Dynamic Accident Lawyers: Pizza Hut Will Pay $3.1M to Settle Drivers’ Wage & Hour Class Action

Pizza Hut of America Inc. agreed to pay $3.1 million to settle allegations that the restaurant chain consistently underpaid Florida delivery drivers in violation of state and federal laws.

The Pizza Hut settlement is believed to be the highest per-person payout of any delivery driver under a reimbursement class action.

According to the terms of the Pizza Hut class action lawsuit settlement, Class Members of the non-arbitration subclass will receive about 86 percent of their alleged reimbursement damages, while the arbitration subclass will receive roughly 14.5 percent of their alleged reimbursement damages.

The plaintiffs in the Pizza Hut wage and hour class action lawsuit report that the reached settlement is an excellent result of the case.

“By reaching a favorable settlement prior to dispositive motions or trial, Plaintiffs seek to avoid significant expense and delay and ensure a speedy, risk-free recovery for the class,” the unopposed motion for the preliminary approval of the Pizza Hut settlement states.

The Pizza Hut class action lawsuit was filed in March 2014 by several plaintiffs including Justin Barkley who claimed the restaurant chain regularly under reimbursed drivers for their expenses which consequently pushed their pay below the minimum wage. Barkley alleged this practice violated the Florida Minimum Wage Act and the Fair Labor Standards Act.

By August of 2014, U.S. District Judge Roy B. Dalton Jr. denied a request from Pizza Hut to force the class action lawsuit into arbitration by stating that there wasn’t evidence that the named plaintiffs signed an arbitration agreement.

In September 2015, Pizza Hut asked Judge Dalton not to allow Pizza Hut drivers to immediately appeal the partial dismissal of their wage and hour class action lawsuit alleging that it would just waste time. This came after Judge Dalton concluded that claims before March 2009 would be time-barred from joining the Pizza Hut class action.

Pizza Hut denies that they owe Florida delivery drivers anything. However, they agreed to pay the settlement amount in order to end the litigation and subsequent expenses.

“Despite the strengths of their case, plaintiffs are mindful that litigating the case could be protracted, extending to trial and appeal,” the Pizza Hut settlement states. “Plaintiffs’ counsel have also taken into account the uncertain outcome and risks of the litigation, as well as the difficulties and delays inherent in such litigation. They have, therefore, determined that the settlement agreement proposed by the parties is fair, reasonable and adequate.”

If the Pizza Hut class action settlement is approved it will be open to all Class Members who were Florida delivery drivers for any length of time since March 7, 2009. The drivers believe there is about 2,250 eligible Class Members.

The plaintiffs are represented by Jeremiah Frei-Pearson of Finkelstein Blankinship Frei-Pearson & Garber LLP and C. Ryan Morgan of Morgan & Morgan PA.

The Pizza Hut Delivery Driver Wage and Hour Class Action Lawsuit is Justin Barkley et al. v. Pizza Hut of America Inc., Case No. 6:14-cv-00376, in the U.S. District Court for the Middle District of Florida.

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