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Saturday, October 01, 2016

Wage lawsuit against Dead Freddies settled for $630K

Bringing to an end more than a year of litigation, the 26 plaintiffs in the suit filed against OC Freddies LLC will receive a total of $395,000 for their claims, and lawyer Howard Hoffman will receive $235,000 in fees, as ordered by Magistrate Judge Beth Gesner in documents made public this week.

The agreement, reached jointly by the parties, makes no comment on the merits of the wage claims brought forth by the employees, nor does it assign blame or seek apology for the practices alleged in the suit.

The payments range from a few hundred to tens of thousands of dollars, split in half to represent unpaid wages and liquidated damages.

For example, the greatest single payout awarded to a plaintiff is about $61,000. About $30,500 of that represents unpaid wages, and will be taxed as such as W-2 income. The other half, as outlined in the agreement, is subject to no deductions whatsoever, and is treated as 1099 income for tax purposes. The deal contains mechanisms to ensure OC Freddies pays the required payroll taxes on this money.

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3 comments:

Anonymous said...

Looks like the lawyer is the one making the most money. Law degrees are a license to steal.

Anonymous said...

I'll bet Dead Fred shows up to vote in November, like the other dead Democrats.

Anonymous said...

Hoffman is the best in Maryland. I don't know him but he is the guy that took down BOBBY JONES after Kristy Hickman wouldn't prosecute