Ceron De Orozco v. Flagship Facility Services, Inc.

District Court, S.D. California·Decided December 18, 2020·No. 3:18-cv-02397·Unknown

Opinion

MARTA L. CERON DE OROZCO and Case No.: 18-CV-2397 JLS (JLB) EMMA BARCENAS, individually and on behalf of all similarly situated employees ORDER (1) GRANTING of Defendants in the State of California, PLAINTIFFS’ MOTIONS FOR (a) FINAL APPROVAL OF CLASS Plaintiffs, AND COLLECTIVE ACTION v. SETTLEMENT AND (b) ATTORNEY’S FEES, COSTS, AND CLASS REPRESENTATIVE INC.; and DOES 1 THROUGH 50, SERVICE AWARDS; AND inclusive, (2) ENTERING JUDGMENT Defendants. (ECF Nos. 47, 48)

Presently before the Court are Plaintiffs Marta L. Ceron de Orozco and Emma Barcenas’ Motions (1) in Support of Final Approval of Class and Collective Action Settlement (“Final Approval Mot.,” ECF No. 47), and (2) for Award of Attorney’s Fees, Costs and Class Representative Service Awards (“Fee Mot.,” ECF No. 48). Also before the Court are Defendant Flagship Facility Services, Inc.’s (“Defendant” or “Flagship”) Notice of Non-Opposition to Plaintiffs’ Motion for Final Approval of Class and Collective Action Settlement (ECF No. 49) and the Supplemental Declaration of Chris Pikus for Rust Consulting, Inc. Regarding Plaintiff’s Motion for Final Approval of Class and Collective Action Settlement (“Supp. Pikus Decl,” ECF No. 52). The Court held a hearing on December 17, 2020. See ECF No. 53. Because the Settlement is fundamentally fair, reasonable, and adequate, the Court GRANTS Plaintiffs’ unopposed Final Approval Motion. Further, because the requested attorneys’ fees, costs, settlement administration expenses, and service awards are reasonable, the Court GRANTS Plaintiffs’ Fee Motion. This case began on August 13, 2018, when Ms. Ceron de Orozco filed a putative class action against Flagship in the Superior Court of California for the County of San Diego. Declaration of Graham S. P. Hollis (“Hollis Decl.,” ECF No. 47-2) Ex. 1 ¶ 13. On October 18, 2018, Flagship removed Ms. Ceron de Orozco’s First Amended Complaint to the United States District Court for the Southern District of California. See ECF No. 1. On January 9, 2019, Ms. Ceron de Orozco filed the operative Second Amended Complaint (“SAC”), adding Ms. Barcenas as a named Plaintiff. See ECF No. 23. Mses. Ceron de Orozco and Barcenas are both former non-exempt employees of Defendant. See SAC ¶¶ 9, 12. Ms. Ceron de Orozco worked for Defendant as a janitor at the San Diego International Airport from January 1999 to October 2017. Id. ¶ 30. Ms. Barcenas worked for Defendant as a janitor at the San Diego International Airport from June 20, 2001 to December 20, 2016. Id. ¶ 32. Plaintiffs allege that Defendant (1) failed to provide off-duty meal and rest breaks, (2) failed to pay for all wages for off-the-clock work, (3) failed to reimburse for necessary business expenses, and (4) incurred waiting time and Private Attorneys General Act (“PAGA”) penalties. See generally id. Following mediation, the parties entered into a Joint Stipulation of Class Action and PAGA Representative Action Settlement and Release (the “Settlement”). See Hollis Decl. Ex. 1 at Ex. 1 (“Proposed Settlement”). On July 22, 2020, the Court preliminarily approved the Settlement, provisionally certified the class, approved the proposed class notice and notice plan, and appointed class counsel, class representatives, and the settlement administrator. See ECF No. 44 (“Prelim. Approval Order”). On August 20, 2020, the Court granted the Parties’ joint ex parte motion to modify the Preliminary Approval Order, approving an amendment to the Settlement modifying the definition of the Class Period, approving a proposed Amended Class Notice, and modifying the schedule for final approval. See ECF No. 46. On November 23, 2020, Plaintiffs filed the present Motions. See ECF Nos. 47, 48. I. Proposed Settlement Class and Subclass Originally, the Proposed Settlement Class (the “Non-Exempt Class”) included “all current and former non-exempt janitorial employees who worked for Defendant in California at any time from August 13, 2014 through the date of Preliminary Approval of the Settlement.” Proposed Settlement ¶ 1.22. On August 20, 2020, the Court approved an amendment to the definition of “Class Period,” providing for an end date of January 30, 2020. See ECF No. 46; see also Lin Decl. Ex. 1. Originally, the Proposed Settlement Subclass (the “Waiting Time Penalties Subclass”) included “all members of the Non-Exempt Class who separated from their employment with Defendant at any time from August 13, 2015 through the date of the Preliminary Approval of the Settlement.” Proposed Settlement ¶ 1.39. Again, the end date was subsequently modified to January 30, 2020. See ECF No. 46; see also Lin Decl. Ex. 1. In total, the Parties identified 6,922 potential Class Members. See Decl. of Chris Pikus for Rust Consulting, Inc. (“Pikus Decl.,” ECF No. 47-6) ¶ 7. II. Proposed Monetary Relief The Settlement provides for a $2,000,000 Maximum Settlement Amount, Proposed Settlement ¶ 1.20, allocating up to $600,000 to pay Class Counsel’s fees, id. ¶ 4.4, up to $35,000 to pay Class Counsel’s costs, id., $20,000 for the Class Representative Service Awards, id. ¶ 4.5, up to $39,000 to pay Settlement Administration Costs, id. ¶ 4.7, and 1 The Amendment to the Settlement was submitted to the Court as Exhibit 1 to the Declaration of David $15,000 for the California Labor and Workforce Development Agency’s (“LWDA”) portion of the PAGA Payment, id. ¶ 4.6, with the remaining Net Settlement to be “distributed to the Class Members,” id. Each Class Member will receive a portion of the Net Settlement “calculated based on the respective number of Qualifying Workweeks . . . worked during the Class Period.” Id. ¶ 4.3(a). First, the Settlement Administrator will determine the number of Qualifying Workweeks the Class Member worked during the Class Period. Id. ¶ 4.3(b). Then, if the Class Member also is a member of the Waiting Time Penalties Subclass, he or she will be allocated an additional six Qualifying Workweeks. Id. ¶ 4.3(c). Finally, each Class Member’s individual payment will be allocated based on his or her percentage of Qualifying Workweeks over the total number of Qualifying Workweeks for all Class Members. Id. Consequently, although payments will vary, “with the Net Settlement Amount currently estimated to be $1,291,000.00, this equates to approximately $3.09 per Qualified Workweek, with the average Class Member estimated to receive approximately $186.50.” ECF No. 47-1 (“Final Approv. Mot. Mem.”) at 9. The Parties also have set aside 5% of the Net Settlement for the settlement of Class Members’ FLSA claims. Id. ¶ 4.3(e). Class Members need to submit an opt-in form in a timely manner to be eligible for their FLSA Settlement Payment. Id. Once a Class Member timely submits his or her FLSA Consent Form, thereby opting in, he or she is “entitled to a pro-rata share of the FLSA Settlement Fund based on the ratio of the [individual’s] total number of Qualifying Workweeks. . . to the total number of Qualifying Workweeks that all participating Class Members worked during the Class Period.” See ECF No. 40-1 (“Mot. for Prelim. Approv. Mem.”) at 8. In exchange, the Class Members will release “any and all claims alleged in the Second Amended Complaint,” which includes claims for (a) Failure to provide meal periods, or premium pay; (b) Failure to provide rest periods, or premium pay; (c) Failure to pay all minimum and regular wages; (d) Failure to pay all overtime wages; (e) Failure to pay accrued vacation wages; (f) Failure to indemnify necessary business expenses; (g) Failure to timely pay all wages due during, and upon separation of, employment; (h) Failure to provide accurate itemized wage statements; (i) Failure to maintain accurate records; (j) Violation of Cal. Business and Professions Code §§ 17200, et seq., arising from the claims that are alleged in the Second Amended Complaint; (k) Penalties provided under Cal. Labor Code sections 226.7, 512, and 558, and the applicable IWC Wage Order for failure to provide meal an

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Ceron De Orozco v. Flagship Facility Services, Inc., (S.D. Cal. 2020).

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