A federal judge has approved a $1 million settlement against the city of Rye and Rye Golf Club over claims by waiters and other club employees that they were stiffed on overtime payments and tips.
Judge Nelson S. Roman approved the settlement and dismissed the class action lawsuit after a fairness hearing on June 30.
Rye City Council had authorized the $1 million payment in December for the city-owned golf club, based on a preliminary settlement.
The settlement covers former and current waiters, bussers, bartenders, dishwashers, kitchen staff and other hourly employees who worked at the golf club at any time from late 2007 through July 2016.
Fifty-four people are listed as plaintiffs.
Initially, notices were mailed to 243 people who were potentially eligible to join the lawsuit. In April, notices and claim forms were mailed to class members, based on a confidential list provided by the plaintiff”™s law firm. Seventy-eight were delivered and 11 were undeliverable.
The court awarded $328,321 in attorney”™s fees to Pelton Graham LLC, Manhattan for 591 hours of work, at $125 to $450 an hour, by seven paralegals and lawyers.
The firm was also awarded $3,881 for expenses. Another $11,155 was allocated for administrative expenses.
That leaves $656,643 for the employees, or an average of $8,419 each, if the final class is composed of 78 people. Named plaintiffs will each receive up to $2,500 as service awards for taking part in the lawsuit.
The city also agreed to host an event for the employees and their families at Whitby Castle, the club”™s restaurant, at a time to be determined.
