Federal Court Grants Final Approval of Six Million-Dollar Settlement for 500+ Workers

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Federal Court Grants Final Approval of Six Million-Dollar Settlement for 500+ Workers

Federal Court Grants Final Approval of Six Million-Dollar Settlement for 500+ Workers


Federal Court Grants Final Approval of Six Million-Dollar Settlement for 500+ Workers

October 15, 2020, Santa Ana, CA – The United States District Court granted final approval and rendered judgment in a $6 million wage-and-hour, class action settlement with real estate appraisal giant CoreLogic. The deal will pay 524 workers over $7,000 net, each, on average, in Mitchell v. CoreLogic, Inc. et al., Case No. 8:17-cv-02274-DOC-DFM (C.D.Cal.).

The Court’s award approved $2 million in attorneys’ fees, as well, higher than the typical fee award in a federal court case in California, recognizing the plaintiffs’ attorneys’ special efforts.

In 2019, real estate appraisal giant CoreLogic thought it had won a major victory in the case, compelling over 250 workers who had joined a federal overtime collective action under the Fair Labor Standards Act (FLSA) into individual arbitration. But, the arbitration motion victory turned out to be the beginning of Defendant’s problems, rather than an end to them.

In January 2020, the United States District Court Judge David O. Carter ordered Defendant CoreLogic to pay $86,355.62 in sanctions to Plaintiffs’ Counsel Bryan Schwartz Law, P.C. and Nichols Kaster, LLP for “willfully and unreasonably disobey[ing]” the Court’s orders compelling arbitration. Even though CoreLogic won its arbitration motion, it stopped paying arbitration fees for 110 of the 160 individual arbitrations Plaintiffs initiated, resulting in the sanctions.

In December 2019, Judge Carter issued a tentative order granting class certification for those who had not agreed to arbitration. Defendant, facing a hefty sanctions bill, hundreds of thousands of dollars in imminent arbitration costs, a certified FLSA collective action, and a likely-to-be-certified California class action, opted to settle the whole case for $6 million.

The settlement includes provisions which required CoreLogic to change its pay practices, and in fact, CoreLogic has already changed the pay scheme with an “efficiency” metric, which had reduced incentive pay for overtime hours claimed, and which was the principle impetus for the case.

“In such a difficult year, our clients need this cash more than ever. We are delighted that, after hard-fought litigation, relief is on the way, soon,” said Bryan J. Schwartz, co-lead counsel for Plaintiffs. “Employers should think carefully before trying to force class cases into individual arbitrations – it could backfire!” said Matthew C. Helland, of Nichols Kaster, PLLP, Plaintiffs’ co-lead counsel with Mr. Schwartz.

For additional information about the case please call Bryan Schwartz Law, P.C. at (888) 891-8489 or Nichols Kaster, LLP at (877) 448-0492.

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