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ARTICLE · 26 OCTOBER 2012

Scholastic Inc. Learns It Can’t Keep FLSA Settlement Confidential

Day Pitney LLP
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In a decision from the Southern District of New York, District Judge Jesse Furman denied the parties’ request to approve their proposed settlement of a Fair Labor Standards Act ("FLSA") case.

United StatesEmployment and HR
James Boyan
James Boyan
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In a decision from the Southern District of New York, District Judge Jesse Furman denied the parties' request to approve their proposed settlement of a Fair Labor Standards Act ("FLSA") case. In August of 2011, Sarah Wolinsky filed a lawsuit against Scholastic alleging that it improperly classified her as an independent contractor and failed to pay her overtime. In May 2012, the parties agreed to settle Wolinsky's claims and submitted their settlement agreement to the court for approval (an individual cannot waive an FLSA claim unless the settlement is approved by a court or supervised by the U.S. Department of Labor).

Judge Furman approved all of the aspects of the parties' settlement agreement except one – the confidentiality provision which prohibited Wolinsky from disclosing, discussing, or otherwise publishing the existence or terms of the settlement agreement. The court concluded that the common law right of access to judicial documents and the strong

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