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CHAO v. JUDITH LYNN HOME FOR ADULTS

United States District Court, S.D. New York


March 29, 2004.

ELAINE L. CHAO, Secretary of Labor, United States Department of Labor Plaintiff,
v.
JUDITH LYNN HOME FOR ADULTS, LLC; ALFRED SCHONBERGER, Individually and as Owner of JUDITH LYNN HOME FOR ADULTS, LLC; JUDITH SCHONBERGER, Individually and as Owner of JUDITH LYNN HOME FOR ADULTS, LLC; and ROBERT SNYDER, Individually and as Administrator of JUDITH LYNN HOME FOR ADULTS, LLC, Defendants

The opinion of the court was delivered by: LEWIS KAPLAN, District Judge

CONSENT JUDGMENT

Plaintiff, hereinafter called the Secretary, has filed her complaint and defendants appeared by Counsel and an agreement was reached by the parties to resolve the issues raised in this action. Defendants acknowledge their responsibilities pursuant to this agreement, and acknowledge that they will be subject to sanctions Page 2 in contempt of this Court if they fail to comply with the provisions of this Judgment, and that the defendants, without admitting the alleged violations, consent to the entry of this Judgment; it is, therefore, upon motion of the attorneys for plaintiff and for good cause shown:

  I. ORDERED, ADJUDGED, AND DECREED that defendants JUDITH LYNN HOME FOR ADULTS, LLC, ALFRED SCHONBERGER, JUDITH SCHONBERGER, and ROBERT SNYDER, their officers, agents, servants, and employees, and all persons acting or claiming to act in their interest and behalf be, and they hereby are, permanently enjoined and restrained from violating the provisions of section 7, 11(c), 15(a)(2), and 15(a)(5) of the Fair Labor Standards Act of 1938, as amended, (29 U.S.C. § 201 et seq.), hereinafter called the Act, in any of the following manners:

  (1) Defendants shall not, contrary to section 7 of the Act, employ any of their employees in any workweek who are employed in an enterprise engaged in commerce, within the meaning of the Act, for workweeks longer than the hours now, or which in the future become, applicable under sections 7 and 15(a)(2) of the Act, unless the said employees receive compensation for their employment in excess of the prescribed hours at rates not less than one and one-half times the employees' regular rates. Page 3

  (2) Defendants shall not fail to make, keep, and preserve adequate records of their employees and of the wages, hours, and other conditions and practices of employment maintained by them as prescribed by the Regulations issued pursuant to Section 11(c) of the Act and found at 29 C.F.R. Part 516; and

  Further, the Court finding, as agreed by Defendants that THIRTY THOUSAND FIVE HUNDRED DOLLARS ($37,500) in overtime compensation and THIRTY THOUSAND FIVE HUNDRED DOLLARS ($37,500) in liquidated damages for a total of SEVENTY-FIVE THOUSAND DOLLARS ($75,000) are due certain employees, plus postjudgment interest in the amount of $252.82, according to Schedules A and B, attached hereto, it is:

  II. ORDERED, ADJUDGED, AND DECREED that the defendants JUDITH LYNN HOME FOR ADULTS, LLC, ALFRED SCHONBERGER, JUDITH SCHONBERGER, and ROBERT SNYDER be, and hereby are, restrained from the withholding of the payment of overtime compensation, liquidated damages, and postjudgment interest due to their employees in the total sum of $75,252.82. Payment of the aforesaid sum shall be made in one lump-sum payment of $19,909.62 and the remaining $55,343.20 will be paid in four quarterly installments. The lump-sum payment of $19,909.60 shall be paid by defendants on or before March 19, 2004 by delivering a lump-sum certified check made payable to "Wage and Hour-Labor" to Bank of America, United States Department of Labor, Employment Standards Administration, Wage and Page 4 Hour Division, P.O. Box 845229, Dallas, Texas 75284-5229. The plaintiff shall deliver the proceeds of each check less any legal deductions to the employees as indicated in Schedule A.

  The remaining four installment payments shall be made by defendants by delivering a lump-sum certified check in accordance with the amounts and dates set forth in Schedule B, made payable to "Wage and Hour-Labor" to Bank of America, United States Department of Labor, Employment Standards Administration, Wage and Hour Division, P.O. Box 845229, Dallas, Texas 75284-5229. The plaintiff shall deliver the proceeds of each check less any legal deductions to the employees as indicated in Schedule B.

  In the event that any one installment payment is not made within 10 days of the due date as set forth above, all remaining installment payments become due immediately.

  Neither defendants nor anyone on their behalf shall directly or indirectly solicit or accept the return or refusal of any sums paid as backwages, liquidated damages, and postjudgment interest under this Judgment.

  Any sums not distributed to the employees named herein, or to their personal representatives because of inability to locate the proper persons or because of such persons' refusal to accept such sums, shall be deposited with the Clerk of this Court who shall forthwith deposit such money with the Treasurer of the United States pursuant to 28 U.S.C. § 2041 and § 2042. Page 5

  Defendants shall assist the U.S. Department of Labor in the distribution of the backwages, liquidated damages, and postjudgment interest due by providing the last known addresses and social security numbers of the defendants' employees and former employees to be paid.

  III. IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that neither the commencement of this action nor the provisions of this Consent Judgment shall in any way affect, determine, or prejudice any and all legal rights of any employees of defendants not listed in Schedule A or Schedule B of this Judgment, be they current or former employees, to file any action against defendants under section 16(b) of the Act or likewise for any current or former employee listed on Schedule A or Schedule B of this Judgment to file any action against defendants under section 16(b) of the Act for any violations alleged to have occurred after August 17, 2002. Page 6

  IV. IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that each party will bear its own fees and other expenses incurred by such party in connection with any stage of this proceeding.

  Defendants appeared by counsel and the entry of this Judgment is hereby consented to by defendants.

20040329

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