A Practice of Raisner Roupinian LLP

Munchery, Inc. – $475,000 Settlement, UPDATE 05/26/21

On January 25, 2019, we filed a class action suit against Munchery, Inc., (“Munchery”) seeking to recover 60 days wages and benefits for former employees under the federal Worker Adjustment and Retraining Notification (“WARN”) Act and the California Labor Code § 1400 et. seq. (collectively, the “WARN Acts”). We contend Munchery ordered mass layoffs on or about January 21, 2019, without providing its employees with 60 days advance written notice as required by the WARN Acts. The case is pending in the United States District Court for the Northern District of California.

On February 28, 2019, Munchery filed for Chapter 11 bankruptcy protection in the United States Bankruptcy Court for the Northern District of California. On March 5, 2019, we filed the WARN suit in the Bankruptcy Court for the Northern District of California. On May 29, 2019, the Bankruptcy Court sent the case back to District Court, where it is currently pending.

On February 4, 2020, the parties reached a proposed settlement of the class action which is subject to the District Court’s final approval.  On October 19, 2020, the Court granted preliminarily approval of the settlement and set a fairness hearing for January 21, 2021 to decide whether to grant final approval of the settlement.

On November 10, 2020, the Class Notice containing information about the terms of the settlement was mailed to each Class Member. A copy of it can be found here.  On December 4, 2020, Class Counsel filed a motion for approval of attorney’s fees and costs and the Class Representatives’ service awards. A copy of it can be found here.

The joint motion for approval of the settlement, exhibits, and other filings related to the proposed settlement may be accessed using the links below.  A copy of the binding term sheet may be accessed here.  A copy of the joint motion requesting preliminary approval of the settlement may be found here.  A copy of the Order granting preliminary approval of the settlement may be found here.

The District Court granted final approval of the settlement on February 1, 2021.   Settlement checks, net of fees, expenses, service payments and taxes were mailed to members of the Class by the settlement administrator on April 15, 2021.   Any settlement check that is not cashed or deposited within 180 days from the date of mailing will be electronically transferred by the Settlement Administrator to the State of California’s Unclaimed Property Fund, which is accessible at https://www.sco.ca.gov/und rotg.html.

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