Potential $4.5M Messenger Settlement Resolves Class Action Lawsuit Over January 2024 Layoffs

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The Messenger may pay a $4.5 million settlement to resolve a class action lawsuit that alleged the now-bankrupt news website violated federal and state law by failing to give employees requisite notice before shutting down operations in January 2024.

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The deal with JAF Communications Inc., which does business as The Messenger, received preliminary court approval on April 28, 2025. The class action settlement covers 275 former employees who worked at, received assignments from or reported to any JAF sites and were terminated within 30 days of January 31, 2024.

Class members do not have to do anything to be eligible to receive a share of the settlement fund, should it be recovered.

According to the settlement agreement, the deal does not guarantee payment to class members, as the now-defunct media company’s assets are being liquidated in a separate proceeding. JAF has agreed to the judgment against it for $4,500,000, and the attorneys for the class will attempt to recover these funds from the liquidation, the document says.

If any money is recovered from the proceeding, it will be distributed on a pro rata basis depending on class members’ average monthly gross wages or salary, benefits under any employee benefit plan, hire date, notice date and termination date, the settlement agreement shares.

Class members will be contacted after the aforementioned proceeding ends with more information about their possible settlement payout amount, the agreement adds.

Related Reading: The Messenger Lawsuit Claims Defunct News Site Owed Advance Notice Prior to Jan. 2024 Layoffs

The court will decide whether to grant final approval to the terms of the Messenger class action settlement at a hearing on July 8, 2025.

According to the court’s preliminary approval order, notice of the Messenger settlement will be mailed to class members’ last known addresses within 20 days of April 28, 2025.

The Messenger class action lawsuit alleged that JAF violated the 60-day-notice requirement of the federal Worker Adjustment and Retraining Notification Act and a similar New York law, which requires companies to give employees at least 90 days’ notice before any foreseeable mass layoffs or closings. The class action suit contended that by failing to issue requisite notices, the company owes workers 60 days of their wages—or 90 for New York-based employees—plus ERISA benefits.

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