Ahhhh class action pay outs... all the same, cash or deposit it. Otherwise, the party that is ordered to pay the settlement wont actually lose their money. They're counting on most people to toss/ discard it. 1.25 adds up if 10,000 people just discard the check.

No one is going to risk a felony for $1.25 check. It's likely real

It’s from a class action lawsuit from 2013 where a San Diego partner was either refused her lunch breaks or it was the law/clause California passed that partners need to be paid for their off the clock work (setting the alarm, opening the door, etc... ). The case went to trial and Starbucks lost and was ordered to payout. Southern California partners from Orange and San Diego County reported getting checks for less than $2.