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Wage & Hour · Final Approval Granted — Automatic Payment

Walgreens $2.5M Oregon Final Paycheck Settlement: Final Approval Granted, Automatic Payments

Published October 4, 2026
Updated October 20, 2026

Former Walgreens employees whose jobs ended between April 6, 2018 and April 6, 2021, and whose final paycheck arrived six or more days late, are to be paid automatically from the $2.5 million Walgreen Pharmacy Services settlement over Oregon's final-pay law; there is no claim form to file. Judge Michael W. Mosman granted final approval on October 19, 2026.

Walgreens store sign

Current Status

There is no claim form. Class members were identified from Walgreens' payroll records, and anyone who did not opt out is paid automatically. The opt-out and objection deadlines passed on May 8, 2026. Judge Michael W. Mosman held the final approval hearing on August 4, 2026, and signed the written order granting final approval on October 19, 2026. The settlement website had not posted a mailing date as of October 20, 2026.

Status Final Approval Granted Order signed October 19, 2026
Claim Deadline No Claim Form Opt-out deadline passed May 8, 2026
Estimated Payout Pro Rata Share of ~$1.56M Based on days late and hourly rate
Proof Required Automatic Payment Checks mailed to the address on file

What Changed Recently?

On October 19, 2026, Judge Mosman signed the order granting final approval of the settlement and class counsel's request for fees, costs and the service award, and dismissed the case with prejudice. At the August 4 hearing, the court approved the settlement from the bench but said it would sign the written order only after the 90-day waiting period that follows the Class Action Fairness Act notice served July 17. The order says no class member opted out or objected. According to the order, the administrator, Epiq, identified 421 class members and delivered mail or email notice to 395 of them.

The case was filed on April 6, 2021, and has been in litigation for more than five years. The lawsuit alleges that Walgreens paid departing Oregon employees their final wages on the next regular payday instead of by the deadline Oregon law sets. Under ORS 652.140, wages are generally due by the end of the next business day after a firing or a mutually agreed separation. ORS 652.150 adds a penalty when final pay is late. The penalty equals the worker's regular wages for each day the pay is late, up to 30 days.

On July 1, 2024, the court certified the class in part. The U.S. Court of Appeals for the Ninth Circuit denied Walgreens' request to appeal that ruling on August 29, 2024. The parties then settled with the help of mediator Henry J. Kantor, a retired judge, and Judge Mosman granted preliminary approval on February 9, 2026. Walgreens denies any wrongdoing and says it complied with state and federal law. Settling is not an admission of liability.

Who Qualifies?

The court certified this class:

All employees of Walgreens who were terminated between April 6, 2018, through April 6, 2021; who did not abandon or walk off their job; and who received their final paycheck six or more days after their termination date.

The defendants are Walgreen Pharmacy Services Midwest, LLC, Walgreen Pharmacy Services Eastern, LLC and Walgreen Pharmacy Services Western, LLC. The claims arise under Oregon's final-paycheck statutes. The class list comes from Walgreens' payroll records and is filed under seal. Class counsel said discovery covered about 561 potential class members. That figure predates the court's narrowing of the class. The final approval order puts the identified class at 421 people.

The court rejected a separate, broader proposed class. That class would have covered employees moved from Walgreens Western or Walgreens Eastern to Walgreens Midwest on January 1, 2016. Those workers are not part of this settlement unless they also fit the definition above.

How Much Can You Get?

Walgreens will pay up to $2,500,000. Before anything goes to class members, the fund covers settlement administration (capped at $100,000), attorneys' fees and costs of up to $833,333.33 (one-third of the fund) and a service award of up to $7,500 for the lead plaintiff. The court approved the full requested amounts: $825,134.72 in attorneys' fees plus $8,198.61 in costs, and the $7,500 service award. That leaves about $1,559,166.67 for class members.

That money is split pro rata, according to each person's share of the total penalty the class is alleged to be owed, plus 9% statutory interest. Class counsel's motion explains the penalty calculation. Take the number of days between termination and final pay, subtract five, multiply by eight hours, then multiply by the employee's hourly rate. In the motion's example, a worker paid 15 days late at $30 an hour has a penalty of 10 × 8 × $30, or $2,400. Interest is added at 9% simple.

Each class member receives a proportional share of the net fund, which may be less than their full calculated penalty. Individual amounts are confidential under the agreement and are not published. The awards are statutory penalties under ORS 652.150, not back wages.

What Proof or Notice ID Is Required?

None. There is no claim form, and no ID or document is needed to be paid. With final approval granted, the administrator mails each class member who did not opt out a check at their last known address. That address comes from Walgreens' records, updated through the national change-of-address database and skip tracing.

What Is the Deadline?

There was never a claim deadline. The deadline that mattered was May 8, 2026, the last day to opt out or object, and it has passed. Anyone in the class who did not opt out by that date is bound by the settlement.

The settlement releases Oregon wage-and-hour claims that were or could have been brought on the facts alleged in the lawsuit, covering the period through April 6, 2021. Workers' compensation, unemployment, vested retirement benefits and similar rights that cannot be waived are not released.

How Do You Take Action?

Class members do not have to do anything to be paid. Checks go to the mailing address on file. According to the settlement website, class members who have moved should give the administrator their new address. Contact options are on the official Walgreen Pharmacy Services Settlement website. That site also posts the notice, the settlement agreement and the fee motion.

Settlement checks expire 120 days after they are issued. Uncashed or undeliverable checks are not redistributed to the class. That money goes half to a charity Walgreens chooses and half to Oregon legal aid groups chosen by class counsel.

What Happens Next?

The next step is payment. The agreement makes the settlement effective on final approval if no objections were filed, and the final approval order says none were. The agreement gives the administrator 20 calendar days after the effective date to pay the settlement awards, which points to checks going out by about November 8, 2026. As of October 20, 2026, the settlement website had not announced a mailing date. After the checks are distributed, the order requires the parties to file a final report with the court on the amounts paid, uncashed checks and the money sent to the charity and legal aid recipients.

Sources and Verification



Questions

Can someone still join the Walgreens final paycheck settlement?

There is nothing to join. The class was fixed from Walgreens' payroll records, and anyone in it who did not opt out by May 8, 2026 stays in the settlement automatically. The opt-out and objection deadlines have passed.

Why does the class only cover paychecks that were six or more days late?

Oregon sets different final-pay deadlines depending on how a job ended. The court limited the class to paychecks six or more days late so it would not have to decide, worker by worker, who gave notice and who was let go. The payment formula subtracts the same five days from each person's late period.

What happens to settlement checks that are never cashed?

Checks are valid for 120 days. Money from uncashed or undeliverable checks is split, half to a charity Walgreens chooses and half to Oregon legal aid groups chosen by class counsel (Campaign for Equal Justice, Legal Aid Services of Oregon or the Oregon Law Center). It is not redistributed to the class.

Does any of the $2.5 million go back to Walgreens?

Only the unused part of the $100,000 set aside for settlement administration. Any fees or service award the court declines to approve are added back to the money paid to class members.

Official Settlement Notice

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For more class actions keep scrolling below.
Settlement Amount $2,500,000 (maximum)
Case Title Lemons v. Walgreen Pharmacy Services Midwest, LLC, et al.
Case Number 3:21-cv-00511-MO
Court U.S. District Court, District of Oregon
Final Approval Hearing Final approval granted October 19, 2026 Hearing held August 4, 2026 before Judge Michael W. Mosman
Administrator Epiq

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