A Practice of Raisner Roupinian LLP

DGI Services, LLC – $1.1 Million Settlement, UPDATE 08/20/2022

The parties reached a proposed $1,100,000 settlement of the WARN class action subject to preliminary and final approval by the Bankruptcy Court.  On March 23, 2022, the Court granted preliminary approval and notice of the terms of the settlement was mailed to all class members.  On June 3, 2022, the Bankruptcy Court granted final approval.

Settlement checks were mailed to members of the class on August 17, 2022.

If you have moved and not updated your mailing address with us, please do so as soon as possible by completing the contact us form.

PREVIOUS UPDATES

DGI was placed in involuntary bankruptcy on December 21, 2011. On December 29, 2011, we filed suit against DGI Services, LLC to recover 60 days wages and benefits for former employees of DGI Services, LLC under the Worker Adjustment and Retraining Notification (“WARN”) Act, the New Jersey WARN Act and the California Labor Code § 1400. We contended DGI Services, LLC ordered mass layoffs on or about December 5, 2011 without providing the employees with advance written notice.

In 2014, the Court certified the WARN suit as a class action, and notice of the action was mailed to the members of the class on August 4, 2014. The parties engaged in limited discovery pending the outcome of insurance litigation pursued by the chapter 7 trustee, which was resolved.

The Bankruptcy Court, on March 23, 2022, granted preliminary approval of a proposed $1.1 Million WARN  class settlement.  Notice of the proposed settlement was mailed to the members of the class by April 1, 2022. 

WARN ACT – CONTACT US

Generally, the WARN Act requires companies to provide their employees with 60 days written notice in advance of a mass layoff or plant closing. In the absence of such notice, employers may be liable to each affected employee for 60 days’ wages and benefits under the California WARN Act, and one week of severance for each year of service under the New Jersey WARN Act. If you have moved and not updated your address with us, please do so as soon as possible.

If you have any questions regarding this matter or to update your address, email address and/or telephone number, please contact us.

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