Defense of Class Action
N/AOUTCOME: Settlement
De Castro & Morrow was asked to take over the representation of a large construction company who was being sued in a potential class action case for wage and hour violations. The client came to us beca ... use of our extensive experience and skill in defending class actions. The Plaintiffs claimed that they had not been paid overtime and had not been given meal and rest breaks. The initial demand was over three million dollars – an amount that would bankrupt the company. Two different class action claims had been filed by two different law firms. De Castro & Morrow realized that a key strategy would be to divide the two cases, which would cause friction between the two firms, and create confusion among the potential class members. De Castro & Morrow transferred one of the cases to Federal Court, where no Plaintiff ever wants to be. With one case in Federal Court, and the other in State Court, the two firms soon realized that the size of each class – and each case – was much smaller than they originally thought. With no good options left, the Plaintiffs quickly agreed to a paltry settlement, which allowed the construction company to continue its business.
