Amigon v. Safeway Construction Enterprises LLC
1:20-cv-05222
E.D.N.YDec 9, 2024Background
- Antonio Amigon filed a class action against Safeway Construction Enterprises, LLC and Steven Cestaro, alleging failure to pay prevailing wages and overtime for work done as backhoe operators on NYC public projects between 2014 and 2024, under the FLSA and NYLL.
- Plaintiff claimed Denial of proper compensation for hours worked, time spent traveling between job sites and the employer's yard, and lack of proper wage statements.
- Court had previously conditionally certified an FLSA collective action; parties negotiated a proposed settlement after mediation.
- Proposed settlement creates a $3 million fund for a class of 91 workers, to be distributed based on weeks worked and other weighted factors.
- The Court considered factors for preliminary approval of the settlement under Federal Rule of Civil Procedure 23(e) and relevant case law, as well as whether to preliminarily certify a settlement class.
- Notices will be sent by mail and email in English and Spanish; deadline-driven process to claim, opt out, or object is established, with a final fairness hearing scheduled for April 2025.
Issues
| Issue | Plaintiff’s Argument | Defendant’s Argument | Held |
|---|---|---|---|
| Preliminary approval of class settlement | Settlement is fair, reasonable, negotiated at arm’s length, and provides adequate relief given risks | No explicit opposition; agreed to settlement due to financial distress and litigation risks | Granted: Court finds preliminary approval justified under Rule 23(e), Grinnell factors |
| Certification of settlement class under Rule 23 | All elements met: numerosity, commonality, typicality, adequacy, predominance, superiority | No opposition; consented for settlement purposes only | Preliminary certification granted for purposes of settlement |
| Adequacy of notice procedure | Proposed notices and methods provide best practicable notice under law | No opposition | Approved: Court finds notice and process sufficient under Rule 23 |
| Method of allocation/distribution of funds | Formula based on weeks worked and other fair, rational criteria | No opposition | Approved: Distribution plan deemed rational and equitable |
Key Cases Cited
- City of Detroit v. Grinnell Corp., 495 F.2d 448 (2d Cir. 1974) (established multifactor test for class action settlement approval)
- Amchem Prods., Inc. v. Windsor, 521 U.S. 591 (1997) (articulates requirements for class certification in settlement context)
- Sykes v. Mel S. Harris & Assocs. LLC, 780 F.3d 70 (2d Cir. 2015) (addresses Rule 23 commonality standard)
- Wal-Mart Stores, Inc. v. Dukes, 564 U.S. 338 (2011) (definitive statement on commonality and typicality in class actions)