Joo v. Kitchen Table, Inc.
2011 U.S. Dist. LEXIS 12723
| S.D.N.Y. | 2011Background
- Mina Joo and Samantha Young Ai Kim sued Kitchen Table, Inc. and others under the FLSA for back wages.
- The case was discontinued without costs after the parties reached a settlement; court previously approved a Stipulation for Judgment.
- The parties submitted a confidential settlement agreement for in camera review and sought approval without public filing.
- The court requested briefing on whether FLSA settlements may be approved when the settlement terms are sealed or filed under seal.
- Authorities in this circuit recognize a presumption of public access to FLSA settlement documents; sealing is generally disfavored.
- The court denied the request to approve the sealed settlement, without prejudice to renegotiate unsealed terms.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Is there a public-access presumption for FLSA settlements? | Public access should be preserved; confidentiality defeats transparency. | Settlement efficiency and confidentiality may warrant sealing. | Presumption of public access applies; sealing denied. |
| May an FLSA settlement be sealed if terms are confidential? | Confidentiality is essential to the agreement. | Confidential terms are common and necessary for settlement. | Sealing not permitted without overcoming the presumption; denial of approval. |
| Should the court approve a settlement with no public filing of the agreement? | In camera review suffices for fairness. | Public-record approval better ensures accountability. | Court may not approve sealed terms; denial without prejudice to unsealed terms. |
Key Cases Cited
- Lynn's Food Stores, Inc. v. United States ex rel. U.S. Dep't of Labor, 679 F.2d 1350 (11th Cir. 1982) (strong public access principle for FLSA settlements)
- Stalnaker v. Novar Corp., 293 F. Supp. 2d 1260 (M.D. Ala. 2003) (public access favored; confidentiality insufficient to override openness)
- Barzingus v. Wilheim, 306 F.3d 17 (10th Cir. 2010) (arbitration-related standards; not central to FLSA sealing)
- McReynolds v. Richards-Cantave, 588 F.3d 790 (2d Cir. 2009) (settlement policy considerations in the Second Circuit)
- Boone v. City of Suffolk, Va., 79 F. Supp. 2d 603 (E.D. Va. 1999) (public access in settlement-related documents)
- Jessup v. Luther, 277 F.3d 926 (7th Cir. 2002) (public access considerations in court settlements)