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May 13, 2020

NaviHealth Settles for $4.69 Million in Unpaid Overtime Case 

On May 8, 2020, the parties submitted their $4.69 million settlement agreement for preliminary approval in this Fair Labor Standards Act and Pennsylvania Minimum Wage Act hybrid collective and class action for unpaid overtime wages. The parties reached the agreement before either class was certified. This settlement is featured in Bloomberg Law and Law360.
Home » News » NaviHealth Settles for $4.69 Million in Unpaid Overtime Case 

Wed, 05/13/2020

On May 8, 2020, the parties submitted their $4.69 million settlement agreement for preliminary approval in this Fair Labor Standards Act and Pennsylvania Minimum Wage Act hybrid collective and class action for unpaid overtime wages. The parties reached the agreement before either class was certified. This settlement is featured in Bloomberg Law and Law360.

The settlement class members are 1,191 registered nurses and licensed practical nurses who do not work in a clinical settling, but instead, perform care management work (e.g., arrange appointments, referrals, authorizations, and discuss health plans and resources with insured individuals) and utilization review work (e.g., collect information to document insured individual’s medical circumstances and then use the company’s proprietary software to maximize utilization of health plan resources). Plaintiffs alleged that these were non-exempt duties but the defendant asserted that the plaintiffs were properly classified as exempt from federal and state laws.

Both parties believe the settlement is fair and reasonable based on the range of possible recovery and litigation risk.

The class members will need to file claim forms to be paid their share of the settlement funds. Assuming the Court preliminarily approves the settlement agreement and certifies the classes for settlement purposes, the Settlement Administrator, Rust Consulting, will mail and email Notice Packets to all 1,191 settlement class members. Settlement class members can file their claims by mail, email or on-line. Only timely claims will be paid.

McGillivary Steele Elkin LLP, Yezbak Law Offices, Lee & Braziel LLP, Seigel Law Group and The Hedgpeth Law Firm represented the naviHealth care management employees.

molly MSE attorney Molly Elkin was the lead counsel in this case. Click the photo to learn more.


The case is Barbee v. NaviHealth, Inc., M.D. Tenn., No. 3:19-cv-00119, motion for preliminary settlement approval 5/8/20 .

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