Labor and Employment Shareholder James P. Looby and Associate Allie E. Czerniak authored the new article “FLSA Ruling Shows Split Over Court Approval of Settlements” for Law360. The article discusses a recent ruling in Bazemore v. Papa John’s USA Inc. by a Kentucky federal court, adding to a growing judicial divide over whether courts must approve settlements in Fair Labor Standards Act (FLSA) collective actions.
In their analysis, Looby and Czerniak note that the recent decision highlights a trend across federal courts finding that they are neither required nor authorized to approve private settlements releasing FLSA claims. The authors find that with the variation in federal court decisions, the issue will likely need to be addressed by the U.S. Supreme Court in the near future, potentially impacting how FLSA claims may be released.
For more on the case decision and the questions raised for employers and employees regarding the enforceability of private settlements, visit the Law360 website, here (subscription required), or download the article below.
