Rodriguez v. BELFOR USA Group, Inc.

District Court, N.D. California·Decided October 9, 2025·No. 5:22-cv-02071·Unknown

Opinion

1 2 3 4 UNITED STATES DISTRICT COURT 5 NORTHERN DISTRICT OF CALIFORNIA 6 SAN JOSE DIVISION 7 8 RICHARD RODRIGUEZ, Case No. 22-cv-02071-VKD

9 Plaintiff, ORDER GRANTING MOTION FOR FINAL APPROVAL OF SETTLEMENT 10 v. AND MOTION FOR ATTORNEYS’ FEES, COSTS, AND A CLASS 11 BELFOR USA GROUP, INC., et al., REPRESENTATIVE ENHANCEMENT PAYMENT Defendants. 12 Re: Dkt. Nos. 82, 83

14 Plaintiff Richard Rodriguez asserts claims under the Fair Labor Standards Act, 29 U.S.C. 15 § 201, et seq. (“FLSA”), the California Private Attorneys’ General Act, California Labor Code 16 § 2698, et seq. (“PAGA”), and other California state labor laws on behalf of himself and others 17 similarly situated against his former employers, defendants Belfor USA Group, Inc., Belfor 18 Environmental, Inc., Oakwood Construction and Restoration Services, Inc., and 1 800 Water 19 Damage North America, LLC (collectively “defendants”). See Dkt. No. 27. On May 21, 2025, 20 the Court granted plaintiff’s motion for preliminary approval of a class, collective, and 21 representative action settlement agreement. Dkt. No. 81. Now before the Court are plaintiff’s 22 motion for final approval of the settlement (Dkt. No. 83), and class counsel’s motion for attorneys’ 23 fees, costs, and a class representative enhancement payment (Dkt. No. 82). Defendants do not 24 oppose the motion. The Court held a fairness hearing regarding final approval on October 7, 25 2025. Dkt. No. 87. 26 Having considered the arguments of counsel and the papers submitted, the Court grants the 27 motion for final approval of the settlement agreement and the motion for attorneys’ fees, costs, 1 and class representative enhancement payment as set forth below.1 2 I. BACKGROUND 3 Defendants provide property recovery and restoration services for properties damaged by 4 natural disasters, such as fires and floods, on a nationwide basis. Dkt. No. 27 ¶ 21. The four 5 named corporate defendants are wholly owned by the same parent corporation, share corporate 6 officers, and operate out of a single headquarters in Birmingham, Michigan. Dkt. No. 4; Dkt. No. 7 27 ¶¶ 20-21. Mr. Rodriguez was employed by defendants as a non-exempt “Water Damage 8 Specialist – Laborer” from approximately March of 2020 to December of 2021. Dkt. No. 27 ¶ 5. 9 Mr. Rodriguez claims that during his employment, defendants violated the FLSA and 10 California labor law by, among other things: (1) requiring unpaid overtime work; (2) failing to 11 provide timely meal periods during the workday; (3) failing to provide paid rest periods during the 12 workday; (4) requiring the use of personal cell phones for business purposes; and (5) requiring 13 workers to report for scheduled shifts, but sending them home unpaid if no work was available. 14 See id. ¶¶ 68-163. In the operative complaint, Mr. Rodriguez asserts claims for: (1) violations of 15 the FLSA (unpaid overtime and minimum wages, meal and rest period violations, failure to keep 16 accurate records of all hours worked); (2) violations of California Labor Code §§ 510 and 1198 17 (unpaid overtime); (3) violations of California Labor Code §§ 1182.12, 1194, 1197, 1197.1, and 18 1198 (unpaid minimum wages); (4) violations of California Labor Code §§ 226.7, 512(a), 516, 19 and 1198 (meal period violations); (5) violations of California Labor Code §§ 226.7, 516, and 20 1198 (rest period violations); (6) violations of California Labor Code §§ 226(a), 1174(d), and 21 1198 (non-compliant wage statements and failure to maintain accurate payroll records); (7) 22 violations of California Labor Code §§ 201 and 202 (wages not timely paid upon termination); (8) 23 violations of California Labor Code § 204 (failure to timely pay wages during employment); (9) 24 violations of California Labor Code § 1198 and California Code of Regulations Title 8, § 1160 25 Subdivision 5(B) (failure to provide reporting time pay); (10) violations of California Labor Code 26 1 All parties have expressly consented that all proceedings in this matter may be heard and finally 27 adjudicated by a magistrate judge. Dkt. Nos. 7, 8; 28 U.S.C. § 636(c); Fed. R. Civ. P. 73. As 1 § 2802 (unpaid business-related expenses); (11) civil penalties pursuant California Labor Code § 2 2698, et seq. (PAGA); (12) violations of California Business & Professions Code § 17200, et seq. 3 (unlawful business practices); and (13) violations of California Business & Professions Code 4 § 17200, et seq. (unfair business practices). Id. ¶¶ 68-210. 5 The Court initially denied plaintiff’s motion for preliminary approval of the settlement, 6 citing several concerns. Dkt. No. 48. After the parties engaged in further settlement negotiations 7 and agreed on various amendments to address the Court’s concerns, the Court granted plaintiff’s 8 motion for preliminary approval of the amended settlement on May 21, 2025. Dkt. No. 81. The 9 terms of the amended settlement agreement are memorialized in the parties’ Amended Joint 10 Stipulation of Class, Collective, and PAGA Action Settlement and Release. Dkt. No. 75-2 ¶ 6, Ex. 11 1. 12 The amended settlement agreement encompasses claims relating to three categories of 13 employees. First, the settlement defines a “settlement class” consisting of “all persons who were 14 employed by defendants in the State of California in non-exempt positions at any time during the 15 period from February 25, 2018 through May 21, 2025.” Dkt. No. 83 at 4; Dkt. No. 75-2 at ECF 31 16 (¶ 5). The Court refers to this as the “California class” in this order. There are 1,049 participating 17 members in the California class. Dkt. No. 83 at 4. Second, the settlement identifies an FLSA 18 collective consisting of “all persons who were employed by Defendants in the United States of 19 America in non-exempt positions at any time during the period from February 25, 2019 through 20 May 21, 2025.” Id. at 5; Dkt. No. 75-2 at ECF 32 (¶ 14). There are 4,432 members in the FLSA 21 collective, of whom 488 have opted in to the FLSA settlement.2 Dkt. No. 83 at 5. Third, the 22 settlement includes a PAGA settlement amount for members consisting of “all persons who were 23 employed by Defendants in the State of California in non-exempt positions at any time during the 24 period from March 8, 2021 through May 21, 2025.” Id. at 5; Dkt. No. 75-2 at ECF 34 (¶ 25). 25 There are 716 PAGA members, all of whom are—by definition—also members of the California 26 2 Mr. Rodriguez originally reported that 479 FLSA collective members had opted in to the FLSA 27 settlement. Dkt. No. 83-2 ¶ 7-8. At the final approval hearing, class counsel reported that they 1 class. See Dkt. No. 83 at 5. 2 In sum, the parties have agreed to a non-reversionary settlement for a release of claims in 3 return for a gross settlement amount of $1,622,000 to be distributed amongst the members of the 4 three employee categories, their attorneys, the settlement administrator, and Mr. Rodriguez. Id. at 5 2. 6 1. California Class 7 The largest share of the monetary relief, referred to as the “net settlement fund,” will be 8 distributed to the members of the California class. Id. at 2, 5. It is defined as “the portion of the 9 Gross Settlement Amount remaining after deducting the Attorneys’ Fees and Costs, Class 10 Representative Enhancement Payment, PAGA Settlement Amount, FLSA Settlement Fund, and 11 Settlement Administration Costs.” Dkt. No. 75-2 at ECF 33-34 (¶ 23). The value of the net 12 settlement fund is $801,686.26. Dkt. No. 83 at 5.

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Rodriguez v. BELFOR USA Group, Inc., (N.D. Cal. 2025).

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