Bahena v. Park Avenue South Management LLC
1:15-cv-01507
S.D.N.Y.Aug 4, 2017Background
- Plaintiffs (four named former/current superintendents and porters) sued multiple property-management defendants alleging FLSA and New York Labor Law violations for unpaid overtime, minimum wage, and notice failures for work from March 3, 2009 to present.
- Action filed March 2, 2015; amended complaint filed May 19, 2015; conditional collective certification under the FLSA granted September 16, 2016.
- Parties mediated, reached a settlement in principle on May 15, 2017, and filed an unopposed motion (June 30, 2017) seeking preliminary approval of the class settlement, Rule 23 settlement-class certification, approval of notice, and appointment of class counsel and representatives.
- The proposed settlement class consists of ~74 superintendents and porters who worked for Defendants during the relevant period.
- The Court found the settlement resulted from substantial investigation and arm’s-length negotiations, and concluded the settlement falls within the range of possible approval.
- The Court provisionally certified the Rule 23 settlement class, appointed Bruce E. Menken as class counsel and the four plaintiffs as class representatives, approved the proposed bilingual (English/Spanish) notice, and scheduled a fairness hearing for December 1, 2017.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Preliminary approval of class settlement | Settlement is product of substantial investigation and arm’s-length mediation and falls within range of possible approval | Unopposed | Granted — probable cause to notify class and hold fairness hearing |
| Rule 23 settlement-class certification | Class meets numerosity, commonality, typicality, adequacy, and Rule 23(b)(3) predominance; ~74 members | Unopposed | Provisionally certified for settlement purposes |
| Appointment of class counsel and class reps | Menken and firm have investigated, handled similar class matters, and will commit resources; named plaintiffs adequate reps | Unopposed | Appointed Bruce E. Menken as class counsel and four plaintiffs as class representatives |
| Approval of class notice and fairness hearing | Proposed bilingual notice meets Rule 23(c)(2)(B) and due process; requests fairness hearing and fee submissions | Unopposed | Notice approved as best practicable; fairness hearing set; fee submission instructions ordered |
Key Cases Cited
- Maywalt v. Parker & Parsley Petroleum Co., 67 F.3d 1072 (2d Cir. 1995) (courts give weight to settlements reached by parties and counsel)
- In re Traffic Exec. Ass’n—E. R.R.s, 627 F.2d 631 (2d Cir. 1980) (standard for preliminary approval: probable cause to submit settlement to class)
- In re Initial Pub. Offering Sec. Litig., 226 F.R.D. 186 (S.D.N.Y. 2005) (factors supporting preliminary approval of class settlements)
- Consol. Rail Corp. v. Town of Hyde Park, 47 F.3d 473 (2d Cir. 1995) (numerosity presumption for classes of approximately 40 or more members)