A proposed settlement has been reached in a class action lawsuit that was brought on behalf of a class of people defined as “all persons who are employed or have been employed as an hourly employee by CONTRACT METAL PRODUCTS, INC., in the State of California since July 13, 2014 through April 30, 2018."

You have received the notice because CONTRACT METAL PRODUCT, INC's records indicate that you are a member of this class.

On July 13, 2018, Plaintiff filed a complaint on behalf of himself, the State of California, and all hourly employees employed by CONTRACT METAL PRODUCTS, INC. in the State of California.

Plaintiff alleged, specifically, that CONTRACT METAL PRODUCTS, INC.: (1) Failure to Provide Meal Breaks Pursuant to Labor Code §§ 226.7 and 512; (2) Failed to pay timely wages in Violation of Labor Code § 203; and (3) Engaged in Unlawful Business Practices in Violation of Business & Professions Code § 17200.  On September 17, 2018, Plaintiff filed a First Amended Complaint adding an additional claim for penalties pursuant to the California Labor Code Private Attorneys General Act of 2004.  Subsequently, Plaintiff dismissed out the cause of action for a violation of Labor Code § 203.

CONTRACT METAL PRODUCTS, INC. denies Plaintiff’s claims, and asserts that it has complied with all of its legal obligations to its employees.

No.  The Court has made no decision regarding the merits of Plaintiff’s allegations or Defendant’s defenses.

The Parties reached a settlement in order to avoid the risk and expense of further litigation.  Plaintiff and his attorneys believe the proposed settlement is fair, adequate and in the best interest of the class members to whom it applies given the outcome of their investigation, the consumption of time and resources required in connection with further litigation, and the uncertainty in the law governing some of the claims presented.  Although CONTRACT METAL PRODUCTS, INC. disputes Plaintiff’s claims and asserts it has complied with all of its legal obligations towards its employees, CONTRACT METAL PRODUCTS, INC. has also concluded that further litigation would be protracted and expensive and would also divert resources and management and employee time.

The gross settlement amount is $275,000.00.  Under the proposed settlement, the following amounts will be deducted before any payments are made to employees, subject to final approval by the Court:

• Litigation Enhancement to Named Plaintiff - $5,000.00
• Attorneys’ fees– $91,666.66
• Attorneys’ Costs – $12,500.00
• Payments to the Labor & Workforce Development Agency to satisfy PAGA – $15,000.00 ($3,750.00 will be distributed to the Class).
• Settlement Administration Expenses – $15,264.00

After these deductions, approximately $139,319.34 will be available for payments to be made to the Class Members receiving the notice.

Each Settlement Class Member shall receive a lump sum based on the number of work weeks he/she worked for CONTRACT METAL PRODUCTS, INC. from July 13, 2014 through April 30, 2018.

The lump sum payment to you shall be determined based upon the total number of eligible work weeks you worked from July 13, 2014 through April 30, 2018.  The Settlement Administrator will calculate the lump sum payment to you by following this formula:  First, the Settlement Administrator will calculate the total Compensable Work Weeks for all Settlement Class Members by adding the number of Work Weeks worked by each individual Settlement Class Member during the Class Period.  The respective Compensable Work Weeks for each individual Settlement Class Member will then be divided by the total Compensable Work Weeks for all Settlement Class Members, resulting in the Payment Ratio for each Settlement Class Member.  Each Settlement Class Member’s Payment Ratio will then be multiplied by the Net Settlement Amount to calculate each Settlement Class Member’s estimated Individual Settlement Payments.

If you believe the information is incorrect regarding the number of eligible work weeks worked by you, you will need to write and sign a letter detailing the number of work weeks you believe is correct and enclosing any documentation supporting your contention (for example: itemized wage statements) to the Settlement Administrator as follows:

You must submit such information by June 10, 2021.  Make sure that you include your name on the letter and make clear that you are disputing the number of eligible work weeks worked by you in CONTRACT METAL PRODUCTS, INC. records.   The attorneys on both sides of this case will work together in good faith and do their best to promptly resolve the dispute based upon available records.

If you wish to receive a payment under the terms of this settlement, you do not have to do anything. However, it is advisable to confirm your current mailing address with the Settlement Administrator in order to ensure you receive your settlement share at (844) 975-1785. You will be covered by the release summarized in Section 8, below.

The claims you will Release by doing nothing are:

any and all claims, debts, liabilities, demands, obligations, penalties, guarantees, costs, expenses, attorney’s fees, damages, action or causes of action of whatever kind or nature that are alleged or that reasonably could have arisen out of the same facts alleged in the Second Amended Class Action Complaint, including, but not limited to failure to provide meal periods, unfair business practices, and all derivative PAGA penalties. This Release shall include, without limitation, claims that were raised, or that reasonably could have been raised, under the applicable Wage Orders and California Labor Code provisions, including Labor Code §§ 226.7, 512, and/or 2698 et seq., based on alleged violations of these Labor Code provisions (collectively, the “Released Claims”) during the time period from July 16, 2014 to April 20, 2018.

This Settlement is being paid in 24 installments over a two year period.  The final installment will be paid in approximately Spring 2023. However, there will be two distributions made to Settlement Class Members.  Assuming the Court grants preliminary approval of this Settlement, the first payment will be mailed out approximately three months after that.  The second payment will be mailed out approximately 8 months after the first payment is mailed.

If you move or change your address, please update your address with the Settlement Administrator.

Anyone not wishing to participate in this settlement may exclude himself or herself ("opt out") by sending a written request for exclusion to the Settlement Administrator at the address below.  The request for exclusion must be signed by you or your authorized representative indicating that you wish to exclude yourself from the Settlement.  The request for exclusion must be postmarked by June 10, 2021.

If your Request for Exclusion is postmarked after June 10, 2021, it will be rejected, and you will be a Settlement Class Member and be bound by the settlement terms.

Anyone who submits a timely and valid Request for Exclusion shall not be deemed a Class Member and will not receive any payment as part of this settlement.  Such persons will keep any rights to sue CONTRACT METAL PRODUCTS, INC. separately about the claims in this lawsuit.  Requests for exclusion must be sent to:

Any objection to the settlement must be in writing, specify the reason(s) for the objection, and be mailed to the Claims Administrator no later than June 10, 2021.  Either of the Parties may file a responsive document to any objection with the Court. 

You do not need to hire your own lawyer, because Class Counsel is working on your behalf.  However, if you want your own lawyer, you are free to hire one at your own expense.

Class Counsel:
Kingsley & Kingsley, APC
Eric B. Kingsley, Esq.
Liane Katzenstein Ly, Esq.
16133 Ventura Blvd., Suite 1200
Encino, CA 91436
Telephone: (818) 990-8300
Fax: (818) 990-2903

The Settlement has only been preliminarily approved by the Court.  The Court will hold a hearing in Dept. 21 of the Alameda County Superior Court, Administration Building 1221 Oak Street Oakland, CA 94612 on June 29, 2021, at 10:00 am. (Pacific Time), to consider any objections and determine whether the settlement should be finally approved as fair, reasonable, and adequate.  The Court will also be asked to approve Class Counsel’s request for attorneys’ fees and costs and the costs of Settlement Administration.  The hearing may be continued without further notice to you.  It is not necessary for you to appear at this hearing.

This notice is a summary of the basic terms of the settlement.  For the precise terms and conditions of the settlement, you may review the detailed "Settlement Agreement" on file with the Clerk of the Court.  The pleadings and other records in this litigation may be examined at any time during regular business hours at the Office of the Clerk of the Alameda County Superior Court, Dept. 21, Administration Building 1221 Oak Street Oakland, CA 94612 by using one of the computer terminal kiosks.  You can also receive this information online at: https://publicrecords.alameda.courts.ca.gov/PRS/. After arriving at the website, click the “Search by Case Number” link, then enter the case number RG18912870 and click SEARCH.

For further information, you may also telephone the Settlement Administrator at (844) 975-1785 or Class Counsel (listed above).

Please do not telephone the Court, the Office of the Clerk, or CONTRACT METAL PRODUCTS, INC. for information regarding this settlement.