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Nonexempt employees who worked for Guitar Center Stores Inc. in California between Jan. 11, 2020, and July 11, 2025, may be eligible to claim a cash payment from a class action settlement.
Guitar Center Stores Inc. agreed to pay $2,418,495 to resolve a class action lawsuit alleging violations of California wage-and-hour laws. The lawsuit claimed the company failed to pay overtime and minimum wages, did not provide required meal and rest breaks, failed to reimburse expenses and issued inaccurate wage statements. The settlement also includes penalties under the California Private Attorneys General Act.
Who are the class members?
Class members are all nonexempt employees who worked for Guitar Center Stores Inc. in California at any time between Jan. 11, 2020, and July 11, 2025. A subset of these employees, referred to as aggrieved employees, includes all nonexempt employees who worked for Guitar Center during the PAGA Period, which is Jan. 11, 2022, through July 11, 2025.
The settlement administrator will use Guitar Center’s employment records to determine the number of workweeks and pay periods each class member worked during the relevant periods. These figures will directly impact the amount each person receives.
Class members who worked during both periods may be eligible for both types of payments.
How much can class members get?
The total settlement fund is $2,418,495. The amount each class member receives depends on the number of weeks they worked during the class period and, if eligible, the number of pay periods they worked during the PAGA period. There are two main parts to the settlement:
- Class settlement: Pays individual class payments to eligible class members based on weeks worked during the class period
- PAGA settlement: Pays individual PAGA payments to aggrieved employees based on pay periods worked during the PAGA period and penalties to the California Labor and Workforce Development Agency
How does the settlement administrator calculate payments?
- The settlement administrator will divide the net settlement fund (after deductions for attorneys’ fees and costs, service awards, administration costs and PAGA penalties) among participating class members based on the number of weeks they worked during the class period.
- The PAGA portion allocates $50,000 for the settlement administrator to divide among aggrieved employees based on the number of pay periods they worked during the PAGA period.
No action needed to receive compensation
Class members do not need to submit a claim form to receive their payment. The settlement administrator will automatically mail checks to the address on file for eligible class members. Those who moved or plan to move should promptly notify the administrator to ensure they receive payment.
Settlement administrator’s mailing address: Seilhamer v Guitar Center Stores, c/o Atticus Administration, PO Box 64053, St. Paul, MN 55164
Settlement administrator's phone number: 800-470-0690
Settlement administrator’s email address: caemployeesettlementguitarcenter@atticusadmin.com
Class members who wish to opt out of the settlement, must submit a written and signed request for exclusion by Sept. 1, 2026. The request should include their name, address, telephone number and a statement that they wish to be excluded from the settlement. Those who opt out will not receive a class payment but may still receive a PAGA payment if eligible.
Class members who believe the number of workweeks or pay periods credited to them is incorrect can submit a written challenge by Sept. 1, 2026, along with supporting documents, such as pay stubs.
How class members will be paid
The settlement administrator will mail checks to the address on file unless the class member updates it. Checks will include both the class payment and PAGA payment (if eligible).
$2.42 million settlement fund breakdown
The $2,418,495 settlement fund will cover:
- Settlement administration costs: Up to $26,000
- Attorneys’ fees: Up to $846,473.25
- Attorneys’ expenses: Up to $35,000
- Service awards to class representatives: Up to $10,000 each for two plaintiffs ($20,000 total)
- PAGA penalties: $200,000 total ($150,000 to the state and $50,000 to aggrieved employees)
- Payments to eligible class members: Remainder of the fund
Important dates
- Request for exclusion deadline: Sept. 1, 2026
- Deadline to challenge workweeks/pay periods: Sept. 1, 2026
- Final approval hearing: Oct. 2, 2026
When is the Seilhamer v. Guitar Center Stores Inc. payout date?
If the court grants final approval and there are no appeals, the settlement administrator will mail payments to eligible class members within 20 business days after the judgment becomes final.
Why is there a class action settlement?
The class action lawsuit alleged Guitar Center Stores Inc. violated California labor laws by failing to pay overtime and minimum wages, not providing required meal and rest breaks, failing to reimburse expenses and issuing inaccurate wage statements. The plaintiffs also sought civil penalties under the California Private Attorneys General Act.
Guitar Center denied all allegations and did not admit wrongdoing. Both sides agreed to settle to avoid the risks and costs of continued litigation.
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