Judge: Randall J. Sherman, Case: 2021-01220136, Date: 2022-08-19 Tentative Ruling

The tentative ruling is to continue the hearing on Plaintiff’s Motion for Approval of PAGA Settlement and Award of Attorneys’ Fees and Costs, Incentive Award, and Settlement Administration Costs to September 30, 2022 at 10:00 a.m.

Counsel must file supplemental papers addressing the court’s concerns (not fully revised papers that would have to be reread) at least two weeks before the next hearing date.  Counsel must submit an amendment to the settlement agreement rather than any amended settlement agreement.  Counsel also must provide a red-lined version of any revised papers.  Counsel also should provide the court with an explanation of how the pending issues were resolved, with references to any corrections to the settlement agreement, rather than with just a supplemental declaration or brief that simply asserts the issues have been resolved.

The moving papers do not include a copy of the PAGA letter that allegedly was sent to the LWDA on August 17, 2021.  The court needs a copy of the letter to verify that the settlement terms are consistent with the notice provided to the LWDA.

Plaintiff provides no information as to plaintiff’s potential recovery or defendant’s potential exposure for the violations alleged by the aggrieved employees, even though plaintiff’s counsel’s declaration asserts in ¶22 that counsel conducted an informed assessment and analysis of the potential PAGA penalties at issue, and even though plaintiff’s counsel seeks reimbursement of a $3,000 cost item for “Expert Fee for Data Analysis for Mediation”.  Plaintiff must provide and explain estimates of potential PAGA penalties that might be recovered in a best-case scenario.  Such information is necessary for the court to evaluate the reasonableness of the settlement.

The motion does not provide the court with the estimated high, low or average individual payments to the aggrieved employees.

An invoice from the Administrator is required to support the $6,000 Administrator fee request.

Counsel must submit for court approval the objectively worded cover letter to be sent to the aggrieved employees with their penalty checks to explain the purpose of the checks, as referenced in ¶¶30 and 45 of the PAGA Settlement Agreement as the Settlement Cover Letter.  The letter also must explain that no claims for unpaid or underpaid wages have settled, and that this settlement is without prejudice to the pursuit of any such claims.

Plaintiff is ordered to give notice of the ruling to the LWDA and to defense counsel.