Frequently Asked Questions

YOUR RIGHTS AND OPTIONS - AND THE DEADLINES TO EXERCISE THEM - ARE EXPLAINED IN THIS NOTICE.

WHY DID YOU RECEIVE THIS NOTICE?

This notice explains the nature of this lawsuit, as well as a proposed settlement of this lawsuit, and informs you of your legal rights under that proposed settlement. You are receiving this notice because you may be a member of a class which this class action lawsuit has been brought to protect. The Court has conditionally certified a Class for settlement purposes comprised of:

Any and all current and former non-settled non-exempt employees who worked for Defendant in California at any time during the time period of October 1, 2020 to October 1, 2022

The Court has also determined the PAGA Settlement appears fair, reasonable, adequate, and the release is narrowly tailored to the claims that were asserted, or could have been asserted, in the PAGA Complaint or PAGA Notice. The group of Aggrieved Employees includes:

Any and all current and former non-settled non-exempt employees who worked for Defendant in California at any time during the time period of August 18, 2020 to October 1, 2022

The Court has appointed as class counsel Otkupman Law Firm, A Law Corporation. (“Class Action Attorneys”).

WHAT IS THIS LAWSUIT ABOUT?

On August 18, 2021, Plaintiff David Carrillo (“Carrillo”) filed a representative action Complaint against 4131 Oceanside Blvd, LLC on behalf of himself, all others similarly situated, and the state of California, in the Superior Court of California for the County of San Diego, Case Number 37-2021-00035452-CU-OE-NC, alleging one cause of action for penalties pursuant to Labor Code section 2699(f) for violations of Labor Code sections 226.7, 512, 558, 510, 1194, 1194.2, 226(a), (e), 201-203, and 204(a), (b) (the “PAGA Complaint”). On August 19, 2021, Plaintiff Carrillo filed a class action Complaint against 4131 Oceanside Blvd, LLC on behalf of himself, all others similarly situated, in the Superior Court of California for the County of San Diego, Case Number 37-2021-00035661-CU-OE-NC, alleging seven (7) causes of action for failure to provide meal periods in violation of Labor Code sections 226.7, 512, and 558, failure to provide rest periods in violation of Labor Code sections 226.7, 512, and 558, failure to pay proper overtime compensation in violation of Labor Code sections 510, 1194, and 1194.2, knowing and intentional failure to comply with itemized employee wage statement provisions in violation of Labor Code sections 226 (a), (e), failure to timely pay employees in violation of Labor Code sections 204(a)(b), failure to timely pay wages due at termination in violation of Labor Code sections 201 – 203, and violation of Business and Professions Code section 17200 (the “Class Action Complaint”).

Defendant denies the allegations in the Complaints, and continues to deny any liability or wrongdoing of any kind associated with any of the claims alleged in the Complaints.

THE COURT HAS NOT RULED ON THE MERITS OF PLAINTIFF CARRILLO’S CLAIMS, DEFENDANT’S DEFENSES, OR THE SUBSTANTIVE CONTENTIONS OF THE PARTIES. NO INFERENCES REGARDING THE MERITS OF THE LITIGATION SHOULD BE DRAWN FROM THE SENDING OF THIS NOTICE. THIS NOTICE IS NOT MEANT TO IMPLY THAT THERE HAS BEEN ANY VIOLATION OF LAW OR WRONGDOING BY ANY PARTY OR THAT A RECOVERY AFTER TRIAL COULD BE HAD IF THE LITIGATION IS NOT SETTLED.

SUMMARY OF THE SETTLEMENT

A. Why is there a settlement?

The Court did not decide in favor of Plaintiff Carrillo or Defendant. Plaintiff Carrillo thinks he would have prevailed on his claims at a trial. Defendant does not think Plaintiff Carrillo would have won anything from a trial because it would have asserted legal and factual defenses to the claims. But there was no trial. Instead, both sides agreed to a settlement. That way, they avoid the costs, risks, and uncertainty of a trial, and the people affected will get compensation. Plaintiff Carrillo and Class Action Attorneys think the settlement is fair, reasonable and adequate and in the best interests of all members of the Class.

B. Who is in the Settlement Class?

Any and all current and former non-settled non-exempt employees who worked for Defendant in California at any time during the time period of October 1, 2020 to October 1, 2022 and who do not opt out of the settlement as explained below would be part of the “Settlement Class” (also referred to as a “Settlement Class Member”).

C. What does the settlement provide?

Defendant shall pay or cause to be paid to each Settlement Class Member, cash compensation based on the number of workweeks worked by Class Members during relevant time period. The identified Settlement Class Members shall receive a pro rata share of the Net Settlement Amount. The amount to be distributed to the Settlement Class, or the “Net Settlement Amount,” shall be determined by deducting the amounts awarded for Plaintiff Carrillo’s Attorney’s Fees, Plaintiff Carrillo’s Expenses, the Class Representative Enhancement Payment, Settlement Administration Costs, the payment of fifteen thousand dollars ($15,000.00) to the California Labor & Workforce Development Agency (the “LWDA Payment”), and the payment of five thousand dollars ($5,000.00) to be distributed amongst the Aggrieved Employees from the total consideration of one hundred eighty eight thousand dollars ($188,000.00) (“Gross Settlement Amount”).

It is estimated that the Net Settlement Amount will be approximately sixty four thousand seven hundred dollars ($64,700.00). Settlement Class Members will automatically receive a Settlement Payment based on the number of workweeks worked as set forth below unless they timely opt out of the Settlement.

Aggrieved Employees will also automatically receive a PAGA Settlement Payment from the allocated amount of five thousand dollars ($5,000.00) based on the number of Pay Periods worked. Aggrieved Employees receiving a share of the PAGA Amount will not have the opportunity to opt out of the PAGA Release as described on page 7 below.

Workweeks will be separately and distinctly calculated for each Settlement Class Member. Only Settlement Class Members who can be identified by the Settlement Administrator will receive a Settlement Payment. No Settlement Payments will be sent to any Settlement Class Member for whom a current address has not been identified.

If any Settlement Class Member does not cash his/her settlement check within one hundred eighty (180) calendar days after the Settlement Administrator mails the Settlement Payment to the Settlement Class Member, the check will become void, and the sum of the uncashed check will be transmitted to the California State Controller’s Office’s Unclaimed Property Division. The check cashing deadline shall be printed on the settlement check.

All Settlement Payments shall be allocated as follows: thirty three percent (33.33%) to the satisfaction of claims for unpaid wages and sixty six percent (66.66%) to the satisfaction of claims for civil penalties and interest. The payment for interest and penalties will be issued through a Form 1099 and will not be subject to tax withholdings or deductions. Any taxes due on the individual Settlement Payments shall be the responsibility of the individual Settlement Class Member. To ensure compliance with requirements imposed by the IRS, we inform you that any United States federal tax advice contained in this Notice was not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transaction or matter addressed herein.

D. What will I get?

E. What is the payment to the Class Representative?

Subject to Court approval, Plaintiff Carrillo will be paid a “Class Representative Enhancement” in an amount up to seven thousand five hundred dollars ($7,500.00) for his service as the class representative, as well as his willingness to accept the risk of paying Defendant’s attorney’s fees and costs in the event of an unsuccessful outcome.

F. How will the Class Action Attorneys be paid?

Class Action Attorneys will apply to the Court for an award of reasonable attorneys’ fees (“Class Action Attorney’s Fees”) in an amount up to sixty five thousand eight hundred dollars ($65,800.00) and reasonable litigation costs (“Plaintiff Carrillo’s Expenses”) in an amount up to fifteen thousand dollars ($15,000.00).

G. How will the Settlement Administrator be paid?

Subject to the Court approval, the Settlement Administrator will be paid up to fifteen thousand dollars ($15,000.00) from the Gross Settlement Amount for its work performed and costs incurred in providing notice to the Class and administering the Settlement.

H. What are you giving up to get a payment or stay in the Class?

The Settlement is intended to settle all claims, including unknown claims against Defendant.

If you were employed by Defendant in the state of California during the time period of October 1, 2020 through October 1, 2022, and you do not elect to exclude yourself from the Settlement Class, you will be deemed to have entered into the release of claims and to have released your claims. If the Settlement is not approved by the Court or does not become final for some other reason, the litigation will continue.

I. What are the Released Claims?

Plaintiff Carrillo and the Settlement Class Members do not opt out of the Class Action Settlement and who were employed by Defendant at any time between October 1, 2020 through October 1, 2022 will release all claims, causes of action, and legal theories alleged or which could have been alleged or otherwise raised based on the facts in the Class Action Complaint, including failure to provide meal and rest periods, failure to pay minimum wages, straight time wages, and overtime wages, failure to furnish accurate wage statements, failure to timely pay employees, failure to pay all wages during employment and at the time of termination, including any claims under California Labor Code sections 201 – 204, 210, 226, 226.7, 510, 512, 558, 1194, 1194.2, the related provisions contained in the California Wage Orders, and the California Business and Professions Code predicated on such Labor Code sections and California Wage Orders, including but not limited to Business and Professions Code section 17200.

Plaintiff Carrillo and the Aggrieved Employees who were employed by Defendant at any time between August 18, 2020 through October 1, 2022, shall release all claims for civil penalties under the PAGA premised on the claims, causes of action, and legal theories alleged or which could have been alleged or otherwise raised based on the facts in the PAGA Complaint that arose during the PAGA period, including but not limited to failure to provide meal and rest periods, failure to pay minimum wages, straight time wages, and overtime wages, failure to furnish accurate wage statements, failure to timely pay employees, and failure to pay all wages during employment and at the time of termination, including any claims under California Labor Code sections 201 – 204, 210, 226, 226.7, 510, 512, 558, 1194, 1194.2. Settlement Class Members receiving a share of the PAGA Amount will not have the opportunity to opt out of this PAGA Release. Upon the Court’s approval of this Settlement, the PAGA Release will become binding on the Aggrieved Employees employed during the time period of August 18, 2020 through October 1, 2022.

This means that if you currently have a case pending, or plan to file a case based on the above claims, you must exclude yourself from this class action in order to proceed on your own. You will be solely responsible for the costs of hiring your own attorney and proceeding on your own. If you wish instead to receive the benefits of this Settlement, and waive your right to proceed on your own, you should participate in this Settlement (do not exclude yourself).

THE SETTLEMENT HEARING

The Court has determined only that there is sufficient evidence to suggest that the proposed settlement might be fair, adequate, and reasonable, but the final determination by the Court will be made at the Final Settlement Hearing. The Court will conduct a final fairness hearing regarding the proposed Settlement (the “Final Settlement Hearing”) on September 8, 2023, at 1:30 p.m., in Department N28 of the San Diego County Superior Court, located at 325 S. Melrose, Vista, California 92081. The Court will determine: (i) whether the Action should be finally certified as a class action solely and exclusively for Settlement purposes; (ii) whether the Settlement should be given the Court’s final approval as fair, reasonable, adequate and in the best interests of the Settlement Class Members, and if so, whether to enter a judgment fully and finally resolving Plaintiff Carrillo’s and Settlement Class Members’ claims against Defendant; (iii) whether the Settlement Class Members should be bound by the terms of the Settlement, including the release of claims; (iv) the amount of the attorneys’ fees and expenses award to Class Action Attorneys; and (iii) the amount that should be awarded to Plaintiff Carrillo for the Class Representative Enhancement. At the Final Settlement Hearing, the Court will hear all properly filed objections, as well as arguments for and against the proposed Settlement. Assuming you do not elect to exclude yourself from the Settlement, you have a right to attend this hearing, but you are not required to do so. You also have the right to hire an attorney to represent you or to enter an appearance and represent yourself. You may appear at the final approval hearing whether or not you provided a notice to appear or a written objection beforehand. The Court has reserved the right to adjourn the Final Settlement Hearing to consider any issue, without further notice of any kind.

Should the Court enter a Final Judgment, the Settlement Administrator shall provide notice of the Final Judgment to the Settlement Class by posting it on the Settlement Administrator’s website at www.Carrillov4131OceansideBlvd.com.

WHAT ARE YOUR OPTIONS?

OPTION 1 – REMAIN A SETTLEMENT CLASS MEMBER. IF YOU WISH TO REMAIN A SETTLEMENT CLASS MEMBER AND OBTAIN ANY SHARE OF THE SETTLEMENT THAT YOU MAY BE ENTITLED TO RECEIVE YOU DO NOT NEED TO DO ANYTHING OTHER THAN MAKE SURE THE SETTLEMENT ADMINISTRATOR HAS YOUR CURRENT ADDRESS. YOU ARE NEVER REQUIRED TO GO TO COURT OR PAY ANYTHING TO THE LAWYERS IN THIS CASE. If the Court approves the proposed Settlement, you automatically will be mailed your share of the Settlement proceeds. If the Court does not approve the Settlement, the lawsuit will continue, and you may or may not be designated a Class Member at a later time. If your address information is incorrect or you move, provide your current address to: Simpluris, the Settlement Administrator, P.O. Box 26170, Santa Ana, CA 92799 (the “Settlement Administrator”).

OPTION 2 – REMAIN A CLASS MEMBER AND OBJECT TO THE SETTLEMENT. If you wish to remain a Settlement Class Member, but you object to the proposed Settlement (or any of its terms) and wish the Court to consider your written objection at the Final Settlement Hearing, you must put your objection in writing. Your written objection must contain the name of the case and the docket number (which are shown at the top of this Notice), your name and address, and your reason or reasons for objection. To object in writing, you must mail the written objection to: Simpluris, the Settlement Administrator, P.O. Box 26170, Santa Ana, CA 92799. To be valid and effective, any written objections to approval of the Settlement must be postmarked no later than August 28, 2023. DO NOT CONTACT THE COURT.

OPTION 3 – EXCLUDE YOURSELF FROM THE CLASS. You have a right to exclude yourself (“opt out”) from the class, but if you choose to do so, you will not receive any money from the proposed Settlement and you will not have standing to object to the Settlement. You will not be bound by a judgment in this case and you will have the right to file your own lawsuit against Defendant and pursue your own claims in a separate suit. If you want to exclude yourself from the Class, you must complete and sign a written request for exclusion containing your name, address and telephone number to: Simpluris, the Settlement Administrator, P.O. Box 26170, Santa Ana, CA 92799. Your written request for exclusion must be postmarked on or before August 28, 2023 and sent via certified mail return receipt requested. Any request for exclusion post-marked after this date shall be of no force and effect. Any Class Member who mails a complete and timely request for exclusion shall, upon receipt, no longer be a member of the Settlement Class, shall be barred from participating in any portion of the Settlement, and shall receive no benefits from the Settlement. Any such person, at their own expense, may pursue any claims he/she may have against Defendant.

If you first request exclusion from, and opt out of, the Class Settlement and then object in writing, the written objection will not be valid. If you submit any written objection and then request exclusion, and opt out of, the Class Settlement, you will be deemed to have waived your objection.

ARE THERE MORE DETAILS ABOUT THE SETTLEMENT?

If you wish to learn more about the Action and the Settlement, including the precise terms and conditions of the Settlement as set forth in the detailed Class Action and PAGA Settlement Agreement, you may review the pleadings, the orders entered by the Court, and other papers filed in this litigation, at the San Diego County Superior Court located at 325 S. Melrose, Vista, California 92081, during its regular business hours each business day, or on the Court’s website.

ALL INQUIRIES REGARDING THIS LITIGATION SHOULD BE MADE TO PLAINTIFF CARRILLO’S AND CLASS ACTION ATTORNEYS: Roman Otkupman, Esq., Otkupman Law Firm, A Law Corporation, 5743 Corsa Ave., Suite 123, Westlake Village, CA 91362, Telephone: (818) 293-5623.

PLEASE DO NOT CONTACT THE COURT OR DEFENDANT’S ATTORNEYS FOR INFORMATION. BY ORDER OF THE SUPERIOR COURT OF THE STATE OF CALIFORNIA