Facts

Thomas Lewis and and Eliseo Leal both worked as drivers for Express Messenger Systems dba OnTrac. On February 22, 2013, Lewis filed a class action complaint in Los Angeles Superior against Express Messenger for wage-and-hour violations. Three months later, Leal also filed the same type of complaint against Express with the same court. The court related the two cases, assigning Lewis's case as the lead. On January 31, 2014, Lewis filed a first amended complaint adding Aurelio Sanchaez and adding Private Attorneys General Act claims.

PLAINTIFFS' CONTENTIONS: Plaintiffs contended that they were misclassified as independent contractors and asserted causes of action for unpaid overtime; unpaid minimum wages; unpaid meal and rest period premiums; wages not timely paid on termination; unpaid, necessary business expenses; non-compliant wage statements; unfair business practices; and PAGA penalties.

DEFENDANT'S CONTENTIONS: Defendant denied the allegations and having engaged in any wrongdoing, maintaining that it settled solely to eliminate the burden, expense, and delay of further litigation.

Settlement Discussions

The parties participated in mediation with Mark Rudy. Though they were unable to reach a settlement initially, after on-going negotiations, on October 6, 2020, they reached the preliminary terms that led to the settlement agreement.

Result

The parties settled for $10.5 million, the maximum amount defendant would be obligated to pay under the agreement.