Judge: Peter Wilson, Case: 30-2020-01155487, Date: 2023-07-27 Tentative Ruling

Having considered the papers, including all supplemental papers filed in connection with this Motion for Preliminary Approval of $459,375.00 Class and PAGA Action Settlement, the Court continues to have an issue with the PAGA Release.

In Uribe v. Crown Building Maintenance Co. (2021) 70 Cal.App.5th 986, 1005, the Court of Appeal held that a bare reference to a Labor Code section is insufficient to preserve a PAGA claim if there are no facts in the PAGA Notice to support that theory. Here, Plaintiff explains that the SAC alleges facts to support the allegations of violations of the Labor Code § 204 but does not address how the PAGA Notice alleges factual allegations to support this theory. The PAGA Notice references neither § 204 or factual allegations to support a violation thereof.

Labor Code § 204 requires an employee to be paid at least twice during each calendar month. There are no allegations in the PAGA Notice that employees were not paid at least twice a month. ROA 187, Ex. B. It therefore appears that Labor Code § 204 should be excluded.

If the parties agree, the PAGA release may be set forth in the Order rather than the parties executing a second amendment to the Settlement.

Additionally, the parties should propose a date for the final approval hearing and deadline for filing the moving papers for the final approval motion.

If these issues are resolved at the hearing, the Court is inclined to GRANT the Motion subject to the following:

$ 5,000.00 for Plaintiff’s Enhancement (not to exceed); 

$ 153,125.00 for Attorney’s Fees (not to exceed 1/3 of the gross settlement amount); 

$ 20,000.00 for Litigation costs (not to exceed); 

$ 7,500.00 for Settlement Administrator’s Fees and Costs (not to exceed); and

$ 50,000.00 total for PAGA penalties including $37,500.00 allocated to the LWDA (75%) and $12,500.00 to the aggrieved employees (25%). 

Plaintiff is ordered to submit a revised proposed Order within 5 court days.

Plaintiff is ordered to give notice, including to the LWDA. Any supplemental brief and/or amendments made pursuant to this Order should also be filed with LWDA along with notice of the continued hearing date, with a proof of service submitted to the Court.