Case Information
*1 U NITED S TATES D ISTRICT C OURT M IDDLE D ISTRICT OF F LORIDA F T . M YERS D IVISION
RICKEY PRITCHARD on his own behalf
and others similarly situated,
Plaintiff, -vs- Case No. 2:11-cv-22-FtM-29DNF MERRILL GARDENS, LLC a foreign
limited liability company,
Defendant.
______________________________________
REPORT AND RECOMMENDATION TO THE UNITED STATES DISTRICT COURT
This cause came on for consideration on the parties’ Joint Motion for Approval of Settlement Agreement and Upon Court Approval, for Dismissal of the Action With Prejudice (Doc. 31) filed on June 29, 2011. The Plaintiff, Rickey Pritchard and the Defendant, Merrill Gardens LLC are requesting that the Court approve the parties’ settlement of the Fair Labor Standards Act (“FLSA”) claim. To approve the settlement, the Court must determine whether the settlement is a “fair and reasonable resolution of a bona fide dispute” of the claims raised pursuant to the Fair Labor Standards Act th (“FLSA”). Lynn’s Food Store, Inc. v. United States , 679 F.2d 1350, 1355 (11 Cir. 1982), and 29 U.S.C. §216. There are two ways for a claim under the FLSA to be settled or compromised. Id . at 1352-3. The first is under 29 U.S.C. §216(c), providing for the Secretary of Labor to supervise the payments of unpaid wages owed to employees. . at 1353. The second is under 29 U.S.C. §216(b) when an action is brought by employees against their employer to recover back wages. . When the *2 employees file suit, the proposed settlement must be presented to the district court for the district court review and determination that the settlement is fair and reasonable. . at 1353-54.
The Eleventh Circuit found settlements to be permissible when the lawsuit is brought by employees under the FLSA for back wages because the lawsuit
provides some assurance of an adversarial context. The employees are likely to be represented by an attorney who can protect their rights under the statute. Thus, when the parties submit a settlement to the court for approval, the settlement is more likely to reflect a reasonable compromise of disputed issues than a mere waiver of statutory rights brought about by an employer’s overreaching. If a settlement in an employee FLSA suit does reflect a reasonable compromise over issues, such as FLSA coverage or computation of back wages, that are actually in dispute; we allow the district court to approve the settlement in order to promote the policy of encouraging settlement of litigation. . at 1354.
The Plaintiff worked for the Defendant as a maintenance supervisor. The Plaintiff was represented by counsel throughout this litigation. There are disputed issues of fact and law as to the Plaintiff’s alleged claims against the Defendant. The parties settled this case for a total of $3,400.00. The Plaintiff will receive a $500.00 as overtime wages, and $500.00 as liquidated damages. Counsel for the Plaintiff shall receive the sum of $1,825.07 for attorney’s fees and $574.93 for costs. (See, Settlement Agreement, Doc. 31-1). The Court finds this settlement to be fair and reasonable.
IT IS RESPECTFULLY RECOMMENDED:
That the Joint Motion for Approval of Settlement Agreement, and Upon Court Approval, for Dismissal of the Action With Prejudice (Doc. 31) be granted and the Settlement Agreement (Doc. 31- 1) be approved by the Court as a “fair and reasonable resolution of a bona fide dispute” of the FLSA issues. The Court further recommends that if the District Court adopts this Report and Recommendation, then the Clerk be directed to dismiss this action with prejudice and close the file.
Failure to file written objections to the proposed findings and recommendations contained in this report within fourteen (14) days from the date of its filing shall bar an aggrieved party from attacking the factual findings on appeal.
Respectfully recommended in Chambers in Ft. Myers, Florida this 30th day of June, 2011. Copies: All Parties of Record
