Vasquez v. Coast Valley Roofing, Inc.

670 F. Supp. 2d 1114, 2009 U.S. Dist. LEXIS 106973, 2009 WL 3857428
CourtDistrict Court, E.D. California
DecidedNovember 17, 2009
Docket2:07-cr-00227
StatusPublished
Cited by18 cases

This text of 670 F. Supp. 2d 1114 (Vasquez v. Coast Valley Roofing, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Vasquez v. Coast Valley Roofing, Inc., 670 F. Supp. 2d 1114, 2009 U.S. Dist. LEXIS 106973, 2009 WL 3857428 (E.D. Cal. 2009).

Opinion

MEMORANDUM DECISION AND ORDER GRANTING PLAINTIFFS’ REQUEST FOR PRELIMINARY APPROVAL OF CLASS ACTION SETTLEMENT (DOC. 52)

OLIVER W. WANGER, District Judge.

I. INTRODUCTION

Plaintiffs Enriquez Vasquez and Juan Andres Ruiz brought this action on behalf of themselves and approximately 150 current and former roofing workers employed by Defendants Coast Roofing, Inc. *1119 (“Coast”) and Francis Dominic Giangrossi, alleging violations of federal and state wage-and-hour laws. See First Amended Class Action Complaint (“FAC”), filed Sept. 19, 2007, Doc. 23. Before the court for decision is Plaintiffs’ motion for preliminary approval of the terms of a negotiated Class Action Settlement. Doc. 52. No opposition to the motion has been received.

II. FACTUAL BACKGROUND

A. Summary of the Litigation.

The FAC alleges that Coast failed to pay overtime and minimum wages; failed to pay wages due at termination of employment; failed to provide all legally required meal periods and rest breaks; failed to provide accurate, itemized employee wage statements; and failed to compensate employees for travel time and mileage. The FAC sought to certify a class composed of Plaintiffs and similarly situated individuals and to recover back wages, interest, penalties, and attorneys’ fees and costs from Defendants.

Plaintiffs’ counsel reviewed employee records gathered pursuant to pre-litigation non-discovery methods provided by California Labor Code section 226, interviewed numerous witnesses, and reviewed hundreds of pages of documents from employees before filing the complaint. Mallison Deck, Doc. 54, at ¶¶ 36-38. After the complaint was filed, Plaintiffs conducted substantial discovery and non-discovery investigation regarding class certification and the merits of their claims. Id.

B. Summary of the Settlement.

1. The Gross Settlement Payment.

Under the Settlement, Coast will make a Gross Settlement Payment of $300,000. This payment will cover Settlement Shares to be paid to Class Members who submit valid claims; the employer share of payroll taxes on the Settlement Shares; a $10,000 payment to the California Labor and Workforce Development Agency for its share of the settlement of civil penalties; the Settlement Administrator’s reasonable fees and expenses (estimated to be less than $25,000); and (subject to court approval) payments to Plaintiffs, in addition to their Settlement Shares, of $5,000 each in compensation of their services as Class Representatives and payments to Class Counsel of up to $100,000 for their reasonable attorneys’ fees and up to $10,000 in expenses. See Settlement Agreement (“Settlement”) § III.A-C, attached to Mallison Deck at Ex. 1, Doc. 54-2. There will be no reversion of the Gross Settlement Payment to Coast.

2. Payment of Settlement Shares.

After the other amounts are deducted, the Gross Settlement Amount (termed the “Net Settlement Amount”) will be distributed as Settlement Shares to all Class Members who submit valid claims, based upon the following allocation formula:

The Settlement Share for each Claimant will be based on (a) that Claimant’s total number of Months of Employment during the Class Period (b) divided by the aggregate number of Months of Employment of all Participating Class Members during the Class Period (with the division rounded to four decimal places) (c) multiplied by the value of the Net Settlement Amount.

Settlement § III.D.l. The formula relies upon information readily available from Coast’s records and is commonly used in wage-and-hour cases. Mallison Deck at ¶¶ 41-42.

3. Distribution of Unclaimed Funds and Uncashed Checks.

In the event that not all Class Members submit claims, the residual will be redistributed to those Class Members who do submit valid claims. Settlement § III.D.3. In the event that checks issued to Class *1120 Members are not cashed, these monies will be donated to two public interest organizations on a 50%/50% basis: (1) the California Rural Legal Assistance; and (2) the Boys and Girls Club of Bakersfield. Id. § III.F.10. Donation of the residual to these public interest organizations that serve low-income workers is appropriate. See Mallison Decl. at ¶ 43.

4. Scope of the Release.

The Settlement provides that all Participating Class Members release Defendants as follows:

As of the date of the Judgment, all Participating Class Members hereby fully and finally release Coast, and its parents, predecessors, successors, subsidiaries, affiliates, and trusts, and all of its employees, officers, agents, attorneys, stockholders, fiduciaries, other service providers, and assigns, from any and all claims, known and unknown, for or related to all claims based on or arising from the allegations that they were or are improperly compensated under federal, California, or local law (the “Class’s Released Claims”). The Class’s Released Claims include all such claims for alleged unpaid wages, including overtime compensation, missed meal-period and rest-break wages or penalties, and interest; related penalties, including, but not limited to, recordkeeping penalties, pay-stub penalties, minimum-wage penalties, missed meal-period and rest-break penalties, and waiting-time penalties; and costs and attorneys’ fees and expenses.

Settlement § III.G.2.

5. Objections and Opt-Out Process

Any Class Member who so wishes may object to or comment on the Settlement, or may elect not to participate in the Settlement. The Class Notice fully explains the objection/comment and opt-in procedures. Settlement § III.F.4.

6. Termination of Settlement.

The Settlement provides for confirmatory discovery to be conducted during the approval process. Plaintiffs reserve the right to void the Settlement if this confirmatory discovery reveals any substantial variance from previous discovery or other factual representations made by defendants and relied upon by Plaintiffs as the basis for the Settlement. Plaintiffs do not anticipate any such termination of the settlement, but are conducting this confirmatory discovery to ensure the fairness of the Settlement for the class and to fully carry out their obligations to the class and the Court.

7. Class Representative Payments; Class Counsel Attorneys’ Fees Payment and Class Counsel Litigation Expenses Payment.

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Cite This Page — Counsel Stack

Bluebook (online)
670 F. Supp. 2d 1114, 2009 U.S. Dist. LEXIS 106973, 2009 WL 3857428, Counsel Stack Legal Research, https://law.counselstack.com/opinion/vasquez-v-coast-valley-roofing-inc-caed-2009.