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A federal magistrate judge has officially closed a lawsuit accusing The Halal Guys of denying overtime pay, following the approval of a $635,000 settlement last December, according to a New York federal court filing.

U.S. Magistrate Judge Katharine H. Parker signed the order Friday, bringing an end to allegations that the popular food chain violated the Fair Labor Standards Act and New York Labor Law by failing to pay workers for hours exceeding 40 per week.

Settlement Details

The approved settlement allocates nearly $425,000 directly to affected employees, with an additional $210,000 earmarked for attorney fees. The court also issued judgments covering the remaining two plaintiffs shortly after the December approval, according to the order.

The collective action was initially filed in March 2022, highlighting years of litigation over unpaid overtime.

Worker Compensation Achieved

"We are pleased that, after years of perseverance by our clients, we were able to obtain compensation for our clients who were not paid their full earned wages," said David Harrison and Julie Salwen, counsel for the workers, in a statement to Law360 on Monday.

Representatives for The Halal Guys did not immediately comment on the settlement.

Legal Representation

The employees were represented by David Harrison and Julie Salwen of Harrison Harrison & Associates Ltd.
The Halal Guys were represented by Jeffrey A. Kimmel, Genaira L. Tyce, Mohammad Adil Yaqoob, and Cassidy Mara of Akerman LLP.