Mountaire Farms $7.26M Wage and Hour Settlement

Employees who worked as a nonexempt chicken processing employee at a Mountaire Farms Inc. or Mountaire Farms of North Carolina Corp. facility in North Carolina between Jan. 10, 2020, and Dec. 20, 2024, may qualify to claim a cash payment from a class action settlement.

Mountaire Farms Inc. agreed to pay $7,260,000 to settle a class action lawsuit alleging violations of federal and state wage laws, including claims of unpaid wages, improper overtime pay and unlawful paycheck deductions.

Who can file a Mountaire Farms claim?

The class includes all nonexempt chicken processing employees who worked at any Mountaire Farms Inc. or Mountaire Farms of North Carolina Corp. chicken processing facility in North Carolina at any time from Jan. 10, 2020, through Dec. 20, 2024.

How much can class members receive?

• The amount each eligible class member who submits a valid claim form or previously filed a consent to join receives depends on their employment dates and payroll records, which Mountaire provided.
• After deducting attorneys’ fees, service awards for the named plaintiffs and settlement administration costs, the remaining funds will be distributed to eligible claimants.

Payments are divided as follows:

• 50% of each payment is for wage-related damages (subject to tax withholdings and reported on a W-2)
• 50% of each payment is for liquidated damages and other relief (reported on a 1099)

How to claim a class action rebate

Class members can file a claim online or request a paper claim form by calling the settlement administrator at 888-330-3975. The claim form deadline is Oct. 1, 2025.

Settlement administrator's mailing address: Gomez Ovando v. Mountaire Farms Inc., c/o CPT Group Inc., 50 Corporate Park, Irvine, CA 92606

What is required to submit a claim?

Online claimants must provide the CPT ID and passcode located on the upper right hand corner of the settlement notice that was mailed or emailed to them.

Those who do not have a CPT ID and/or Passcode should call 888-330-3975 or email GomezOvandoNCChickenProcessingLawsuit@cptgroup.com.

Payout options

Payments will be issued by check and mailed to the address provided on the claim form.

$7.26 million settlement fund breakdown

The $7,260,000 settlement fund includes:

• Settlement administration costs: To be determined
• Attorneys’ fees and expenses: Up to $2,420,000
• Service awards to named plaintiffs: $15,000 each
• Payments to eligible class members: Remainder of the fund

Important dates

• Claim deadline: Oct. 1, 2025
• Opt-out deadline: Oct. 1, 2025
• Final approval/fairness hearing: Nov. 3, 2025

When is the Gomez Ovando v. Mountaire Farms Inc. payout date?

Payments are expected to be mailed approximately 21 days after the settlement becomes effective, which will be after the final approval hearing is complete and any appeals are resolved.

Why did this class action settlement happen?

The class action lawsuit alleged Mountaire Farms Inc. and Mountaire Farms of North Carolina Corp. failed to pay nonexempt chicken processing employees for all hours worked, did not pay proper overtime and made improper paycheck deductions.

Mountaire denies all allegations but agreed to settle to avoid further litigation.

Sources

1. Class notice.pdf)
2. Settlement agreement