Northern District of California rejects $30 million cy pres proposal in JUUL MDL

September 21, 2023 — FOR IMMEDIATE RELEASE

Washington D.C. — Judge William Orrick of the Northern District of California rejected a $30 million cy pres request offered by Public Health Advocacy Institute (“PHAI”), agreeing with the opposition filed by Hamilton Lincoln Law Institute on behalf of its client, Reilly Stephens. PHAI, representing three class members, filed an objection to the JUUL Labs, Inc. class settlement seeking $30 million of the settlement fund to fund public health and anti-vaping efforts for adolescents and young adults. Judge Orrick acknowledged the need for public health solutions, but agreed with HLLI and that the settlement of the class economic loss claims was not an appropriate vehicle to fund public health related solutions.

HLLI’s opposition to PHAI’s objection argued that PHAI’s request fundamentally altered the terms of the proposed settlement because the objection essentially proposed a cy pres award at the expense of class members like Stephens. HLLI emphasized that a cy pres award to fund public health harms was outside the scope of the settlement and that cy pres is a last resort to be implemented when further distribution to class members is not feasible. HLLI is pleased that Judge Orrick agreed with our opposition thereby preserving $30 million of the settlement to be distributed to class members like Stephens.

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Founded in 2019, Hamilton Lincoln Law Institute is a nonprofit public interest law firm that challenges improper restrictions on speech, administrative and regulatory actions, and abuses of the class action and civil justice system that exceed constitutional limits, promote rent-seeking, or otherwise improperly created deadweight loss.

As a nonprofit, tax-exempt organization as defined by section 501(c)(3) of the Internal Revenue Code, HLLI relies on support from individuals and foundations that share a commitment to individual liberty, free enterprise, and limited government.

HLLI’s website is http://hlli.org. More information HLLI’s involvement with the JUUL Labs, Inc. class action settlement can be found here.

 

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