Ohio Federal Court Rules Judicial Approval Not Required in FLSA Settlements
In Gilstrap v. Sushinati LLC, the U.S. District Court for the Southern District of Ohio rejected the notion that the parties’ private agreement to settle claims under the Fair Labor Standards Act (FLSA) required court approval.
The district court’s decision in Gilstrap follows a growing body of case law nationwide reaching similar conclusions. If other federal courts continue to follow the reasoning outlined in Gilstrap and related case law, it could significantly alter litigation practice under the FLSA, and result in further review by federal courts of appeals.