Document ID: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-2_15-cv-02624/USCOURTS-caed-2_15-cv-02624-3/pdf.json

Parties Involved:
Community Loans of America, Inc.
Counter Claimant
Fast Auto Loans, Inc.
Counter Claimant
Fast Auto and Payday Loans
Defendant
Robert Reich
Counter Claimant
Keyeanna Saunders
Counter Defendant

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Case No.: 2:15-CV-02624-WBS-CKD

STIPULATION RE APPROVAL OF SETTLEMENT AGREEMENT AND DISMISSAL WITH PREJUDICE AND

[PROPOSED] ORDER THEREON

DAVID P. MASTAGNI, ESQ. (SBN 57721)

DAVID E. MASTAGNI, ESQ. (SBN 204244)

ISAAC S. STEVENS, ESQ. (SBN 251245)

JEFFREY R. A. EDWARDS, ESQ. (SBN 265597)

DAVID L. KRUCKENBERG, ESQ. (SBN 307051)

MASTAGNI HOLSTEDT

A Professional Corporation

1912 I Street

Sacramento, California 95811-3151

Telephone: (916) 446-4692

Facsimile: (916) 447-4614

jedwards@mastagni.com

Attorneys for Plaintiff and Counterdefendant

James H. Berry, Jr. (State Bar No. 075834)

Kate LaQuay (State Bar No. 178250)

LANDAU GOTTFRIED & BERGER LLP

1801 Century Park East, Suite 700

Los Angeles, California 90067

Telephone: (310) 557-0050

Facsimile: (310) 557-0056

Email: jberry@lgbfirm.com

Email: klaquay@lgbfirm.com

Attorneys for Defendants and Counterclaimant

FAST AUTO LOANS, INC.,

COMMUNITY LOANS OF AMERICA, INC., and

ROBERT REICH

UNITED STATES DISTRICT COURT

EASTERN DISTRICT OF CALIFORNIA

KEYEANNA SAUNDERS, suing 

individually and by and on behalf of all others 

similarly situated, and the general public,

Plaintiffs,

vs.

FAST AUTO LOANS, INC., a California 

Corporation D/B/A/ FAST AUTO AND 

PAYDAY LOANS; COMMUNITY LOANS 

OF AMERICA, INC., a Georgia Corporation; 

and ROBERT REICH, an individual,

Defendants.

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Case No.: 2:15-CV-02624-WBS-CKD

Date Action Filed: Dec. 18, 2015

CLASS ACTION & COLLECTIVE 

ACTION

STIPULATION RE APPROVAL OF 

SETTLEMENT AGREEMENT AND 

DISMISSAL WITH PREJUDICE AND 

[PROPOSED] ORDER THEREON

Case 2:15-cv-02624-WBS-CKD Document 24 Filed 08/03/16 Page 1 of 6
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2 Case No.: 2:15-CV-02624-WBS-CKD

STIPULATION RE APPROVAL OF SETTLEMENT AGREEMENT AND DISMISSAL WITH PREJUDICE AND

[PROPOSED] ORDER THEREON

FAST AUTO LOANS, INC., a California 

Corporation,

Counterclaimant,

vs.

KEYEANNA SAUNDERS, an individual,

Counterdefendant.

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The parties to the above captioned action, through their respective counsel, hereby 

STIPULATE to the following:

1. Plaintiff KeyeAnna Saunders alleged that she presently or was previously employed by 

Defendants. Plaintiffs and Defendants shall be collectively referred to herein as “Parties.”

2. Plaintiff filed the above captioned action (“Action”) on behalf of herself and all others 

similarly situated alleging violations of the Fair Labor Standards Act, 29 U.S.C. § 201 et seq. 

(“FLSA”), the California Labor Code and California Industrial Welfare Commission wage orders, 

and the California Business and Professions Code. This Court has jurisdiction over the subject 

matter of this Action and over the Parties.

3. Plaintiff has not filed for class or collective action certification and no class or collective 

action has been certified. No other individual has joined in the action as a plaintiff.

4. The Defendants filed an Answer to the Complaint denying its material allegations and 

asserting affirmative defenses thereto.

5. Fast Auto Loans, Inc. filed a Counterclaim against KeyeAnna Saunders alleging breach of 

contract and fraud causes of action. Saunders filed an Answer to the Counterclaim denying its 

material allegations and asserting affirmative defenses thereto.

6. The Parties dispute the applicability of the FLSA, the California Labor Code and 

California Industrial Welfare Commission wage orders, and the California Business and 

Professions Code to the facts as alleged in the Complaint. The Parties also dispute the facts as 

alleged in the Counterclaim.

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3 Case No.: 2:15-CV-02624-WBS-CKD

STIPULATION RE APPROVAL OF SETTLEMENT AGREEMENT AND DISMISSAL WITH PREJUDICE AND

[PROPOSED] ORDER THEREON

7. The Parties wish to avoid the potential uncertainty, expense, and delay of litigation and 

have therefore reached an agreement to settle this matter. The terms of the Parties’ agreement are 

embodied in the Settlement Agreement and General Release (“Settlement Agreement”) that all 

Parties have executed. A copy of the Settlement Agreement is attached hereto as Exhibit A and 

incorporated herein.

8. When employees bring a private action for compensation under the FLSA, and present the 

District Court a proposed settlement, the District Court may enter a judgment after scrutinizing 

the settlement for fairness. Lynn's Food Stores, Inc. v. United States, 679 F.2d 1350, 1353 (11th 

Cir. 1982). Courts should approve settlements “in recognition of the policy encouraging 

settlement of disputed claims.” In re Prudential Sec. Inc. Ltd Partnerships Litig., 163 F.R.D. 200, 

209 (S.D.N.Y. 1995).

THEREFORE, the Parties, through their respective counsel, request that the Court:

1. Find that the Settlement Agreement contains a fair and just negotiated resolution to the 

current dispute between the Parties in this case;

2. Approve the Settlement Agreement by signing the Order set forth below;

3. Reserve jurisdiction over this Action and the Counterclaim for the limited purpose of 

enforcing the Settlement Agreement;

4. Upon the Court’s approval of the Settlement Agreement, dismiss this Action and the 

Counterclaim with prejudice. The Parties shall bear their respective attorney’s fees and 

costs. No Party is a prevailing party or entitled to attorney’s fees or costs

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4 Case No.: 2:15-CV-02624-WBS-CKD

STIPULATION RE APPROVAL OF SETTLEMENT AGREEMENT AND DISMISSAL WITH PREJUDICE AND

[PROPOSED] ORDER THEREON

Dated: July 29, 2016 Respectfully submitted,

LANDAU GOTTFRIEND & BERGER LLP

By: /s/ James H. Berry, Jr. 

JAMES H. BERRY, JR.

Attorneys for Defendants

COMMUNITY LOANS, INC. and ROBERT 

REICH and Defendant-Counterclaimant FAST 

AUTO LOANS, INC.

MASTAGNI HOLSTEDT, APC

By: /s/ Jeffrey R.A. Edwards

JEFFREY R. A. EDWARDS

Attorneys for Plaintiffs and Counterdefendant

KEYEANNA SAUNDERS

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5 Case No.: 2:15-CV-02624-WBS-CKD

STIPULATION RE APPROVAL OF SETTLEMENT AGREEMENT AND DISMISSAL WITH PREJUDICE AND

[PROPOSED] ORDER THEREON

ORDER

Before approving a Fair Labor Standards Act (“FLSA”) settlement, the court must 

scrutinize it to determine if it “is a fair and reasonable resolution of a bona fide dispute.” Lynn’s 

Food Stores, Inc. v. United States, 679 F.2d 1350, 1355 (11th Cir. 1982). If it reflects “a 

reasonable compromise over issues, such as FLSA coverage or computation of back wages, that 

are actually in dispute,” the court may “approve the settlement in order to promote the policy of 

encouraging settlement of litigation.” Id. at 1354. 

In this case, there is a bona fide dispute between the parties regarding the applicability of 

FLSA, the California Labor Code and California Industrial Welfare Commission wage orders, 

and the California Business and Professions Code to the facts alleged in the Complaint. 

(Stipulation ¶ 6 (Docket No. 23).) Furthermore, the Settlement Agreement appears to be fair and 

reasonable. The Settlement Agreement provides the total sum of $10,000 to plaintiff in full and 

final settlement of her claims. (Id. Ex. A, Settlement Agreement ¶ 7 (Docket No. 23-1).) 

Pursuant to the Settlement Agreement, $5,000 is allocated towards plaintiff’s claims under the 

FLSA and $5,000 is in exchange for plaintiff’s execution of a general release of all known and 

unknown claims that are held or may be held by her, including claims for any compensation, 

wages, or other sums. (Id.) The release settles all disputes and matters between defendants and 

plaintiff as an individual but does not release, waive, or otherwise affect the rights and claims of 

any putative class members referred to in the Complaint. (Id. ¶ 3.) After carefully reviewing the 

Stipulation and Settlement Agreement, the court therefore finds that the terms of the settlement 

agreement are fair and reflect a reasonable compromise. 

Based upon a review of the record, and good cause appearing, it is hereby ORDERED, 

ADJUDGED, and DECREED as follows:

1. The Settlement Agreement, which is incorporated herein by reference, is approved as 

fair, reasonable, and just in all respects as to the Plaintiff, the Defendants, and the 

Counterclaimant and Counterdefendant, and the Parties shall perform the Settlement 

Agreement in accordance with its terms;

2. The Court reserves jurisdiction over this Action for the purpose of enforcing the 

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6 Case No.: 2:15-CV-02624-WBS-CKD

STIPULATION RE APPROVAL OF SETTLEMENT AGREEMENT AND DISMISSAL WITH PREJUDICE AND

[PROPOSED] ORDER THEREON

Settlement Agreement;

3. The Court has made no findings or determination regarding the law or facts in dispute, 

and this Order and any exhibits and any of the other documents or written materials 

prepared in conjunction with the Stipulation and this Order shall not constitute 

evidence of, or any admission of, any violation of the law by any of the Parties;

4. This Action including the Counterclaim are hereby dismissed with prejudice;

5. There is no prevailing party. All Parties shall bear their own respective attorney’s fees 

and costs.

IT IS SO ORDERED:

Dated: August 2, 2016

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