a)(1), 226(a)(5), 226(a)(8), 226(a)(9), 226(c),
226(e)(1), 226(f), 226.3, 226.6, 226.7, 226. 7, 226.8, 227.3, 432, 510, 512,
512(a), 551, 552, 553, 558, 558(a)(3), 558.1, 1174(d), 1194, 1 197, 1197.1,
1198.5, 1199, 2800 and 2802, and California Business and Professions Code§
17200 el seq relating to (a) failure to pay all overtime wages; (b) failure to
pay all minimum wages; (c) failure to pay wages, (d) failure to pay for all
work, including off-the-clock work (e) failure to provide proper meal periods;
(d) failure to authorize and permit rest periods: (e) failure to furnish
accurate wage statements; (t) waiting time penalties; (g) failure to reimburse
necessary expenditures (h) failure to permit inspections of employee records;
and (i) failure to timely pay final wages. (¶5.2a)
All Aggrieved
Employees cannot opt-out of the PAGA portion of the instant settlement and are
therefore are deemed to release, on behalf of themselves and their respective
former and present representatives, agents, attorneys, heirs, administrators,
successors, and assigns, the Released Parties from all claims for PAGA
penalties that were alleged, or reasonably could have been alleged, based on
the PAGA Period facts stated in the Operative Complaint and the PAGA Notices of
Plaintiff, including those arising from California Labor Code §§ 200, 201,
201.5, 202, 203, 204, 205.5, 206. 206.5, 208, 210, 226, 226(a)(l), 226{a)(5),
226(a) (8), 226(a)(9), 226(c), 226(e)(l), 226(t), 226.3, 226.6, 226.7, 226.7,
226.8, 227.3, 432, 510, 512, 512(a), 551, 552, 553, 558(a)(3), 558.1, 1174(d),
1194, 1197, 1197.1, 1198.5, 1199, 2800 and 2802, and California Business and
Professions Code§ 17200 et seq., relating to (a) failure to pay all overtime
wages; (b) failure to pay all minimum wages; (c) failure to pay wages, (d)
failure to pay for all work including
off-the-clock work (e) failure to provide proper meal periods: (d) failure to
authorize and permit rest periods; (e) failure to famish accurate wage
statements; (I) waiting time penalties; (g) failure to reimburse necessary
expenditures (h) failure to permit inspections of employee records; and (i)
failure to timely pay final wages. (¶5.2b)
Each Class Employee who does not timely submit a valid
opt-out request will release through the date of final approval, any and alI
claims contingent or accrued against Defendant and its current and former
parents, predecessors or successors, holding companies, affiliated companies or
entities (including, but not limited to, owners, shareholders, members,
partners, officers, directors, managers, employees, and agents (the "Class
Released Parties”) that have been, or could have been, asserted against Defendant
or any of the other Released Parties and that arise from the facts, matters,
transactions or occurrences alleged in the Actions (the "Class Released
Claims"). (¶4.4.2c)
The named Plaintiff will also provide a
general release and 1542 waiver. (¶¶4.4.2d, 5.1)
2.
May conditional class
certification be granted?
1.
Standards
A detailed analysis
of the elements required for class certification is not required, but it is
advisable to review each element when a class is being conditionally certified
(Amchem Products, Inc. v. Winsor
(1997) 521 U.S. 620, 622-627.) The trial
court can appropriately utilize a different standard to determine the propriety
of a settlement class as opposed to a litigation class certification. Specifically, a lesser standard of scrutiny
is used for settlement cases. (Dunk at 1807, fn 19.) Finally, the Court is under no “ironclad
requirement” to conduct an evidentiary hearing to consider whether the
prerequisites for class certification have been satisfied. (Wershba at 240.)
2.
Analysis
a.
Numerosity. There
are approximately 470 putative class members. (MPA, 15:17-18.) This element is
met.
b.
Ascertainability. The
proposed class is defined above. The
class definition is “precise, objective and presently ascertainable.” (Sevidal
v. Target Corp. (2010) 189 Cal.App.4th 905, 919.) The class members are
identifiable from Defendant’s records. (MPA, 15:10-13.)
c.
Community of interest.
“The community of interest requirement involves three factors: ‘(1)
predominant common questions of law or fact; (2) class representatives with
claims or defenses typical of the class; and (3) class representatives who can
adequately represent the class.’” (Linder v. Thrifty Oil Co. (2000) 23
Cal.4th 429, 435.)
Here, counsel contends that common questions
of law and fact predominate as the main issues are whether Defendant’s meal and
rest break policies and practices, and business expense reimbursement, violated
California law; if non-compliant, were premium wages paid; and were all wages
paid upon termination. (MA, 15:25-16:1.)
Further, counsel
contends that Plaintiff’s claims are typical of the class because she worked
for Defendant during the proposed Class Period and suffered the same alleged
violations (meal and rest break, and expense reimbursement, with derivative
claims) as did the class as a whole, thus her Plaintiff’s claims fairly
represent the claims of the class as a whole. (MPA, 16:9-12.)
Finally, counsel
contends that the Plaintiff is an adequate class members because she has no interest
which are adverse to the class, and is represented by adequate counsel. (MPA, 16:16-24; Declaration of Plaintiff
Del Rio, passim.)
d.
Adequacy of class counsel. As indicated above, Class Counsel has shown
experience in class action litigation, including wage and hour class actions.
e.
Superiority. Given
the relatively small size of the individual claims, a class action appears to
be superior to separate actions by the class members.
CONCLUSION: The class may be conditionally certified
since the prerequisites of class certification have been satisfied.
3.
Is the notice proper?
1.
Content of class notice. The proposed notice is attached as
Supplemental Declaration of Zachary D. Greenberg as Exhibit D. Its content appears to be
acceptable. It includes information such
as: a summary of the litigation; the
nature of the settlement; the terms of the settlement agreement; the proposed
deductions from the gross settlement amount (attorney fees and costs,
enhancement awards, and claims administration costs); the procedures and
deadlines for participating in, opting out of, or objecting to, the settlement;
the consequences of participating in, opting out of, or objecting to, the
settlement; and the date, time, and place of the final approval hearing.
2.
Method of class notice.
Within 14 days, Defendant will simultaneously deliver the
Class/Aggrieved Employee Data to the Administrator in the form of a Microsoft
Excel spreadsheet. (¶4.2) The Administrator shall update the class list prior
to initial mailing to Class Members by use of the National Change of Address
Registry. (¶7.5.a) Using best efforts to perform as soon as possible, and in no
event later than [14] days after receiving the Class Data, the Administrator
will send to all Class Members identified in the Class Data, via first-class
USPS mail, the Class Notice with Spanish translation. Before mailing Class
Notices, the Administrator shall update Class Member addresses using the
National Change of Address database. (¶7.6) Not later than [3] business days
after the Administrator’s receipt of any Class Notice returned by the USPS as
undelivered, the Administrator shall re-mail the Class Notice using any
forwarding address provided by the USPS. If the USPS does not provide a
forwarding address, the Administrator shall conduct a Class Member Address
Search, and re-mail the Class Notice to the most current address obtained. The
Administrator has no obligation to make further attempts to locate or send
Class Notice to Class Members whose Class Notice is returned by the USPS a second
time. (¶7.7) If the Administrator, Defendant or Class Counsel is contacted by
or otherwise discovers any persons who believe they should have been included
in the Class Data and should have received Class Notice, the Parties will
expeditiously meet and confer in person or by telephone, and in good faith, in
an effort to agree on whether to include them as Class Members. If the Parties
agree, such persons will be Class Members entitled to the same rights as other
Class Members, and the Administrator will send, via email or overnight
delivery, a Class Notice requiring them to exercise options under this
Agreement not later than [14] days after receipt of Class Notice, or the
deadline dates in the Class Notice, which ever are later. (¶7.9)
Notice of the final
judgment will be posted on the administrator’s website. (¶7.13.1)
3.
Cost of class notice.
As indicated above, claims administration costs are estimated not to
exceed $10,000. Prior to the time of
the final fairness hearing, the claims administrator must submit a declaration
attesting to the total costs incurred and anticipated to be incurred to
finalize the settlement for approval by the Court.
4.
Attorney fees and
costs
CRC
rule 3.769(b) states: “Any agreement, express or implied, that has been entered
into with respect to the payment of attorney fees or the submission of an
application for the approval of attorney fees must be set forth in full in any
application for approval of the dismissal or settlement of an action that has
been certified as a class action.”
Ultimately, the award of attorney
fees is made by the court at the fairness hearing, using the lodestar method
with a multiplier, if appropriate. (PLCM Group, Inc. v. Drexler (2000) 22
Cal.4th 1084, 1095-1096; Ramos v.
Countrywide Home Loans, Inc. (2000) 82 Cal.App.4th 615, 625-626; Ketchum III v. Moses (2000) 24 Cal.4th
1122, 1132-1136.) Despite any agreement
by the parties to the contrary, “the court ha[s] an independent right and
responsibility to review the attorney fee provision of the settlement agreement
and award only so much as it determined reasonable.” (Garabedian v. Los Angeles Cellular Telephone Company (2004) 118
Cal.App.4th 123, 128.)
The question of whether Class Counsel
is entitled to $319,968 (1/3) in attorney fees will be
addressed at the fairness hearing when class counsel brings a noticed motion
for attorney fees. Class counsel must
provide the court with billing information so that it can properly apply the
lodestar method and must indicate what multiplier (if applicable) is being
sought as to each counsel.
Class Counsel should also be
prepared to justify the costs sought (capped at $19,000) by detailing how
they were incurred.
5.
Incentive Award to
Class Representative
The
Settlement Agreement provides for an enhancement award of up to $5,000 for the class representative.
In connection with the final fairness hearing, the named Plaintiff must submit
declarations attesting to why she should be entitled to an enhancement award in
the proposed amount. The named
Plaintiffs must explain why they “should be compensated for the expense or risk
she has incurred in conferring a benefit on other members of the class.” (Clark v. American Residential Services LLC
(2009) 175 Cal.App.4th 785, 806.) Trial
courts should not sanction enhancement awards of thousands of dollars with
“nothing more than pro forma claims as to ‘countless’ hours expended, ‘potential stigma’ and ‘potential risk.’
Significantly more specificity, in the form of quantification of time and
effort expended on the litigation, and in the form of reasoned explanation of
financial or other risks incurred by the named plaintiffs, is required in order
for the trial court to conclude that an enhancement was ‘necessary to induce
[the named plaintiff] to participate in the suit . . . .’” (Id.
at 806-807, italics and ellipsis in original.)
The Court will decide the issue of the enhancement awards at the time of
final approval.
CONCLUSION AND ORDER
The Parties’ Motion for Preliminary
Approval of Class Action Settlement is GRANTED as the settlement is fair,
adequate, and reasonable.
The essential terms of the Settlement
Agreement are:
·
The Gross Settlement Amount (“GSA”) is $960,000,
non-reversionary. (¶3.1)
·
The Net Settlement Amount (“Net”) is the GSA
minus the following:
o Up to $319,968 (33%)
for attorney fees (¶6.4);
o Up to $19,000 for litigation costs (Ibid.);
o Up to $5,000 for a Service Payment to the Named
Plaintiff (¶3.1);
o Up to $10,000 for settlement administration costs
(¶3.2.2);
o Payment of $50,000 PAGA penalty (75% or $37,500 to
the LWDA; and 25% or $12,500 to the Aggrieved Employees). (¶3.1)
·
Defendant will also pay employer-side taxes.
(¶3.1)
·
Plaintiffs shall release Defendants from
claims described herein.
The Parties’ Motion for Final Approval
of Class Action Settlement must be filed by {the Court requests that the parties indicate -- either
in submitting to this tentative ruling or at the hearing on this motion -- the
filing deadline they would like the Court to set} and
will be heard on {the
Court will select a hearing date based on the filing deadline that the parties
select}. Failure
to file the Parties’ Motion for Final Approval of Class Action Settlement by
this deadline will result in a continuance of the final approval hearing to the
Court’s first available hearing date, which could be months after the hearing
date noted here. Prior to filing the
moving papers, Plaintiff must contact the court staff for Department 9 to
obtain a briefing schedule, which must be included in the caption of the moving
papers.
The Parties’ Motion for Final Approval
of Class Action Settlement must include a concurrently lodged single
document that constitutes a [Proposed] Order and Judgment containing among
other things, the class definition, full release language, and names of the any
class members who opted out.
Non-Appearance Case Review is set for {the Court will select a non-appearance
case review date based on the filing deadline that the parties select},
8:30 a.m., Department 9 re filing of Motion for Final Approval of Class Action
Settlement.
The Judicial
Assistant is to give notice to Counsel for Plaintiff who is ordered to give
further and formal notice to all parties and file proof of service of such
within 10 days.
IT IS SO ORDERED.
DATED: May 21, 2025 ___________________________
Elaine
Lu
Judge
of the Superior Court