United States District Court, M.D. Florida, Orlando Division
FREDDIE MUNGEN, CHRISTIAN MATTILA, and KEVIN BERRIOS, Plaintiffs,
LOYAL SOURCE GOVERNMENT SERVICES, LLC, Defendant.
REPORT AND RECOMMENDATION
GREGORY J. KELLY UNITED STATES MAGISTRATE JUDGE.
cause came on for consideration without oral argument on the
MOTION: PARTIES' RENEWED JOINT MOTION
MEMORANDUM OF LAW FOR APPROVAL OF SETTLEMENT
AGREEMENT (Doc. No. 40)
FILED:March 14, 2018
THEREON it is RECOMMENDED
that the motion be GRANTED.
March 2, 2017, Plaintiff Freddie Mungen filed a collective
action complaint against Defendant, alleging that it violated
the overtime provisions of the Fair Labor Standards Act (the
“FLSA”), 29 U.S.C. § 207(a). Doc. No. 1.
Subsequently, Kevin Berrios and Christian Mattila joined the
litigation as party plaintiffs. Doc. Nos. 12, 25. On March
14, 2018, the parties filed a Renewed Joint Motion and
Memorandum of Law for Approval of Settlement Agreement (the
“Motion”) requesting that the Court approve their
settlement agreement (the “Agreement”) and
dismiss the case with prejudice. Doc. No. 40.
Lynn's Food Stores, Inc. v. United States Department
of Labor, 679 F.2d 1350, 1352-53 (11th Cir. 1982), the
Eleventh Circuit addressed the means by which an FLSA
settlement may become final and enforceable:
There are only two ways in which back wage claims arising
under the FLSA can be settled or compromised by employees.
First, under section 216(c), the Secretary of Labor is
authorized to supervise payment to employees of unpaid wages
owed to them . . . . The only other route for compromise of
FLSA claims is provided in the context of suits brought
directly by employees against their employer under section
216(b) to recover back wages for FLSA violations. When
employees bring a private action for back wages under the
FLSA, and present to the district court a proposed
settlement, the district court may enter a stipulated
judgment after scrutinizing the settlement for fairness.
unless the parties have the Secretary of Labor supervise the
payment of unpaid wages owed or obtain the Court's
approval of the settlement agreement, the parties'
agreement is unenforceable. Id.; see also
Sammons v. Sonic-North Cadillac, Inc., No.
6:07-cv-277-Orl-19DAB, 2007 WL 2298032, at *5 (M.D. Fla. Aug.
7, 2007) (noting that settlement of FLSA claim in arbitration
proceeding is not enforceable under Lynn's Food
because it lacked Court approval or supervision by the
Secretary of Labor). Before approving an FLSA settlement, the
Court must scrutinize it to determine if it is a fair and
reasonable resolution of a bona fide dispute.
Lynn's Food Store, 679 F.2d at 1354-55.
If the settlement reflects a reasonable compromise over
issues that are actually in dispute, the Court may approve
the settlement. Id. at 1354.
determining whether the settlement is fair and reasonable,
the Court ...