Settlements

A recent case, Lopez v. Uno Express Cleaners Inc., 18-cv-10737, 2019 WL 6873796 (SDNY Dec. 17, 2019), illustrates how courts evaluate settlement agreements under the Fair Labor Standards Act (FLSA), as mandated by the Second Circuit’s decision in Cheeks v. Freeport Pancake House, Inc., 796 F.3d 199 (2d Cir. 2015). In this case, plaintiff, who was…

Read More FLSA Settlement Rejected in Light of Overbroad Release
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A recent decision, Grant v. Almonte, 2019 NY Slip Op 00057 (App. Div. 1st Dept. Jan. 3, 2019), provides some insight into the mechanics of an “open court” settlement under New York Civil Practice Law & Rules 2104. That statute provides: An agreement between parties or their attorneys relating to any matter in an action, other than…

Read More Marking Court File Did Not Qualify as a CPLR 2104 Stipulation
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Employment discrimination cases are often resolved by settlement – i.e., a negotiated agreement for the parties to discontinue a case on agreed-upon terms. A settlement can be reached either before or after the commencement of litigation. In many, if not most, cases, the agreement will be reduced to a writing and signed by the parties.…

Read More Settling an Employment Discrimination Case: The Agreement
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Buried within the Tax Cuts and Jobs Act (signed into law on Dec. 22, 2017) is a provision, at Sec. 13307, titled “Denial of Deduction for Settlements Subject to Nondisclosure Agreements Paid in Connection With Sexual Harassment or Sexual Abuse”. This section amends Internal Revenue Code (26 U.S.C.) 162 by adding a new section, section 162(q),…

Read More Sexual Harassment Settlements Affected By New Tax Law
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A recent upstate appellate decision addresses the correlation between a sexual harassment claim, on the one hand, and workers’ compensation benefits, on the other. In Shiner v. Suny at Buffalo, No. 522762, 2016 WL 6782717, (N.Y. App. Div. 3d Dept. Nov. 17, 2016), the court affirmed the Workers Compensation Board’s decision that claimant’s failure to obtain…

Read More Sexual Harassment Settlement Bars Further Workers Compensation Benefits, De
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An upstate sexual harassment lawsuit, Knapp v. General Electric Company, 16-cv-00340, has been settled (under undisclosed terms) following mandatory mediation. Plaintiff alleged, in her March 23, 2016 federal court complaint, that she was constructively discharged after she complained about sexual harassment. Specifically, plaintiff alleged (e.g.) that a supervisor left her notes such as “you look sexy…

Read More Sexual Harassment Lawsuit Against General Electric Settled
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In McLeod v. Post Graduate Ctr. for Mental Health, No. 14-cv-10041, 2016 WL 6126014 (S.D.N.Y. Sept. 30, 2016), SDNY Magistrate Judge Francis issued a Report & Recommendation that the court grant defendants’ motion to enforce a post-mediation Memorandum of Understanding (MOU) settling plaintiff’s employment discrimination case pursuant to Title VII of the Civil Rights Act…

Read More “Buyer’s Remorse” Notwithstanding, Federal Court Enforces Post-Mediation Memorandum of Understanding Settling Title VII Employment Discrimination Case
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NYPD Officer Ann Cardenas, indicated, in an October 20, 2016 filing, that she has settled her sexual harassment lawsuit against defendants the City of New York, Sergeant David John, and Police Officer Angel Colon. The Daily News reports that the settlement amount is $535,000, allocated as $500,000 from the City, $20,000 from John, and $15,000…

Read More Settlement of Female NYPD Officer Ann Cardenas’ Sexual Harassment Lawsuit
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A recent decision, Smith v. JPMorgan Chase, No. 15 CIV. 808 (PAE), 2016 WL 5339548 (S.D.N.Y. Sept. 23, 2016), is instructive on the law governing settlement agreements, including those claimed to bar Title VII discrimination claims. In this case, the African American plaintiff alleged that she “was terminated after an internal investigation for a violation of…

Read More Court Holds That Settlement Agreement Was Broad Enough to Include Title VII Claims
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