The Fairness Hearing has been rescheduled to February 26, 2025 at 10:00 a.m.
Recently the United States District Court for the Western District of Pennsylvania approved a partial settlement in the case Wintjen v. Denny’s, Inc., et al. Case No. 2:19-cv-00069.
This matter began with Plaintiff Juli Wintjen (“Wintjen”) filing suit against Denny’s, Inc. (“Denny’s” or “Defendant”) alleging violations of the Fair Labor Standards Act (“FLSA”), 29 U.S.C. §§ 201, et seq., and the Pennsylvania Minimum Wage Act (“PMWA”). Plaintiffs claim that Defendants failed to properly pay Tipped Employees the applicable minimum wage for all hours worked. Plaintiffs allege that Defendant failed to satisfy the notice requirements of the tip credit provisions in federal and Pennsylvania state law. Defendant expressly denies any wrongdoing and denies all of Plaintiffs’ claims.
Who is affected by the proposed Settlement? The FLSA Collective and the ETCN Rule 23 Class, collectively referred to as the Partial Settlement Class. The FLSA Collective is defined as:
Plaintiff Gower and the individuals in the modified FLSA Collective Class as set forth in the Court’s Order of July 13, 2023 and who do not affirmatively elect to withdraw their Consent to Sue form with the Court prior to the Bar Date. Excluded from the FLSA Collective is Plaintiff Wintjen.
The ETCN Rule 23 Class is defined as:
All Tipped Employees of Defendant identified on Exhibit A submitted to the Court on March 14, 2024, who were employed by Defendant at a Denny’s Restaurant in Pennsylvania at any time from January 22, 2016, through August 1, 2019 to which Denny’s did not pay the full state minimum wage because it claimed a tip credit for that employee pursuant to applicable state laws, including the PMWA. Excluded from this class are all Tipped Employees who submit a timely and valid Request for Exclusion.
What are the terms of the proposed Settlement? While it denies any liability whatsoever, under the Settlement Agreement, Defendant will pay a total of Four Hundred Thirty-Seven Thousand Five Hundred Dollars ($437,500.00) to settle the claims of the FLSA Collective and ETCN Rule 23 Subclass (“Settlement Amount”). The Settlement Amount will be used to cover all payments to members of the Partial Settlement Class, fees and expenses incurred by the Claims Administrator in administering this Settlement, and any Service Payment to Plaintiff Gower (as awarded by the Court).
The Settlement Amount will be divided amongst the members of the Partial Settlement Class (less the deductions set forth above). The Claims Administrator will calculate Settlement Payments for members of the Partial Settlement Class. The methodology is described in detail in the Notice of Class and Collective Action Settlement and Settlement Agreement.
What are my options? You have several options with regard to this Settlement. You can: 1) participate in the Settlement by doing nothing and receive your portion of the Settlement; 2) object to the Settlement; or 3) exclude yourself from the Settlement entirely by mailing the red Request for Exclusion form which will act as a notice of withdrawal of your Consent to Sue form if you are a member of the FLSA Collective.
Details about each option and how each option will affect your rights under the law are explained in the Notice of Class and Collective Action Settlement available here. Any action by you must be taken by October 10, 2024.
When and where will the Court decide whether to approve the settlement? The Court will hold a Final Approval Hearing at 3:00 p.m. on December 5, 2024, via telephonic conference. At this hearing, the Court will consider whether the Settlement is fair, reasonable, and adequate. If there are valid objections, the Court also will consider them and will listen to people who have asked to speak at the hearing. The Court may also decide how much to pay to Class Counsel and Plaintiff Gower.
More details regarding the Settlement are available in the Settlement Agreement. You may review the Settlement Agreement here.