NationsBenefits Class Action for WARN Act Violations

Will Gendron
Editor in Chief
Published
June 27, 2023 4:58 PM
Updated
June 27, 2023
NationsBenefits Class Action for WARN Act Violations

In a recent development, a class action lawsuit has been filed by Simeon Stewart on behalf of himself and approximately 300 other former employees against NationsBenefits, LLC, a Florida-based company that provides supplemental benefits and healthcare solutions. The lawsuit alleges that the defendant violated the Worker Adjustment and Retraining Notification Act (WARN Act) by terminating the plaintiffs without cause and without the required 60 days' advance written notice.

Is the WARN Act Relevant?

The WARN Act is a federal law that requires employers to provide employees with a 60-day notice in the event of a mass layoff or plant closing. This law is designed to protect workers and their families by giving them time to adjust to the impending job loss, seek and obtain alternate jobs, or enter skill training programs if necessary.

However, the WARN Act does have exceptions. One such exception is the 'unforeseeable business circumstances' clause, which may be invoked by employers in situations of sudden and dramatic economic downturns. But even in such cases, the employer is still required to provide as much notice as is practicable.

What Led to the Filing of the Lawsuit?

According to the lawsuit, the plaintiffs were terminated without cause on or about May 15, 2023, or within 30 days thereof, as part of a mass layoff or plant closing by the defendant. The defendant allegedly failed to provide the plaintiffs with the required 60 days' advance written notice as mandated by the WARN Act. This, the plaintiffs argue, deprived them of the opportunity to adjust to the loss of employment, seek alternative jobs, or undergo skill training.

The lawsuit also points out that despite the defendant's recent acquisitions of other companies, suggesting a strong financial position, they failed to comply with the WARN Act's notice requirements, which the plaintiffs find particularly egregious.

Who Are the Class Members?

The named plaintiff, Simeon Stewart, was an employee of the defendant based in Plantation, Florida. The lawsuit seeks to certify a nationwide class action for all former employees of the defendant who were terminated without a minimum of 60 days' written notice as a result of a mass layoff or plant closing on or about May 15, 2023, or within 30 days thereof. The putative class members are estimated to be around 300 individuals.

The named plaintiff's claims are typical of the class members, and a class action is considered the most efficient means of resolving the WARN Act rights of all putative class members.

What Damages Are Being Sought?

The named plaintiff demands judgment in favor of the class members for wages, benefits, and medical expenses incurred during the 60-day period following their terminations. The lawsuit does not specify a dollar amount, but given the number of plaintiffs involved, the total damages could easily exceed five million dollars.

In addition to the above, the named plaintiff also seeks the appointment of the named plaintiff as class representative and the undersigned counsel as class counsel. The lawsuit also requests reasonable attorneys' fees, costs, and interest allowed by law.

What's Next?

The lawsuit was filed on June 23, 2023, in the Southern District of Florida. The court has jurisdiction over the case, and venue is proper in the Southern District of Florida. It remains to be seen how the defendant will respond to these allegations. If the case proceeds, it could have significant implications for the defendant and other employers who fail to comply with the WARN Act's notice requirements.

However, it's important to remember that these are allegations and the case has not yet been decided. The defendant may have defenses available to them, and the court will ultimately decide the merits of the case based on the evidence presented.

Category
Labor
Case number
0:23-cv-61199
Defendant
NationsBenefits, LLC
Date Filed
June 23, 2023
Jurisdiction
U.S. District Courts
Court
Florida Southern District
State
Florida
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image