Settling can be a bad thing when it comes to relationships between romantic partners, but it might just be the easiest way to deal with some employee lawsuits that don't require judicial intervention, according to the opinion of one New York judge.
U.S. District Judge Brian Cogan of Brooklyn approved a request to settle a dispute out of court by an employee who was filing a claim for unpaid time and attendance against a tutoring company, called Bilingual Seit & Preschool Inc, as reported by Reuters.
"Although I have ruled to the contrary in the past, I have come around to the view that the procedure of a court requiring approval before it permits parties to voluntarily dismiss an FLSA action is incorrect," wrote Cogan in response to his decision, which overturns a previous rule that said cases couldn't be settled out of court. "I believe the parties can voluntarily dismiss an FLSA case without judicial approval - if the defendant is willing to undertake the risk of doing so."
That being said, it appears as if the moral of the story is - settle at your own risk. Employee lawsuits can be lengthy, complicated and difficult to navigate. However, they can also be lucrative for wronged workers. Employers who are found in violation of the Fair Labor Standards Act (FLSA) can be ordered to pay back wages, issue funds for liquidated damages and cover additional penalties.
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