Vasquez v. P & L Harvesting, LLC
2:14-cv-00161
M.D. Fla.Jun 23, 2015Background
- This action alleges unpaid minimum wages under the FLSA by multiple plaintiffs against P & L Harvesting, LLC.
- Defendants proposed a settlement totaling $80,000 to resolve the matter.
- Plaintiffs would receive $1,600 each (totaling $54,000) with $26,000 allocated to plaintiffs’ counsel for fees and costs.
- Court must review whether the settlement is a fair and reasonable resolution of a bona fide dispute under Lynn’s Food Store.
- Settlement includes a confidentiality provision, and plaintiffs request the court retain jurisdiction to enforce the agreement.
- Court grants motion to approve settlement only after amendments removing confidentiality and ensuring independent attorney’s fees are separately negotiated.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the FLSA settlement is fair and reasonable. | Salazar Vasquez argues settlement must be fair and reasonable under Lynn’s Food Store. | Harvesting contends the proposed settlement is acceptable if fair and reasonable. | Denial of approval; more information needed to establish fairness. |
| Whether attorney’s fees were negotiated independently of plaintiffs’ recovery. | Plaintiffs contend fees may have affected plaintiffs’ recovery and were not negotiated separately. | Defendant maintains fees may be part of the overall consideration without independent negotiation. | Denied; lack of independent fee negotiation requires rejection of approval. |
| Whether the confidentiality provision undermines the bona fide disputeresolution. | Confidentiality obstructs enforcement and public compliance with FLSA. | Parties may include confidentiality as part of settlement. | Confidentiality invalidates the settlement for purposes of court approval; must remove confidentiality. |
| Whether the court should retain jurisdiction to enforce the settlement. | Court declines to retain jurisdiction absent independent justification; not presently retained. |
Key Cases Cited
- Lynn's Food Store, Inc. v. United States, 679 F.2d 1350 (5th Cir. 1982) (required review of settlement for fairness under FLSA)
- Bonetti v. Embarq Mgmt. Co., 715 F. Supp. 2d 1222 (M.D. Fla. 2009) (separate negotiation of fees to avoid conflict of interest)
- Kreager v. Solomon & Flanagan, P.A., 775 F.2d 1541 (11th Cir. 1985) (fee awards are mandatory for prevailing plaintiffs under FLSA)
- Silva v. Miller, 307 F. App’x 349 (11th Cir. 2009) (court reviews reasonableness of counsel’s fees)
- Dees v. Hydrady, Inc., 706 F. Supp. 2d 1227 (M.D. Fla. 2010) (confidentiality provisions undermine private-public rights under FLSA)