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CONFIDENTIAL

Dec. 4, 2001

Employment Law
Class Action
Unpaid Wages

Confidential

Settlement –  $255,250

Judge

Anthony J. Mohr

Court

L.A. Superior Central


Attorneys

Plaintiff

Eric B. Kingsley
(Kingsley & Kingsley APC)


Defendant

Gerald L. Sauer
(Sauer & Wagner LLP)


Facts

The plaintiffs and 976 class members were employees at two restaurants in West Hollywood. At the time of their
hire by the defendants, they were required to train for their positions by participating in "observational
training" to learn the establishmentÆs policies and procedures. In addition, the defendants allegedly required
the plaintiffs and class members to participate in monthly meetings held on Saturday mornings for which there
was dispute as to whether or not they were to be compensated. In addition, the defendants allegedly failed to
pay their employees for breaks that were not taken or were taken but the employees were not allowed to leave
the premises. The plaintiffs claimed unpaid wages and penalties pursuant to Labor Code Section 203 as well as
restitution pursuant to Business and Professions Code Section 17200.
The defendants denied all of the allegations except for a small amount of observational
training, which they claimed had not been paid due to an administrative error. The defendants
also claimed that the imposition of penalties pursuant to Labor Code Section 203 was improper.
The defendants contested certification of the class under the C.C.P. Section 382.

Settlement Discussions

Prior to the filing of any class-action lawsuits, the defendants participated in settlement discussions with the Office of the Labor Commissioner and had reached tentative settlement of some of the claims. After the filing of the class action lawsuits, a mediation was held before retired judge Daniel Weinstein, and the parties agreed to present settlement.


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