Gonzalez v. Corrections Corporation of America

District Court, E.D. California·Decided March 26, 2020·No. 1:16-cv-01891·Unknown

Opinion

JOSE GONZALEZ, individually and on Lead Case No. 1:16-cv-01891-DAD-JLT behalf of all similarly situated people, Member Case No. 1:17-cv-01094-DAD-JLT Plaintiff, v. ORDER GRANTING PRELIMINARY CORECIVIC OF TENNESSEE, LLC and APPROVAL OF CLASS ACTION Defendants. (Doc. No. 59)

THOMAS RICHARDS, individually and on behalf of all similarly situated people, Plaintiff, v. CORECIVIC OF TENNESSEE, LLC, Defendant. This matter came before the court on August 6, 2019, for hearing on plaintiff Jose Gonzalez’s second unopposed motion for preliminary approval of a class action settlement. (Doc. No. 59.) Attorneys Peter Dion-Kindem and Lonnie Blanchard appeared telephonically on behalf of plaintiffs and the putative class, and attorney Paul Gleason appeared telephonically on behalf of defendants. For the reasons set forth below, the court will grant preliminary approval of the proposed class action settlement. Defendants CoreCivic, Inc. and CoreCivic of Tennessee, LLC (collectively, the “defendants”) operate correctional facilities in California where plaintiffs Jose Gonzalez and Thomas Richards (collectively, the “plaintiffs”) were employed as correctional officers. (Doc. No. 1 at 19); see also Richards v. CoreCivic of Tennessee, LLC, No. 1:17-cv-01094-DAD-JLT (E.D. Cal. 2016) (Doc. No. 25 at 4–5) [hereinafter the “Richards case”]. Plaintiffs allege various wage-and-hour claims brought on behalf of correctional officers and other workers at defendants’ private correctional facilities. (See Doc. No. 1.) Plaintiff Gonzalez had previously moved for preliminary approval of a settlement resolving claims brought in both this action and the Richards case on June 15, 2018. (Doc. No. 40.) The court denied preliminary approval of the proposed settlement on September 13, 2018, and advised the parties that significant changes would be necessary in order for the court to approve the settlement. (Doc. No. 48 at 27.) After making several revisions, plaintiff Gonzalez moved a second time for preliminary approval of the settlement on July 2, 2019. (Doc. No. 59.) At the August 6, 2019 hearing on the pending motion, the court identified several issues with the settlement and directed the parties to make the following changes to facilitate its approval: 1) consolidate the Richards case with this action; 2) dismiss the Private Attorneys General Act (“PAGA”) claim in the Richards case; 3) have plaintiff Richards join the pending motion; and 4) amend the proposed Class Notice to accurately reflect the undersigned’s name. (Doc. No. 62.) The parties duly complied with the court’s instructions. (See Doc. Nos. 63–67.) This action now proceeds as the lead case, with plaintiff Richards joining plaintiff Gonzalez’s pending motion for preliminary approval of the settlement. (Doc. No. 64.) After taking the motion under submission, the court identified several additional issues regarding the settlement and, on March 3, 2020, directed the parties to file briefing in response to its inquiries. (Doc. No. 71.) After the parties responded on March 13, 2020, the court identified a deficiency with the briefing and requested further documentation that same day. (Doc. Nos. 72, 73.) The parties fulfilled the court’s final request immediately. (Doc. No. 74.) A. The Settlement Class Period For settlement purposes, the parties agree that the relevant class period ran from October 17, 2012 to February 28, 2019. (Doc. No. 59 at 9.) B. The Proposed Subclasses For settlement purposes, the parties agree to certification of the following subclasses: Subclass 1 – Non-compliant Meal and Rest Break Claims Class: All non-exempt employees of Defendant in California during the Class Period. Subclass 2 – On Duty Meal Period Agreement Class: All non- exempt employees of Defendant in California during the Class Period who worked at the California City Correctional Facility in the position of Detention Officer, Senior Detention Officer or Assistant Shift Supervisor who executed an On-Duty Meal Period Agreement. Subclass 3 – Off-the-Clock Security Measures Claims Class: All non-exempt employees of Defendant in California during the Class Period who worked at the California City Correctional Facility, San Diego Detention Center and/or the Otay Mesa Detention Center. (collectively, the “Class Members”) (Id. at 10–11). Subclass 1, being “all non-exempt employees of defendants in California,” is the overarching class; Subclasses 2 and 3 are subsets of Subclass 1. (Doc. No. 72 at 6.) C. Summary of the Settlement Terms Under the proposed settlement (the “Settlement”), defendants agree to fund a non- reversionary settlement of $3,200,000 (the “Gross Settlement Fund”). (Doc. No. 59 at 9.) The Gross Settlement Fund is allocated as follows: Subclass 1 – Non-compliant Meal and Rest Break Claims Class: A gross settlement amount of $1,950,000 for all non-exempt employees of Defendant in California during the Class Period (approximately 1070 total members). Based upon the proportional relationship between this settlement fund and the gross settlement, this class will be allocated 60.9375% of the Net Settlement Fund. Subclass 2 – On Duty Meal Period Agreement Class: A gross settlement amount of $300,000 for all non-exempt employees of Defendant in California during the Class Period who worked at the California City Correctional Facility in the position of Detention Officer, Senior Detention Officer or Assistant Shift Supervisor who executed an On Duty Meal Period Agreement (approximately 201 total members). Based upon the proportional relationship between this settlement fund and the gross settlement, this class will be allocated 9.375% of the Net Settlement Fund. Subclass 3 – Off-the-Clock Security Measures Claims Class: All non-exempt employees of Defendant in California during the Class Period who worked at the California City Correctional Facility, San Diego Detention Center and/or the Otay Mesa Detention Center. A gross settlement amount of $950,000 for approximately 686 total members. This class will be allocated about 30% of the Net Settlement Fund. (Id. at 11.) The following will be deducted from the Gross Settlement Fund: 1) settlement administration costs not to exceed $15,500 (Doc. No. 72 at 27); 2) attorneys’ fees of one-third of the Gross Settlement Fund, or $1,066,667 (Doc. No. 59 at 10); 3) attorneys’ costs not to exceed $40,000 (id.); and 4) incentive awards of $15,000 to plaintiff Jose Gonzalez and $10,000 to Thomas Richards. (Id.) Assuming those allocations are made in full, the remaining amount (the “Net Settlement Fund”), worth $2,052,833, will be available for distribution to the Settlement Class Members on a non-claims and non-reversionary basis. (Id. at 21; Doc. No. 72 at 12.) Individual payments to each class member will be determined as follows: Individual Settlement Payments of class members will be calculated and apportioned from the Net Settlement Fund based on the Gross Earnings of each Participating Settlement Class Member during the Settlement Class Period. The Gross Earnings for each member of the Settlement Class during the Settlement Class Period will be known as the Individual Settlement Class Member Payroll. The total gross payroll for each Settlement Subclass shall be calculated by adding together the Individual Settlement Class Member Payroll for all members of the Settlement Subclass. This total sum will be known as Total Settlement Subclass Payroll. The Settlement Administrator shall then divide each Settlement Subclass member’s Individual Settlement Class Member Payroll by the applicable Total Settlement Subclass Payroll. This calculation will result in a percentage figure for each member of the Settlement Class (the “Percentage Figure”). A Participating Settlement Class Member’s share of the Net Settlement Fund will be calculated by multiplying the Participating Settlement Class Member’s Percentage Figure by the portion of the Net Settlement Fund allocated to the applicable Settlement Subcl

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Gonzalez v. Corrections Corporation of America, (E.D. Cal. 2020).

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