Facts

With Scott Williams as lead plaintiff, 800 former and current employees of Costco in California, who worked there between July 17, 1998 and May 26, 1999 as department mangers in the bakery, deli, or meat sections, brought a class action against Costco.

PLAINTIFF'S CONTENTIONS:
Plaintiffs argued that defendant failed to pay overtime and failed to compensate for all hours worked. In addition, plaintiffs claimed that defendant committed unfair business practices and had waiting time penalties, which both violated Industrial Welfare Commission Orders, the California Code of Regulations, and the California Labor Code. Williams also claimed that defendant improperly classified him as exempt from overtime laws, in violation of the Fair Labor Standards Act, California Labor Code, and California Code of Regulations.

DEFENDANT'S CONTENTIONS:
Defendant argued that the class was exempt from overtime laws.

Damages

Plaintiffs requested nominal and compensatory damages, recitation, waiting term penalties, Labor Code penalties, interest, costs, and attorney fees.

Result

The parties reached a settlement whereby defendant agreed to pay $440,000 in payments to class members, including $110,000 in attorney fees and $5,000 for Williams.