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$15.5M Settlement Reached in California Paper Carriers' Unpaid Wages Class Action

This is a settlement for the Employment lawsuit.

Santa Ana, CA: A final settlement in the Orange County Register unpaid wagesclass action lawsuit (Gonzalez, et al. v. Freedom Communications, Inc., et al., Orange County Superior Court, Case No. 03CC08756) has been reached.

In the settlement, the directors and officers of Freedom Communications, the parent of the OC Register, agreed to pay $15.5 million -- in addition to an earlier $14.5 million paid in 2010 -- to resolve the carriers' class action against the OC Register. The final $30 million settlement brings closure to litigation that had been ongoing for nearly a decade.

The class action case was initially filed in the Orange County Superior Court in 2003 and then proceeded through the litigation process, culminating in seven weeks of jury trial before it was settled in January of 2009 for $38 million. While the plaintiff newspaper carriers won the battle, Freedom filed bankruptcy on September 1, 2009 and sought to eliminate this obligation through bankruptcy one week before the agreed payment date.

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Published on Feb-28-12


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