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Kirby v. FIC Restaurants Inc.

Refusal to Approve Settlement of FLSA, NYLL Pay, Overtime Action Is Explained

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MEMORANDUM DECISION AND ORDER I. INTRODUCTION   Pending before the Court is the parties’ unopposed motion for approval of their settlement agreement, attorneys’ fees, and costs. See Dkt. No. 18. Specifically, the parties seek the Court’s action with respect to the following: (1) approving the $750,000 settlement set forth in the Settlement Agreement and Release (“Settlement Agreement”), and ruling that the Settlement Agreement is binding on all Parties; (2) ordering entry of the Approval Order attached to the Settlement Agreement; (3) approving the proposed Notice of Settlement attached to the Settlement Agreement and directing its distribution; (4) approving service awards as outlined in the Settlement Agreement; (5) awarding Plaintiffs’ counsel’s attorneys’ fees and costs, as outlined in the Settlement Agreement; (6) approving Plaintiffs’ proposed settlement procedure; (7) approving the Settlement Claims Administrator’s fees; (8) dismissing the case with prejudice; and (9) retaining jurisdiction as necessary for the purpose of enforcing the Settlement Agreement. See Dkt. No. 18 at 1-2. II. BACKGROUND On October 22, 2019, Plaintiffs Brittani Kirby and Kareem Sullivan filed a Class Action Complaint against FIC Restaurants, Inc. (“Defendant”) alleging seven causes of action for various violations of the Fair Labor Standards Act (“FLSA”) and New York Labor Law (“NYLL”). See generally Dkt. No. 1, Class Compl. The named Plaintiffs, who were tipped servers working at a Friendly’s restaurant in Syracuse, New York, generally alleged that Defendant failed to pay them minimum wage for all hours worked, required them to work “off the clock” without pay, failed to pay overtime and “spread of hours” compensation, failed to provide annual wage notices and accurate wage statements, and failed to provide a uniform maintenance allowance. See id. at

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