Hose v. Washington Inventory Service Inc., et. al.
United States District Court, Southern District of California
Case No. 3:14-CV-02869-WQH
SETTLEMENT UPDATE
Greetings.
On July 2, 2020, the Court granted Final Approval of a Settlement to provide some compensation to the WIS Inventory Associates who joined this case on or before September 19, 2016.
As previously reported, the Settlement occurred after WIS went through a foreclosure sale and initiated a Chapter 11 bankruptcy proceeding. The Settlement we managed to piece together is connected to this bankruptcy proceeding. The money for the Settlement is coming from a combination of (1) what remains in the bankruptcy estate, after certain creditor claims and distributions are paid, and (2) contributions to be made over time through installment payments by Retail Services WIS, the company subsequently formed to take over the WIS International business. Because the Settlement is being funded from the bankruptcy and through installment payments over time, there will be two distributions of the Settlement Funds to the Inventory Associates.
We originally believed that the first distribution of funds would occur in the Third Quarter of 2020 and the second distribution would occur in December 2021. Unfortunately, there have been further delays in the bankruptcy proceedings that are out of our control and which have delayed the distributions. There is also less money in the bankruptcy estate than originally estimated due to additional creditor and tax claims made against WIS. Unfortunately, this means there also will be less to distribute to Inventory Associates than originally estimated. In any event, the first distribution to the Inventory Associates is now projected to occur in the First Quarter of 2021. We still hope that the second distribution will occur as originally scheduled in December 2021, but cannot predict that for sure.
On February 7, 2020, a Notice of Settlement was sent to the 14,686 individuals who had joined the case on or before September 19, 2016. The Settlement Notice was sent to the U.S. mail and email addresses you provided on the form you used to join the case. The Settlement Notice also was sent to any updated addresses you provided to us or that could be located through the U.S. Post Office and other address searches.
A copy of this Settlement Notice is available on this Settlement website through the DOCUMENTS link above and to the right, which contains a more detailed description of the Settlement terms and procedures for participating in the Settlement.
As further explained in the Settlement Notice, Inventory Associates needed to complete and return a Settlement Claim Form to participate in the Settlement. That Settlement Claim form was attached to the Settlement Notice. The deadline to submit the Settlement Claim Form was April 7, 2020. If you have not submitted a Claim Form, you may still receive your minimum Settlement payment in the second distribution in or about December 2021, as described in the Settlement Notice.
You may also still submit a Settlement Claim Form if you have not done so, but please be advised that it will be considered late. You can access the Claim Form from the Documents section of this website or by calling the Settlement Administrator at 1-844-245-3775. If you would like to submit a late Claim Form, please print and complete the form and mail it to:
Hose v. Washington Inventory Services (WIS)
c/o Settlement Administrator
PO Box 5324
New York, NY 10150-5324
If you have any questions or need assistance, please contact us at 1-800-689-0024, info@schneiderwallace.com or the Settlement Administrator at 1-844-245-3775.
We understand that these developments and additional delays are disappointing. We are very sorry and are working hard for the Settlement Funds to be distributed as soon as possible.
Please Read This Entire Website Carefully. This Website Involves Your Legal Rights.
A federal court authorized this website. This is not a solicitation from a lawyer.
You received the notice because you were employed by Washington Inventory Service, Inc., d/b/a WIS International (“WIS”) as an Inventory Associate and submitted a consent to join this case on or before September 19, 2016. The lawsuit alleged that WIS failed to pay federal minimum wages, straight time wages, and overtime compensation to Inventory Associates for all hours worked. WIS denied the allegations and both sides strenuously fought for their positions during the course of the case. On July 2, 2018, before the Court could reach a decision on the merits, WIS filed a voluntary petition for Chapter 11 bankruptcy. In the meantime, a newly formed company called Retail Services WIS acquired the WIS International business in connection with a foreclosure sale on or about June 8, 2017. The lawsuit was then amended to allege that Retail Services WIS became legally liable for events that occurred before it acquired the WIS business and that Retail Services WIS separately failed to pay federal minimum wages, straight time wages, and overtime compensation to Inventory Associates for all hours worked after it acquired the WIS business. Retail Services WIS denies the allegations in the case and further denies any legal liability for events that occurred before it acquired the WIS business. The parties strenuously fought their positions on the impact of the bankruptcy and on the question of whether Retail Services WIS could be held liable for alleged violations occurring before it acquired the WIS business. Eventually, after extensive litigation and negotiations, the parties reached a compromise or “Settlement.” The Court has initially approved this Settlement. The Notice describes your rights and potential benefits under the Settlement.
FOR YOU TO RECEIVE YOUR PRO-RATA SHARE OF THE SETTLEMENT MONEY, YOU MUST SUBMIT A CLAIM FORM IN ACCORDANCE WITH THE INSTRUCTIONS. A COPY OF A CLAIM FORM IS AVAILABLE FOR DOWNLOAD ON THE DOCUMENT SECTION OF THIS WEBSITE OR BY CALLING TOLL-FREE AT 1-844-245-3775.
This collective action Settlement pays money to individuals who worked for WIS and/or Retail Services WIS as Inventory Associates and who opted in to this lawsuit on or before September 19, 2016. This Settlement resolves claims that WIS and Retail Services WIS failed to pay its Inventory Associates for all hours worked.
Your legal rights are affected whether you act or don’t act. Read this website carefully.
Submit a claim, receive compensation and lose rights to sue separately.
If you submit a Claim Form, you will receive compensation for the claims asserted on your behalf in this collective action. You will receive your payment in two disbursements: one projected to occur in the Third Quarter of 2020 and one projected to occur in December of 2021. You will also give up any rights to sue WIS or Retail Services WIS separately about the same or similar legal claims in this lawsuit that occurred from July 22, 2013 through December 12, 2019.
DO NOTHING
Receive a minimum payment and lose rights to sue separately.
If you do nothing, you will receive a minimum payment of $50 in or around December 2021. You will also give up any rights to sue WIS or Retail Services WIS separately about the same or similar legal claims in this lawsuit that occurred from July 22, 2013 through December 12, 2019.
ASK TO BE EXCLUDED
Get no compensation. Keep rights to sue separately.
If you ask to be excluded from the Settlement you will not receive any compensation in the Settlement but you retain the right to file a claim separately. However, please be aware that there are time limits for you to file a claim separately.
COMMENT OR OBJECT
Tell the Court why you like or don't like the Settlement.
You must remain a member of the collective action to comment or object to the Settlement. This means you cannot object to the Settlement if you also are asking to be excluded from it.
These rights and options—and the deadlines to exercise them—are explained on this website.
The Court in charge of this case still has to decide whether to approve the Settlement. The payments described in the notice will be made to you only if the Court approves the Settlement and after all appeals, if any, are resolved.
This website is authorized by the Court, supervised by counsel and controlled by the Settlement Administrator approved by the Court. This is the only authorized website for this case.
Click here to safely and securely submit a Dispute Form.
Important Dates
Exclusion Deadline
Tuesday, April 7, 2020
You must complete and mail your request for exclusion so that it is postmarked no later than Tuesday, April 7, 2020.
Objection Deadline
Tuesday, April 7, 2020
You must mail your objection(s) and/or notice of intent to appear at the Final Approval Hearing so that it/they are postmarked no later than Tuesday, April 7, 2020.
Claim Form Deadline
Tuesday, April 7, 2020
You must submit your Claim Form on-line no later than Tuesday, April 7, 2020, or mail your completed paper Claim Form so that it is postmarked no later than Tuesday, April 7, 2020.
Final Approval Hearing Date
Friday, June 26, 2020
The Final Approval Hearing is scheduled for Friday, June 26, 2020. Please check this website for updates.
