FLSA Settlements: Is the Tide Turning on the Requirement of Court Approval?
For the last 40 years, most courts have required court approval of settlements under the Fair Labor Standards Act (FLSA) for their releases of claims to be valid and enforceable. This requirement stemmed from the Eleventh Circuit Court of Appeals’ opinion in a case from 1982 styled Lynn’s Food Stores, Inc. v. United States, wherein the court concluded court approval of settlements was necessary under the FLSA to ensure their fairness.