SOURCE: Klafter Olsen & Lesser LLP

January 29, 2010 13:09 ET

Klafter Olsen & Lesser LLP Announces Nationwide Settlement of Staples Wage and Hour Cases

RYE BROOK, NY--(Marketwire - January 29, 2010) - Klafter Olsen & Lesser LLP, one of the Plaintiffs' counsel in a dozen wage and hour lawsuits against Staples, Inc. (NASDAQ: SPLS) announced today that the parties have reached a global settlement in these lawsuits that involve the alleged misclassification of its assistant store managers and seek overtime pay for hours worked in excess of 40 hours per week. Plaintiffs contended that overtime pay was required by the Fair Labor Standards Act and the laws of certain states.

Under the terms of the global settlement, which is subject to court approval, the Company has agreed to pay $42 million to resolve the allegations and end the litigation that has been ongoing for the past three years. The Company has also agreed to drop its appeal of a $4.9 million judgment against it last year in New Jersey after a month and a half long jury trial (Stillman v. Staples, Inc., 07-cv-849, D.N.J.) on behalf of Sales Managers who had joined that case. That case, a case pending in Massachusetts state court and ten cases that are centralized in the United Stated District Court for the District of New Jersey as part of a multidistrict litigation proceeding are included in the settlement. The settlement amount resolves claims for damages dating back as far as 2002 for some of the settlement class members and covers more than 5,000 current and former associates from all states in which Staples does business outside of California.

Plaintiffs and their counsel believe the settlement to be an excellent result for the present and former Staples assistant managers who will benefit from it because the settlement will provide a definite and sure recovery long before any possible payment could be achieved through continued litigation. The settlement, if approved, will avoid the possibility of adverse rulings or even no recovery at all.

The settlement will be presented to the Court for preliminary approval shortly and, approximately 60 days after a court order granting such approval, official forms will be mailed to settlement class members.

Klafter Olsen & Lesser LLP has extensive expertise representing and obtaining recoveries for employees improperly classified by their employers as exempt from the overtime requirements of the Federal Labor Standards Act and similar state laws. The Firm has offices in New York, Washington D.C. and New Jersey. Please visit our website,, for more information about the Firm.

Contact Information

  • Contact:
    Seth R. Lesser
    Two International Drive, Suite 350
    Rye Brook, NY 10573
    (914) 934-9200