Judge Gives Preliminary OK to $75.5M Proposed Settlement in TCPA Class Action; Believed to be Largest of Its Kind

“I take no position on whether the size of the settlement fund adequately compensates class members for the value and risk of the litigation,” Frank said. “It does seem like a nuisance settlement, given Capital One's deep pockets, the large potential statutory liability, and the fact that most class members will not receive anything in the absence of a claim, which also militates for a much lower attorney fee. I haven't looked at detail yet whether the notice is acceptable.”

A smoking gun in debate over consumer class actions?

 .76 percent of battery buyers filed claims to receive $3 or $6. If all of those claims turn out to be valid, McComb said in the declaration, the settlement fund will disburse $344,850 to class members. But remember: The settlement is supposed to be worth $49 million — the number on which plaintiffs lawyers have based their fee request. Even counting the $6 million in Duracell products that will be distributed to charities if the settlement is approved and the injunction against false labels the defendants agreed to, there’s an awfully big gap between the alleged value of the deal and the actual cash benefit to the class.

Appeals Court Kicks Back Apple Power Adapter Class-Action Settlement

In a unanimous ruling, the court agreed with objector Theodore Frank of the Center for Class Action Fairness that Ware -- who is now retired, so another judge will reconsider the award -- "rubber-stamped" a deal that "structured to obscure actual relief" through Apple's agreement in advance to pay the suing legal firms up to $3 million of the award in attorney's fees and $100,000 in expenses, which the court said "cannot relieve the district court of its duty to assess fully the reasonableness of the fee request."

Ninth Circuit Chucks Apple MagSafe Settlement, Chides Judge’s Oversight

The Center for Class Action Fairness, in its objection, noted that the settlement seemed designed to discourage consumers from actually collecting anything. While Apple had electronic records of MacBook purchasers who had replaced their power supplies and most of the procedures were online, the lawyers required their clients to submit refund forms in writing.

Lessons From CCAF On Designing Class Action Settlements

The recent decision by the Sixth Circuit, overturning approval of a class action settlement in In re Dry Max Pampers Litigation (6th Cir. Aug. 2, 2013), is another in a string of wins for the Center for Class Action Fairness, which objects to settlements it considers unjust, and another reminder to class action defendants that they have to bear objections in mind when negotiating settlements.

Appeals Court Says Legal Fees in Diaper Suit are Ir-rashional

That settlement was challenged by the Center for Class Action Fairness, a Washington nonprofit that challenges class-action settlements it views to be unfair. “When attorneys get more than the class is getting, it’s an unfair settlement,” said Ted Frank, the organization’s founder. “The class counsel owes an obligation to its clients to get a good deal for them before it gets paid.”

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