Phillips, Erlewine, Given & Carlin LLP

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Lithia Motors/DCH Auto Group to pay mechanics $4 million to settle labor claims

August 25, 2016 – Firm partner Nicholas A. Carlin announced today, by Notice of Settlement filed with the Los Angeles Superior Court, that DCH Auto Group and its parent company, Lithia Motors, Inc., have agreed to a class wide settlement of all wage and hour claims against them by current and former auto mechanic employees of their California DCH dealerships.  The agreement acknowledges that previous payments made to some employees in the amount of $435,600 was a result of the litigation, and provides for payment of an additional $3.6 million to the class, bringing the total value of the litigation to the employees to over $4 million. As there are over 400 class members, this is an average of just under $10,000 per class member. The settlement amount is inclusive of attorneys’ fees, costs and class representative service awards. While court approval is pending, Mr. Carlin is expected to serve as co-lead counsel.