IF YOU WORKED FOR ST. CHARLES HOME HEALTH BETWEEN MARCH 1, 2007 AND THE PRESENT,

Transcription

1 UNITED STATES DISTRICT COURT FOR THE DISTRICT OF OREGON Dusan-Speck et al. v. St. Charles Health System, Inc., No. 6:13-cv AA NOTICE OF PROPOSED CLASS ACTION SETTLEMENT IF YOU WORKED FOR ST. CHARLES HOME HEALTH BETWEEN MARCH 1, 2007 AND THE PRESENT, YOU MAY BE ENTITLED TO MONEY FROM A SETTLEMENT. ST. CHARLES MAY NOT TAKE ANY ACTION AGAINST YOU FOR BEING PART OF THIS SETTLEMENT. A federal court authorized this Notice. Your legal rights are affected. Your options and the deadlines to exercise them are explained in this Notice. Please read this Notice carefully. An Oregon lawsuit filed as a proposed wage-and-hour class action against St. Charles Health System, Inc. ( St. Charles ) has been tentatively settled. You have received this Notice because you have been identified as one of the current or former home health physical therapists, occupational therapists, or physical therapy assistants employed by St. Charles at some point between March 1, 2007 and the present. YOUR LEGAL RIGHTS AND OPTIONS in this Settlement Accept the Settlement Ask to Be Excluded Object to the Settlement Do Nothing Included with this Notice is a Settlement Response Form showing the amount you may be entitled to receive under the proposed Settlement. To receive this money, check the box labeled I accept the Settlement and complete, sign, and return the Form by the deadline stated on the Form. By accepting the Settlement, you will be bound by the release of claims. To be excluded from the Settlement, check the box on the Settlement Response Form labeled I want to be excluded from the Settlement and complete, sign, and return the Form by the deadline stated on the Form. You will not receive a settlement payment and will not be bound by the release of claims. To object to the Settlement, you must file a written statement with the Court by the objection deadline, explaining why you object. You may also attend and be heard at a final Settlement hearing with the Court if you object. If you do nothing, you will not receive a settlement payment, and you will be bound by the release of claims. 1. What is this lawsuit about? On March 1, 2013, Plaintiff Rose Dusan-Speck ( Speck ) filed a Class Action lawsuit against St. Charles in the United States District Court for the District of Oregon. The case, entitled Rose Dusan-Speck v. St. Charles Health System, Inc. dba St. Charles Home Health Services, is Case No. 6:13-cv AA. In 2014, Cheryl Turner ( Turner ) joined the lawsuit by filing a Notice of Consent to Be a Party Plaintiff. In a Class Action lawsuit, one or more people called Class Representatives (here, Speck and Turner) sue on behalf of other people who have similar claims. The people together are a Class or Class Members. The people who sued and all the Class Members like them are called Plaintiffs. The company they sued (here, St. Charles) is called the Defendant. In a Class Action, one court resolves the issues for everyone in the Class together in one case except for those people who choose to exclude themselves from the Class. O3501 v

2 The lawsuit alleges that St. Charles failed to pay regular and overtime wages to certain home health care workers in violation of Oregon and federal law and failed to pay those workers who ended their employment their final paycheck wages within the time required by Oregon law. St. Charles denied and continues to deny that any wrongdoing occurred. It contends that it properly paid the home health workers at issue and that no violation of Oregon s final paycheck law occurred. St. Charles also contends the lawsuit is not suitable for class or collective action treatment except for purposes of this Settlement. The Court hasn t yet decided any of the parties positions or whether this case may proceed as a class or collective action. The parties have reached a proposed settlement. The Settlement is the result of arm s-length negotiations between Plaintiffs, their lawyers, St. Charles, and its lawyers through three (3) mediation sessions supervised by the U.S. District Court of Oregon. The parties have investigated the facts and law throughout the prosecution of this case. Due to the risks and expenses associated with litigation, both sides agree this Settlement is fair and appropriate under the circumstances. 2. Who is covered by the Settlement? The Settlement Class is made up of 60 current and former physical therapists, occupational therapists, and physical therapy assistants who worked for St. Charles Home Health Department between March 1, 2007 and the present. You are one of these people and, therefore, you are a Class Member. 3. Who represents the Settlement Class? The Court has designated Plaintiffs Speck and Turner as Class Representatives and has appointed Roxanne L. Farra of the law firm Roxanne L. Farra, P.C. and R. Kyle Busse of the law firm Busse & Hunt to act as Class Counsel. These attorneys represent the interests of the Plaintiffs and all Class Members. 4. What are the basic terms of the Settlement? St. Charles will pay up to $950, into a Settlement Fund for: (1) payments to each Class Member who timely submits a properly completed Settlement Response Form, having checked the box I accept the Settlement ; (2) Class Counsel s fees and litigation expenses for their work in this lawsuit; and (3) incentive awards to Speck and Turner. Class Counsel has asked the Court to authorize incentive awards to Plaintiffs Speck and Turner of $10, each for their time and effort as Class Representatives in prosecuting this lawsuit and achieving this Settlement. Class Counsel has worked on this case for a total of more than three (3) years and has not yet been paid any money for their work or for the out-of-pocket expenses they incurred in litigating this case. Class Counsel has asked the Court to award attorneys fees equivalent to 25% of the total Settlement Fund ($237,500.00) and litigation expenses in the amount of $8, Deduction of these amounts results in a fund of $684, to be divided among the 60 Class Members. The same formula was used to calculate each Class Member s personal share. The formula used each Class Member s dates of employment, full-time equivalent ( FTE ) position, and last hourly pay rate. 5. How much will my payment be? The gross amount of your personal share of the Settlement is shown on the enclosed Settlement Response Form. For tax purposes, the settlement amount will be treated: one-half (50%) as a non-wage-based payment, not subject to applicable payroll withholdings and deductions, for which you will receive an IRS Form 1099; and one-half (50%) as a W-2 wage-based payment subject to applicable payroll withholdings and deductions. You are responsible for any tax obligations resulting from your acceptance of this money. Please consult a qualified tax advisor if you have questions. 6. What happens to my settlement share if I don t take it? Any settlement funds that are not claimed by Class Members revert back to St. Charles. O3502 v

3 7. What do I have to do to receive my settlement payment? To receive your settlement money, you must submit a valid and timely Settlement Response Form as follows: (1) check the box labeled I accept the Settlement on the enclosed Settlement Response Form; (2) verify that your name and address information on the Form is correct and provide the last four digits of your social security number to verify your identity (so the funds can be sent to the right person); (3) sign the Form and print your name in the space provided on the Form; and (4) return the Form to the third-party Settlement Administrator by no later than February 24, 2016 at: 8. When would I get my payment? O3503 v Home Health Settlement Administrator PO Box 2730 Portland, OR Telephone: (877) The Settlement has not yet been approved by the Court. United States Chief District Judge Ann Aiken is in charge of this Class Action. Judge Aiken will hold a fairness hearing on March 23, 2016 to decide whether to approve the Settlement. If the Court approves the Settlement, and there are no appeals by any objectors, your check will be mailed within 90 days after final approval. 9. What am I giving up to get a payment or stay in the Class? Unless you exclude yourself, you are staying in the Class. That means that once the Settlement is approved, you can t sue, continue to sue, or be a part of any other lawsuit against St. Charles (including their directors, officers, employees, and affiliates) about the legal issues arising from the facts in this case. Specifically, the release to which you are agreeing states: Except as set forth in section 6.2, below, the Class Representatives and Class Members who have not opted out of the Settlement Agreement, in accordance with Section 4 of this Settlement Agreement, and each of their respective past and present executors, administrators, representatives, agents, heirs, successors, assigns, trustees, guardians, and all those who claim through them or who assert claims on their behalf (including the federal government or any state government in its capacity as parens patriae) will be deemed to have unconditionally, irrevocably, and completely released and forever discharged St. Charles, including all released persons and entities defined in section 2.16, from any and all matters, claims, charges, demands, damages, causes of action, debts, liabilities, and controversies, foreseen or unforeseen, known or unknown, for unpaid regular or overtime wages, liquidated damages, penalties, attorney fees, and other damages which could arise between Class Members and St. Charles up to the Effective Date of the Settlement Agreement (collectively hereinafter Claims ) that could arise under the Fair Labor Standards Act, 29 U.S.C. 201 et seq. ( FLSA ) or Oregon wage laws in Oregon Revised Statutes (ORS) chapters 652 and 653. Notwithstanding this general release of claims, nothing in this Settlement Agreement is intended to operate as, nor shall be construed as, a release or waiver of any rights and/or claims that cannot be released or waived as a matter of law. There is one exception in this case. St. Charles is currently a defendant in another Class Action involving unpaid wage claims entitled Carol Lynn Giles et al. v. St. Charles Health System, Inc., U.S. District Court (Or.) No. 6:13-cv AA ( Giles ). That case seeks to recover for unpaid study time related to required certifications (BLS, ACLS, PALS, ENPC, NRP, TNCC, TEAM, and S.T.A.B.L.E.). If you are a Class Member in this case and in Giles, by staying in the Class in this case, you are not releasing your claims for any unpaid wages or penalties that you might recover in Giles. You won t, though, be able to recover the same penalties twice; once in this case and a second time in Giles. 10. How can I exclude myself from the Settlement? You have the right to ask to be excluded from this Settlement. If you request to be excluded from the Settlement, you will not receive any settlement money and will not be bound by the release of claims. If you wish to be excluded from the Settlement: (1) check the box labeled I want to be excluded from the Settlement on the enclosed Settlement Response Form; (2) verify your name and address information on the Form is correct and provide the last four digits of your social security number to verify your identity; (3) sign the Form and print your name in the space provided on the Form; and (4) return it to the third-party Settlement Administrator by no later than February 24, 2016 at the address listed in Section 7 of this Notice. 3

4 11. How do I object to the Settlement? You have the right to object to the Settlement. You may object to the Settlement, either personally or through an attorney, by filing a written objection with the Court and by sending a copy of your written objection to Class Counsel and Counsel for St. Charles at their addresses listed below. All objections must be filed with the Court and served on Class Counsel and Counsel for St. Charles no later than January 25, If you submit a timely objection, you may appear, either personally or through an attorney and at your own expense, at the Final Approval Hearing for the Settlement. You must provide written notice to the Court and counsel listed below if you intend to appear at the hearing. Therefore, your written objection should clearly explain why you object to the proposed Settlement and state whether you or someone on your behalf intends to appear at the Final Approval Hearing. Contact information for Class Counsel: Roxanne L. Farra R. Kyle Busse ROXANNE L. FARRA, P.C. BUSSE & HUNT P.O. Box S.W. Morrison Street, Ste. 521 Bend, OR Portland, OR Tel.: (541) Tel.: (503) Fax: (541) Fax: (503) Contact information for St. Charles counsel: Brenda K. Baumgart Ryan S. Gibson STOEL RIVES LLP 900 S.W. 5 th Avenue, Ste Portland, OR Tel.: (503) Fax: (503) Settlement Class Members who fail to file and timely serve written objections in the manner specified above will be deemed to have waived any objections and will be foreclosed from making any objection (whether by appeal or otherwise) to the Settlement and will be bound by the terms of the Settlement. You must still submit a timely and valid Settlement Response Form in order to receive any proceeds under the Settlement should your objection be denied. 12. What s the difference between objecting and excluding? Objecting is simply telling the Court that you don t like something about the Settlement. You can object only if you stay in the Class. If the Court approves the Settlement, you will be bound by its terms. Excluding yourself, or opting out, is telling the Court that you don t want to be part of the Class. If you exclude yourself, you have no basis to object because the case no longer affects you. 13. What if I do nothing? If you do nothing in response to this Notice, you will not receive a settlement payment, but you will have relinquished your right to sue or recover from St. Charles on any federal and Oregon wage and hour claims. 14. Can St. Charles retaliate against me for being involved in this Settlement? No. The law prohibits retaliation or discrimination by an employer against any employee who chooses to participate in, opt out of, object to, or do nothing in response to a class or collective action. The decision to participate in, opt out of, or object to this settlement, or do nothing, is entirely your own. St. Charles has agreed in the Settlement Agreement that it will not retaliate or take any adverse employment action against any Class Member who is a current or former employee because that Class Member has participated in the Lawsuit or this Settlement Agreement in any way. Each Class Member s Settlement Response Form, all settlement payments, and information about who opts in and opts out of the Settlement will be processed through a third-party Settlement Administrator (not affiliated with St. Charles). O3504 v

5 15. When and where will the Court decide whether to approve the Settlement? Judge Aiken will hold a final approval, or fairness, hearing on March 23, 2016 at 10:00 a.m. at the U.S. District Court of Oregon (Eugene Division), 405 East Eighth Avenue, Eugene, Oregon At the hearing, the Court will determine whether the Settlement is fair, reasonable, adequate, and should be approved. If there are objections, Judge Aiken will consider them. Judge Aiken will listen to people who have asked to speak at the hearing. If you exclude yourself from the Settlement, you are not entitled to comment on or object to the Settlement or be heard at the hearing. After the hearing, the Court will decide whether to approve the Settlement. We do not know how long these decisions will take. 16. Do I have to come to the hearing? No. Class Counsel will answer questions Judge Aiken may have. But, you are welcome to come at your own expense. 17. What will happen if the Settlement is approved? What if it is not approved? If the Court approves the Settlement, the Settlement Administrator will begin mailing settlement checks to Class Members who accepted the Settlement. If someone appeals the Court s approval of the Settlement, payments will be delayed until all appeals are resolved. If the Settlement is not approved by the Court, the Litigation will continue as if no settlement has been attempted. In that event, St. Charles retains the right to contest that the case be maintained as a class or collective action and to contest Plaintiffs claims. If the Settlement is not approved, there can be no assurance that the lawsuit will be certified as a class or collective action or that individuals in the Class will recover anything at all. 18. What if I need more information? This Notice only summarizes the lawsuit and terms of the Settlement. For the precise terms and conditions of the Settlement, see the Stipulated Class and Collective Action Settlement Agreement published at Official notices and relevant forms are also published on this site. If you want to review the entire case file, you can access the Court docket through the Court s Public Access to Court Electronic Records (PACER) system at ecf.ord.uscourts.gov or visit the Court s files in person at the Clerk s office at the U.S. District Court of Oregon (Eugene Division), Wayne L. Morse U.S. Courthouse, 405 East Eighth Avenue, Eugene, Oregon The hours of the Clerk s office are 8:30 a.m. to 4:30 p.m. Monday Thursday and 9:30 a.m. to 4:30 p.m. Friday, excluding Court holidays. Please do not call the Court or the Court clerk s office with questions about this lawsuit. Any questions regarding this Notice, the Settlement Response Form, or the Settlement payment process should be directed to the third-party Home Health Settlement Administrator at (877) You may also contact Class Counsel with your questions at (541) if you prefer. O3505 v