Frequently Asked Questions

1. Why did I get this notice package?

You are receiving this notice because records indicate that you worked as a field organizer for the Pennsylvania Democratic Party at some point between November 9, 2013 and December 31, 2021 (“Class Period”). The above-referenced lawsuit, Bethany Katz, et al. v. Pennsylvania Democratic Party, et al., 16-5800 (the “Lawsuit”), is pending in the United States District Court for the Eastern District of Pennsylvania in Philadelphia, Pennsylvania (the “Federal Court”). You are receiving this Notice because the Federal Court has ordered that it be mailed to you.

The Federal Court has preliminarily approved a settlement (“Settlement”) of the Lawsuit as fair and reasonable. The Settlement provides for certain former field organizers of the Pennsylvania Democratic Party to receive a portion of a three million, five-hundred thousand dollar ($3,500,000) fund (“Settlement Fund”). The Federal Court will conduct a hearing (“Fairness Hearing”) to determine if the Settlement should be approved.

This Notice advises you of your right to share in the monetary proceeds of this Settlement and describes the Settlement and how you can obtain money recovery from the Settlement. This Notice also describes how you can exclude yourself from, or object to, the Settlement.

2. What is this Lawsuit about and why did it settle?

Bethany Katz (the “Named Plaintiff”) worked for the PDP in the 2016 election cycle as a field organizer. On November 9, 2016, the Named Plaintiff filed a lawsuit against, in relevant part, the PDP, on behalf of all other individuals who were employed by PDP as Field Organizers contending that the PDP failed to pay minimum wages and failed to pay overtime wages to employees for the time they worked in excess of 40 hours per week. Plaintiffs contend this practice violated the Pennsylvania Minimum Wage Act and the Fair Labor Standards Act (“FLSA”). Specifically, the lawsuit contends that PDP unlawfully treated the affected employees as exempt from overtime pay and minimum wage requirements. In the Lawsuit, Plaintiffs sought all wages they alleged were due on behalf of all eligible Organizers during the statute of limitations period through the end of 2021. Plaintiffs also sought liquidated damages (double damages), attorneys’ fees, and costs.

The PDP denies these claims and does not admit any liability or damages whatsoever. The Settlement, however, enables PDP and the employees to avoid the uncertainty, risks, and time involved in continued litigation.

The Court has not made any determinations regarding who would prevail if the case were tried and not settled.

The Named Plaintiff’s attorneys, who are referred to as “Class Counsel,” believe that the Settlement benefits the class members. The Settlement provides a benefit to a large number of field organizers, and enables the class members to avoid the risk that PDP could win the Lawsuit or appeal, in which case class members would recover nothing or be subject to a significant delay in payment. The Settlement also enables class members to recover money without the delay of protracted litigation.

The Parties’ attorneys negotiated the Settlement after taking sufficient discovery to enable each side to understand the risks of proceeding with adversarial litigation. The Settlement was entered into following significant investigation, including class-wide discovery. Class Counsel believes that the Settlement is fair and serves the best interests of the class members. The Federal Judge overseeing the Lawsuit has “preliminarily approved” the Settlement as fair and reasonable. The Federal Judge will make the final decision regarding the fairness of the Settlement at the Fairness Hearing described in Section 7 below.

3. What does the Settlement provide and how much will I be paid?

Under the Settlement, PDP has agreed to pay a Settlement amount of three million, five-hundred thousand dollars ($3,500,000) (the “Settlement Fund”) to resolve all claims asserted in the Lawsuit. Your “Individual Settlement Payment” will be calculated based upon the settlement formula stated in the settlement agreement on file with the Court. The Settlement Agreement is also available on Class Counsel’s website at www.swartz-legal.com. In short, the settlement provides a formula where each Class Member will receive a minimum of $100.00, plus an additional amount which will be pro-rated based on the number of weeks employed by PDP as a field organizer during the Class Period. Any Settlement Class Member who was only classified by Defendant as non-exempt shall receive a settlement payment of $100.00.

The Settlement will be paid over a 6-year period, and will require the PDP make 7 payments of $500,000 each, the first of which will be paid shortly after the Court approves the Settlement, and the remaining payments being paid each March, from March 2024 to March 2029.

After litigation and administrative costs, attorney’s fees, and service payments are subtracted from the Settlement Fund, the remaining fund (the “Net Settlement Fund”) will be distributed to all Class Members who do not opt out of the Settlement. Class Members will receive a payment from the Settlement Fund.

Class Members will receive 50% of their settlement amount as wages, which will be reported on an IRS Form W-2, subject to all ordinary payroll taxes and withholdings. The remaining amount will constitute non-wage compensation, and is to provide compensation for unlawful wage advances, unlawful deductions, and liquidated damages. This portion will not be subject to withholdings, and will be reported on an IRS Form 1099.

At the Fairness Hearing, Class Counsel will apply to receive up to one-third of the total Settlement amount for the services they provided. Class Counsel will also seek to recover out-of-pocket expenses incurred in the Lawsuit. This amount will be requested based on the substantial work Class Counsel performed in the Lawsuit and the risk Class Counsel took in bringing the Lawsuit. Class Counsel has conducted extensive investigation in prosecuting the Lawsuit, including, but not limited to: filing the Lawsuit, fronting all litigation costs, filing numerous contested motions, including for collective certification, defending a motion to dismiss, opposing a petition for interlocutory review in the Third Circuit Court of Appeals, and attending a mediation which ultimately resulted in the instant settlement.

At the Fairness Hearing, the Named Plaintiff Katz will request a service fee in the amount of $10,000. The Service Payment is requested because Ms. Katz provided service to the Settlement Class by helping Class Counsel formulate claims and by assisting in bringing the Lawsuit forward. The Service Payment is separate from, and in addition to, the portion of the Settlement Fund that she may receive as a class member.

4. How can I receive my payment?

You do not need to take any further action to receive a payment. If you move prior to receiving your final check, you should contact the Claims Administrator at (833) 215-5909 to notify the Claims Administrator of your new address. You may also provide change of address information via facsimile to (714) 824-8591 or by e-mail to info@PADemSettlement.com.

The parties anticipate that the first round of settlement checks will be issued sometime in the third quarter of 2023. Additional payments will be provided each March beginning in 2024 and ending in 2029.

5. What am I giving up as a Class Member?

If the Federal Court grants final approval of the Settlement, the Federal Court will enter judgment consistent with the terms of the Settlement.

Upon the Court’s Order Entering Final Approval you will waive, release, and forever discharge all claims you may have against the PDP, along with its predecessors, successors, parents, subsidiaries, and affiliated entities, including their former and present officers, directors, agents, employees, attorneys, insurers, representatives, and benefit plans, through December 31, 2021 that relate to payment of wages due or paid for hours worked (including but not limited to overtime and minimum wage) under federal or state law.

6. How do I exclude myself (opt-out) from this Settlement?

You will release your legal claims, as described in Section 5 above, unless you affirmatively exclude yourself from the Settlement. If you exclude yourself, you will not release or waive any legal claims, and you will preserve your right to sue PDP on your own for alleged violations. If you exclude yourself from the Settlement, you will not receive money in this Settlement.

To exclude yourself from the Settlement, you must mail a written request to opt-out of the settlement to Katz v. PDP Claims Administrator, c/o Simpluris, Inc., P.O. Box 26170, Santa Ana, CA 92799, or you may send your request via facsimile to (714) 824-8591, by e-mail to info@PADemSettlement.com, or by First Class United States Mail to: Katz v. PDP Claims Administrator, c/o Simpluris, Inc., P.O. Box 26170, Santa Ana, CA 92799. The request should contain the following statement: I request to be excluded from the settlement in Katz v. PDP et al., Case No. 2:16-cv-05800 (United States District Court for the Eastern District of Pennsylvania).

Your request for exclusion must be postmarked or submitted on or before July 18, 2023 to be valid. To be valid, the Opt-Out Statement from Class Settlement form must be signed and dated by you, and must include the name of the case. You should also provide your phone number on the request in case the Claims Administrator needs to contact you regarding same.

7. Final Approval of Settlement at Fairness Hearing

The Federal Judge presiding over this Lawsuit will conduct a Final Fairness Hearing at 2:00 p.m. on September 11, 2023 in Courtroom 10B of the United States Courthouse, 601 Market Street, Philadelphia, PA 19106. At the Fairness Hearing, the Judge will decide whether the Settlement is sufficiently fair and reasonable to warrant final court approval. You are not required or expected to attend the Fairness Hearing. However, you are welcome to attend at your own expense. If you plan on attending, please contact Class Counsel so that the Court can be notified to ensure that there is enough space and time allotted for you.

8. How do I object to the Settlement?

If you believe the proposed Settlement is unfair or inadequate in any respect, you may object to the Settlement, either personally or through an attorney at your own expense, by filing a written objection with the Court and mailing a copy of your written objection to Katz v. PDP Claims Administrator, c/o Simpluris, Inc., P.O. Box 26170, Santa Ana, CA 92799 or you may send your objection via facsimile to (714) 824-8591 or by e-mail to info@PADemSettlement.com In order to object to the Settlement, you must remain a class member and may not opt-out from the Settlement.

All objection(s) to any part of the Settlement must be signed by you or your counsel and set forth your address, telephone number, and the name of the Action. All objections must be postmarked or submitted no later than July 18, 2023. If you submit a timely objection, you may appear, either personally or through an attorney, at your own expense, at the Final Approval Hearing discussed above. Your objection should clearly explain why you object to the proposed Settlement and must state whether you or someone on your behalf intends to appear at the Final Approval Hearing. If you object to the Settlement, Class Counsel will not represent you in your objection.

Any class member who does not object in the manner described above shall be deemed to have waived any objections, and shall forever be foreclosed from objecting to the fairness and adequacy of the proposed Settlement, the payment of attorneys’ fees, service payments, and litigation costs, the claims process, and any and all other aspects of the Settlement.

Likewise, regardless of whether you file an objection, you will be deemed to have released all of the Released Claims against PDP and subject to the Release contained in the Settlement Agreement as explained in Section 5 above unless you properly request exclusion from the Settlement in accordance with Section 6 above. Please note that if you exclude yourself from the Settlement by following the procedures set forth in Section 6 above, you will not have standing to object to the Settlement, and the Court will not consider your objection at the Final Fairness Hearing.

9. Are there more details about the Settlement? Questions?

Yes. This Notice summarizes the most important aspects of the Settlement. You can get a copy of the written Settlement Agreement and obtain further information regarding the Lawsuit and the Settlement by calling Class Counsel or visiting www.swartz-legal.com. Class Counsel’s contact information is listed below. You will not be charged any money for communicating with Class Counsel.

10. Do I have an attorney in this case?

Swartz Swidler, LLC, represent the interests of class members in the Lawsuit. Class Counsel will represent you in the Lawsuit and can answer questions for you regarding the Lawsuit and the Settlement. Class Counsel’s contact information is below. You will not be charged any money for Class Counsel’s representation of you; rather Class Counsel will be paid out of the class-wide Settlement Fund. You also have the right to get your own attorney at your own expense in which case Class Counsel will not represent you in the Lawsuit or Settlement. If you object to the Settlement, Class Counsel will not represent you in your objections.

Justin L. Swidler, Esq.

Richard S. Swartz, Esq.

Joshua S. Boyette,Esq.

Swartz Swidler, LLC

9 Tanner Street. Ste. 101

Haddonfield, NJ 08033

Website: http://www.swartz-legal.com

Phone: (856) 685-7420

Fax: (856) 685-7417

E-mail: jswidler@swartz-legal.com