DANIEL C. IRICK, District Judge.
This cause comes before the Court for consideration without oral argument on the following motion:
On May 1, 2018, Plaintiff filed a Complaint against Defendant alleging a cause of action for an alleged violation of the overtime provision of the Fair Labor Standards Act (the FLSA). Doc. 1. On March 12, 2018, Defendant answered Plaintiff's Complaint. Docs. 10. The Court entered an FLSA Scheduling Order on May 23, 2018. Docs. 5; 6.
On June 19, 2018, the parties filed a joint motion to approve settlement (the Motion), to which the parties attached their proposed settlement agreement (the Agreement). Docs. 13; 13-1. The Agreement provides that Defendant will pay Plaintiff $4,707.78 to settle her FLSA claims: $603.89 in unpaid wages, $603.89 in liquidated damages, and $3,500.00 in attorney fees. Docs. 13 at 3; 13-1 at 1. The parties request that the Court review and approve the Agreement and dismiss this case with prejudice. Doc. 13 at 4-5.
The settlement of a claim for unpaid minimum or overtime wages under the FLSA may become enforceable by obtaining the Court's approval of the settlement agreement.
See Leverso v. SouthTrust Bank of Ala., Nat'l Assoc., 18 F.3d 1527, 1531 n.6 (11th Cir. 1994). The Court may approve the settlement if it reflects a reasonable compromise of the FLSA claims that are actually in dispute. See Lynn's Food Stores, 679 F.2d at 1354. There is a strong presumption in favor of settlement. See Cotton v. Hinton, 559 F.2d 1326, 1331 (5th Cir. 1977).
The Court, in addition to the foregoing factors, must also consider the reasonableness of the attorney fees to be paid pursuant to the settlement agreement "to assure both that counsel is compensated adequately and that no conflict of interest taints the amount the wronged employee recovers under a settlement agreement." Silva v. Miller, 307 F. App'x 349, 351-52 (11th Cir. 2009).
The parties were represented by experienced counsel in this litigation, which involved disputed issues of liability under the FLSA. See Docs. 1; 5; 6; 13 at 4. In their Motion, the parties represented the following: the parties obtained sufficient information to allow them to make informed decisions; the parties engaged in substantive settlement discussions at arms-length; the settlement amount is equal to approximately 75% of Plaintiff's maximum possible damages and was based upon information learned through the exchange of records; and the parties wish to avoid the risks, unknowns, and costs associated with protracted litigation. Doc. 13.
Based upon the foregoing, the undersigned finds that $1,207.78 is a fair and reasonable settlement amount in this case.
Paragraph 5 of the Agreement provides as follows:
Doc. 13-1 at 2 (emphasis added). The undersigned finds that the italicized language — "This Agreement may be amended, modified, or changed only by written instrument or instruments executed by duly authorized officers or other representative of Constant and Lake Mary" — fails judicial scrutiny because the court cannot find an agreement to be fair and reasonable if it is not in its final form. See, e.g., Galasso v. Sascosports, Inc., No. 6:16-cv-2035-Orl-41KRS, 2017 WL 5501322, at *3 (M.D. Fla. Aug. 9, 2017), report and recommendation adopted, 2017 WL 5443164 (M.D. Fla. Nov. 2017); Rosado v. Melao Bakery, LLC, No. 6:16-cv-1060-Orl-41KRS, 2017 WL 2643982, at *4 (M.D. Fla. May 17, 2017), report and recommendation adopted, 2017 WL 2634795 (M.D. Fla. June 19, 2017). The remaining terms in the Agreement do not affect the overall reasonableness of the settlement, as the Agreement does not contain a general release, confidentiality provision, non-disparagement clause, or other potentially problematic contractual provision sometimes found in proposed FLSA settlement agreements.
Accordingly, it is
Pursuant to the Agreement, Plaintiff's counsel will receive a total of $3,500.00 as attorney fees and costs. Doc. 13-1 at 1. The parties represented that the attorney fees and costs were negotiated separately and without regard to the amounts paid to Plaintiff. Doc. 13 at 3-4. The settlement is reasonable to the extent previously discussed, and the parties' foregoing representation adequately establishes that the issue of attorney fees and costs was agreed upon separately and without regard to the amount paid to Plaintiff. See Bonetti, 715 F. Supp. 2d at 1228. Accordingly, pursuant to Bonetti, it is
Accordingly, it is
A party has fourteen days from this date to file written objections to the Report and
Recommendation's factual findings and legal conclusions. A party's failure to file written objections waives that party's right to challenge on appeal any unobjected-to factual finding or legal conclusion the district judge adopts from the Report and Recommendation. See 11th Cir. R.-1.