Costco Wage Settlement For Truck Drivers Is Rejected By Federal Judge

Mealey's (February 27, 2017, 12:28 PM EST) -- SAN DIEGO — A California federal judge on Feb. 22 denied preliminary approval of a $2 million settlement proposed by Costco Wholesale Corp. to end truck drivers’ wage claims and ordered plaintiffs’ counsel to show why sanctions should not be imposed after counsel agreed to file an amended complaint that added a Fair Labor Standards Act (FLSA), 29 U.S.C. § 201, et seq., claim that was subsequently released in the settlement agreement without any additional compensation to the class (Douglas Thompson, et al. v. Costco Wholesale Corporation, et al., No. 14-2778, S.D. Calif., 2017 U.S. Dist. LEXIS 24964)....