Reset Font to Default Medium Font Larger Font

Commonly Asked Questions


Why did I receive this notice?

Answer:

You received this notice because FedEx Ground’s records show that you signed a FedEx Ground Pickup and Delivery Contractor Operating Agreement to provide service in California sometime during the period between November 17, 2000 and October 15, 2007, and that you may have personally worked as a full-time driver under that contract between November 17, 2000 and the present.

This notice summarizes the proposed settlement. For the precise terms and conditions of the settlement, please see the Settlement Agreement available at www.alexander-v-fedexground-settlement.com, by contacting Class Counsel (see Question 21), by accessing the Court docket in this case through the Court’s Public Access to Court Electronic Records (PACER) system at https://ecf.cand.uscourts.gov, or by visiting the office of the Clerk of the Court for the United States District Court for the Northern District of California, 450 Golden Gate Avenue, San Francisco, CA 94102, between 9:00 a.m. and 4:00 p.m., Monday through Friday, excluding Court holidays.

What is this lawsuit about?

Answer:

The people who brought the suit are seventeen drivers who operated FedEx Ground or FedEx Home Delivery routes and they are called “Plaintiffs” in this notice. The Plaintiffs sued FedEx Ground Package System, Inc., which is referred to as “Defendant” in this notice. The Plaintiffs brought the lawsuit on behalf of themselves and a class of other pickup and delivery drivers who, like them, signed contracts with FedEx Ground to operate FedEx Ground or Home Delivery routes in the State of California.

This lawsuit is about whether or not FedEx Ground misclassified pick-up and delivery drivers as independent contractors rather than as employees, and failed to provide them with legal rights that employees have under California law. In the operative Complaint, Plaintiffs seek to recover Class-wide damages for, among other things, unreimbursed employment expenses, illegal wage deductions, and failure to provide meal and rest periods, as well as unpaid overtime pay for individuals driving trucks weighing less than 10,001 pounds, interest, civil penalties, attorneys’ fees and costs. FedEx Ground maintains that the independent contractor classification is appropriate and denies that it has broken any laws.

In 2008, the Court allowed the Plaintiffs to pursue this lawsuit as a class action and to represent similarly situated drivers in the State of California in: (1) a General Class for claims of unreimbursed employment expenses and illegal wage deductions: and (2) an Overtime Subclass for claims of unpaid overtime for individuals who drove trucks weighing less than 10,001 pounds. In August 2014, the Ninth Circuit Court of Appeal ruled that the Plaintiffs were employees and not independent contractors.

In October 2015, the Court further certified a Meal and Rest Period Settlement Subclass to resolve claims for missed meal and rest periods during the period August 1, 2011 and August 31, 2015.

At the time that the settlement was reached, the case was moving towards trial to determine if FedEx Ground violated the California Labor Code and, if so, how much it owed the Plaintiffs in damages.

Why is this case a class action?

Answer:

 In a class action lawsuit, the Plaintiffs sue on behalf of other people who have similar claims. The people who have similar claims to or with the Plaintiffs are a “Class” or “Class Members.” The individuals who sued—and all the Class Members like them—are collectively called the Class.

The Court decided in 2008 to allow the General Class and Overtime Subclass to proceed as a class action because it meets the requirements of Federal Rule of Procedure 23, which governs class actions in federal courts. In October 2015, the Court decided to allow the Plaintiffs to certify a Meal and Rest Period Settlement Subclass for purposes of this proposed settlement. Specifically, the Court found that:

  • There are numerous FedEx Ground drivers whose interests will be affected by this lawsuit;
  • There are legal questions and facts that are common to each of them;
  • The Plaintiffs’ claims are typical of the claims of the rest of the Class;
  • The Plaintiffs and the lawyers representing the Class will fairly and adequately represent the Class’ interests;
  • The common legal questions and facts are more important than questions that affect only individuals; and
  • This class action will be more efficient than having many individual lawsuits.

Why is there a settlement?

Answer:

The Court has not issued a final decision about the case, which has been ongoing for more than eleven (11) years. Instead of further litigation, which could have taken many more years with no certainty of the outcome, both sides agreed to a Class-wide settlement. The settlement provides the Class Members with compensation sooner and allows both sides to avoid the cost of a trial and appeals. The Plaintiffs and their lawyers think the settlement is in the best interest of the Class Members.

How do I know if I am part of the settlement?

Answer:

You are part of the settlement if you fit one or more of the following descriptions:

General Class - Includes all persons who: (1) Entered into a FedEx Ground or FedEx Home Delivery Form Operating Agreement (now known as OP-149 and Form OP-149-RES); (2) Drove a vehicle on a full-time basis (meaning exclusive of time off for commonly excused employment absences) from November 17, 2000 through October 15, 2007, to provide package pick-up and delivery services pursuant to the Operating Agreement; and (3) Were dispatched out of a terminal in the state of California between November 17, 2000 and August 31, 2015.

Overtime Subclass - Includes all persons who: (1) Entered into a FedEx Ground or FedEx Home Delivery Form Operating Agreement (now known as OP-149 and Form OP-149-RES); (2) Drove a vehicle on a full-time basis (meaning exclusive of time off for commonly excused employment absences) from November 17, 2000 through October 15, 2007, to provide package pick-up and delivery services pursuant to the Operating Agreement; (3) Were dispatched out of a terminal in the state of California between November 17, 2000 and August 31, 2015; and (4) At any time during the class period operated a vehicle with gross vehicle weight rating of less than 10,001 pounds.

Meal and Rest Period Settlement Subclass - Includes all persons who: (1) Entered into a FedEx Ground or FedEx Home Delivery Form Operating Agreement (now known as OP-149 and Form OP-149-RES) from November 17, 2000 through October 15, 2007; (2) Drove a vehicle on a full-time basis (meaning exclusive of time off for commonly excused employment absences) since August 1, 2011 to provide package pick-up and delivery services pursuant to the Operating Agreement; and (3) Were dispatched out of a terminal in the state of California between August 1, 2011 and August 31, 2015.

If you fit the Meal and Rest Period Settlement Subclass definition, please read Questions 12 and 13.

Are there exceptions to being included?

Answer:

Yes. You are not a member of the General Class or either subclass if you did not (1) sign an Operating Agreement with FedEx Ground at some point between November 17, 2000 and October 15, 2007, (2) personally drive a vehicle on a full-time basis under that Operating Agreement between November 17, 2000 and October 15, 2007, and (3) operate out of a terminal in California. If you do not satisfy any one of these three conditions, you are not member of the Class and are excluded from participation in this lawsuit.

You are also not a member of the General Class and Overtime Subclass if you previously excluded yourself (“opted out”) after notice of the pendency of this class action was given in 2008 and 2009.

You are not eligible to be a member of the Meal and Rest Period Settlement Subclass if your FedEx Ground Operating Agreement terminated at any time prior to August 1, 2011.

You are not eligible for a settlement payment for the time period November 17, 2000 through December 31, 2008 if you were a member of the certified Class in a class action lawsuit entitled Estrada v. FedEx Ground Package System, Inc., LA Superior Court Case No. BC210130 and received a payment or your claims were dismissed with prejudice under the stipulated judgment entered in that case on December 23, 2008. If you were excluded from the Estrada class at any point because you became a multiple-work area contractor (MWA) during the Estrada class period you may be eligible for a settlement payment in the Alexander Class.

If you were a Plaintiff in the action titled Mason et. al. v. FedEx Ground Package System, Inc. Los Angeles Superior Court Case No. BC382960 and you received a settlement payment in that case for the time period January 1, 2005 to December 31, 2008, your settlement payment in this case, if any, pertains to the period January 1, 2009 to August 31, 2015.

If you are still not sure you are included, you can ask for help. You can call 1-800-711-1958 or visit www.alexander-v-fedexground-settlement.com for more information. Or you can fill out and submit the Claimant Identification Form, described under Question 9, to see if you qualify.

What does the settlement provide?

Answer:

FedEx Ground has agreed to create a $226.5 million dollar ($226,500,000.00) Class Settlement Fund to be divided among and on behalf of all Class Members who send in valid Claimant Identification Forms. The money is also used to pay for Plaintiffs’ lawyers’ fees and costs, payment to the Plaintiffs for their service to the Class, payment of certain penalties to the California Labor and Workforce Development Agency, and the costs of administering the settlement.

How much will my payment be?

Answer:

Your share of the Class Settlement Fund will ultimately depend on the number of valid Claimant Identification Forms that Class Members send in. The enclosed Claimant Identification Form explains your estimated settlement amount and how it was calculated.

The Classes are defined to include persons who drove for Defendant on a full-time basis, defined as 35 or more hours in a week. You are not eligible to receive any settlement payment for workweeks during which you did not personally drive.

Your settlement payment will depend on the number of workweeks during the claim period that you personally drove and performed pickup and delivery in a Primary Service Area covered by your Operating Agreement with FedEx Ground or FedEx Home Delivery, the number of days and hours you personally drove in each of those workweeks, and which FedEx Ground division you contracted with, i.e. FXG or FHD. This information is derived from records produced by FedEx.

After all Class Members have sent in their Claimant Identification Forms, you will receive your pro rata share of the Class Settlement Fund. If less than 100% of the Class Members send in valid Claimant Identification Forms, you could get more money than currently estimated.

General Class

All Class Members are eligible to receive settlement payments calculated this way: (a) A “Weekly Base Settlement Payment” (WBSP) for each week in which they worked full-time (defined as 35 hours or more) adjusted for each year during the claim period to reflect accrued statutory interest at rate of 10% simple; and (b) tiered flat-rate payments for weeks in which they worked, but drove less than 35 hours or less than 25 hours in that week as derived from records produced by FXG of $75 or $25, respectively.

The estimated WBSP for Class Members who drove for FXG is $240 and the estimated WBSP for Class Members who drove for FHD is $190. The lower WSBP for FHD drivers reflects the lower expenses incurred by FHD contractors.

An absolute minimum payment of $250 will be allocated to persons who received the class notice, but who did not fit the General Class definition during any portion of the class period.

Overtime Subclass

Members of the Overtime Subclass are eligible to receive additional settlement payments in pro rata settlement shares from an overtime settlement reserve fund of $16,000,000. Payments are calculated based the daily and weekly overtime hours for members of the Overtime Subclass as derived from records produced by FXG.

Meal and Rest Period Settlement Subclass

Members of the Meal and Rest Period Settlement Subclass, which includes members of the General Class who continued to drive after August 1, 2011, will receive additional settlement payments in pro rata settlement shares from a meal and rest period settlement reserve fund of $5,600,000, calculated based on days worked between August 1, 2011 and August 31, 2015, as derived from records produced by FXG.

Submitting a Claimant Identification Form

Answer:

To qualify for a payment, you must meet all of the eligibility criteria described under Questions 5 and 6 and you must submit a valid Claimant Identification Form to the Settlement Administrator by the claim filing deadline. A Claimant Identification Form is included with this notice. You may also download a Claimant Identification Form from the Settlement Administrator’s website at www.alexander-v-fedexground-settlement.com.

Read the instructions carefully, fill out the Form (including the IRS Form W-9), sign it, and either mail it postmarked no later than May 27, 2016, to:

Alexander v FedEx Settlement Administrator
C/O Rust Consulting Inc. – 4920
PO Box 2396
Faribault, MN 55021-9096

or file it online no later than May 15, 2016, using the following link: www.alexander-v-fedexground-settlement.com.

When would I get my payment?

Answer:

The Court will hold a hearing on April 7, 2016, at 1:30 PM, to decide whether or not to give final approval to the settlement. If Judge Chen approves the settlement and there are no appeals, you should receive your settlement payment. But, if the Court does not approve the settlement or if there are any appeals, payments will be delayed or the settlement may not occur. Everyone who sends in a Claimant Identification Form will be informed of the progress of the settlement. Please be patient.

What am I giving up to get a payment?

Answer:

Under the terms of the settlement, you will be releasing FedEx Ground Package System, Inc., and parties related to it, from all claims that were asserted or could have been asserted based on the factual allegations in Plaintiffs’ operative Complaint for any period of time before August 31, 2015, with one exception: the settlement does not apply to and does not release claims premised on California law for missed meal and rest breaks (if any) that accrued at any time prior to August 1, 2011.

PLEASE NOTE: If the Court approves the settlement, your claims will be extinguished whether or not you submit a Claimant Identification Form and whether or not you receive a payment.

What are my options for the Meal and Rest Period Settlement Subclass?

Answer:

In October 2015, the Court certified the Meal and Rest Period Settlement Subclass for the purposes of settlement consisting of General Class Members who continued to contract with FedEx Ground and to personally drive a FedEx Ground route on a full time basis between August 1, 2011 and August 31, 2015. This subclass allows the parties to negotiate a settlement on behalf of similarly situated Class Members for claims for missed meal and rest periods for the time period August 1, 2011 through August 15, 2015. The Meal and Rest Period Settlement Subclass does not include General Class Members whose contracts terminated prior to August 1, 2011.

If you are a member of the Meal and Rest Period Settlement Subclass, you have one additional option. Because the Meal and Rest Period Settlement Subclass was recently certified and this is the first notice sent regarding this subclass, you have an opportunity to exclude yourself from the Meal and Rest Period Settlement Subclass (called “opting-out”). This opportunity only exists for the Meal and Rest Period Settlement Subclass.

Your options for the Meal and Rest Period Settlement Subclass are:

  • Submit a Claimant Identification Form, as described under Questions 9-11;
  • Object and go to a hearing, as described under Questions 16 and 18;
  • Ask to be excluded from the Meal and Rest Period Settlement Subclass, as described under Question 13; or
  • Do nothing, as explained under Question 20.

What if I want to be excluded from the Meal and Rest Period Settlement Subclass?

Answer:

Why would I ask to be excluded?

If you already have your own lawsuit against FedEx Ground concerning meal and rest periods and want to continue with it, you must ask to be excluded from the Class. If you exclude yourself from the Meal and Rest Period Settlement Subclass—which is sometimes called “opting-out” of the Class—you won’t get any money from the Meal and Rest Period Settlement Subclass reserve fund. However, you may then sue or continue to sue FedEx Ground for meal and rest period claims that occurred or occur at any time. If you exclude yourself, you will not be legally bound by the Meal and Rest Period Settlement Subclass Settlement.

If you start your own action after you exclude yourself, you must hire and pay your own lawyer for that lawsuit, and you’ll have to prove your claims. If you do exclude yourself so you can start or continue your own lawsuit against FedEx Ground, you should talk to your own lawyer soon, because your claims are subject to a statute of limitations.

How do I ask the Court to exclude me from the Meal and Rest Period Settlement Subclass?

To be excluded, you must send an “Exclusion Request” in the form of a letter sent by mail, stating that you want to be excluded from the “Alexander v. FedEx Ground Package System, Inc., Case No. 05-CV-0038 EMC Meal and Rest Period Settlement Subclass.” Be sure to include your name and address, and sign the letter. You must mail your Exclusion Request, postmarked by May 15, 2016, to:
Alexander v FedEx Settlement Administrator
C/O Rust Consulting Inc. – 4920
PO Box 2396
Faribault, MN 55021-9096

Can I ask to be excluded from the General Class and Overtime Subclass?

No. Class Members were sent notice and given the opportunity to exclude themselves from the General Class and Overtime Subclass in 2009. Because you already had the opportunity to opt-out, you cannot ask to exclude yourself now.

Do I have a lawyer in this case?

Answer:

The Court has previously appointed Leonard Carder LLP to serve as Class Counsel for the Plaintiffs and Class Members in this lawsuit:
Beth A. Ross
Aaron Kaufmann
David Pogrel
Elizabeth Gropman
LEONARD CARDER, LLP
1330 Broadway, Suite 1450
Oakland, CA 94612
Tel: (510) 272-0169
Fax: (510) 272-0174
These lawyers will be paid from the settlement amount, so you will not be charged personally for their work on this case and in negotiating this settlement. If you want to be represented by your own lawyer, you may hire one at your own expense.

How will the lawyers and Plaintiffs be paid?

Answer:

Class Counsel will ask the Court to approve payment of: (1) up to 22% of the Class Settlement Fund for attorneys’ fees and expenses for the eleven years they spent investigating the facts, litigating the case, and negotiating the settlement; and (2) up to $10,000 in service awards for each of the original Plaintiffs who assisted in the litigation; and (3) up to $1,500.00 as service award for the Named Plaintiff who assisted in litigation to represent the Meal and Rest Period Settlement Subclass. Class Counsel may seek less and/or the Court may award less than these amounts. FedEx Ground has agreed not to oppose these requests for fees, expenses, and incentive awards. A motion to approve payment of attorneys’ fees will be on file with the Court and available for public review before the Fairness Hearing.

How do I tell the Court that I don't like the Settlement?

Answer:

You can ask the Court to deny approval by filing an objection. You can’t ask the Court to order a larger settlement; the Court can only approve or deny the proposed settlement. If the Court denies approval, no settlement payments will be sent out and the lawsuit will continue. If that is what you want to happen, you must object.

To object, you must send a letter saying that you object to the settlement in Alexander v. FedEx Ground Package System, Inc., Case No. 05-CV-0038 EMC (be sure to include this case name and number in your letter). All written objections and supporting papers must (a) clearly identify the case name and number (Alexander v. FedEx Ground Package System, Inc., Case No. 05-CV-0038 EMC), (b) include your name, address, telephone number, your signature, and the reasons you object to the settlement, and (c) be postmarked no later than February 15, 2016 and sent to the following address:

Alexander v FedEx Settlement Administrator
C/O Rust Consulting Inc. – 4920
PO Box 2396
Faribault, MN 55021-9096

Even if you object, the Court may not agree with your objection. To protect your right to a payment in this case, you must also submit a Claimant Identification Form with your objection.

When and where will the Court decide whether or not to approve the settlement?

Answer:

The Court will hold a Final Approval Fairness Hearing on April 7, 2016, at 1:30 PM, at the United States District Court for the Northern District of California, at 450 Golden Gate Avenue, San Francisco, CA 94102 before the Honorable Edward M. Chen, Courtroom 5. At this hearing the Court will consider whether or not the settlement is fair, reasonable, and adequate. If there are objections, the Court will consider them. After the hearing, the Court will decide whether or not to approve the settlement.

Do I have to come to the hearing?

Answer:

No. But, you may appear at the Fairness Hearing, either in person or through your own attorney. If you appear through your own attorney, you are responsible for paying that attorney. If you send an objection, you do not have to come to Court to talk about it, but you may if you wish. As long as you mailed your written objection on time, the Court will consider it.

May I speak at the hearing?

Answer:

You may ask the Court for permission to speak at the Fairness Hearing. To do so, you must send a letter stating your "Notice of Intention to Appear at Fairness Hearing in Dean Alexander et al. v. FedEx Ground Package System, Inc., Civil No. 05-cv-0038 EMC." Be sure to include your name, address, telephone number, and your signature.

Your Notice of Intention to Appear must be postmarked no later than February 15, 2016, and be sent to the Clerk of the Court, Class Counsel, and FedEx Ground’s counsel, at

Alexander v FedEx Settlement Administrator
C/O Rust Consulting Inc. – 4920
PO Box 2396
Faribault, MN 55021-9096

What happens if I do nothing at all?

Answer:

If you do not submit a Claimant Identification Form, object, and/or attend the final hearing, you will not receive a payment and you will give up your rights to be part of any other lawsuit against FedEx Ground related to the claims that are the subject of this settlement, as described under Question 11.

Are there more details about the settlement?

Answer:

This notice summarizes the proposed settlement. Additional details are included in the written Class Action Settlement Agreement. You can get a copy of that Agreement by writing to:

Alexander v FedEx Settlement Administrator
c/o Rust Consulting Inc. – 4920
PO Box 2396
Faribault, MN 55021-9096

or by visiting the Settlement Administrator’s website at www.alexander-v-fedexground-settlement.com.

You can call 1-800-711-1958, toll-free; write to:

Alexander v FedEx Settlement Administrator
c/o Rust Consulting Inc. – 4920
PO Box 2396
Faribault, MN 55021-9096

or visit the website at www.alexander-v-fedexground-settlement.com, where you can find answers to common questions about the settlement, a Claimant Identification Form (including IRS Form W-9), plus other information to help you determine whether you are a Class Member and whether you are eligible for a payment.

You may also speak to the lawyers, who are:

Beth A. Ross
Aaron Kaufmann
David Pogrel
Elizabeth Gropman
LEONARD CARDER, LLP
1330 Broadway, Suite 1450
Oakland, CA 94612

Tel: (510) 272-0169
Fax: (510) 272-0174

Disclaimer

View the Privacy Policy