In response to my March 15, 1989, Order to
Submit Settlement Agreement, Complainant has submitted a document
entitled "Release," which document is signed by
Complainant individually. This Release, inter alia,
acknowledges Complainant's receipt of a sum of money from
Respondent in full satisfaction of all claims Complainant has
against Respondent and certain other named persons, including his
claim in the case before me. The Release does not set forth the
amount of money received by Complainant. Counsel for Complainant
advises that, in view of the specific confidentiality provision
of the Release, Respondent's permission must be obtained in order
for Complainant to furnish me with that amount. Complainant's
counsel also notes that Complainant feels that the settlement
terms, including the monetary amount received, are fair, adequate
and reasonable.
Although the terms of a settlement agreement
need not be set out in an order approving a settlement, as was
stated in my previous order, "[w]ithout examination of the
specific terms of settlement, I cannot determine whether the
settlement is fair, adequate and reasonable." Order to
Submit Settlement Agreement at 1. To make this determination, it
is necessary to balance the strength of the Complainant's case on
the merits against the settlement terms. Van Horn v.
Trickey, 840 F.2d 604, 607 (8th Cir. 1988); Parker v.
Mitchell, 667 F.2d 1204, 1209 (5th Cir. l982); Armstrong
v. Board of Sch. Directors, Etc., 616 F.2d 305, 332 (7th Cir.
l980). The amount of money offered to Complainant is a settlement
term which is integral to this process. As pointed out in
Holden v. Burlington Northern. Inc., 665 F. Supp. 1398,
1407 (D. Minn. 1987), "in determining whether the proposed
settlement is fair, reasonable, and adequate, by far the most
important factor for the Court to consider is the strength of the
plaintiff's case balanced against the amount offered in
settlement.. Grunin v. International House of Pancakes,
513 F.2d 114, 124 (8th Cir. 1975), cert. denied, 423 U.S.
864 (1975). Accordingly, the parties are directed to furnish
within twenty (20) days of receipt of this order, the specific
amount of money received byComplainant in exchange for
execution of the Release.
Furthermore, since the Release is signed only
by Complainant individually, the Respondent is directed to submit
a certification demonstrating its informed consent to the
agreement.
