A Tale of Two Settlements: The Virtue of Being Adversarial in Class Action Lawsuits

This blog post was previously published on the Competitive Enterprise Institute's Open Market Blog. I really only want to talk about one settlement—the settlement in Rougvie v. Ascena Retail Group, No. 15-cv-724 (E.D. Pa.). Ascena is the corporate owner of the Justice brand clothing franchise, which caters to pre-adolescent girls in 900 stores throughout the country. If you’ve ever walked past what you thought was a Care Bears shrine in your…

Rougvie v. Ascena Retail Group

On July 29, 2016 the U.S. District Court for the Eastern District of Pennsylvania ruled that the $14 million fee request by attorneys in a coupon settlement over Justice clothing store sales was excessive under federal law and that only $5.3 million could be currently justified. At the conclusion of the coupon redemption period, the objectors CCAF represents moved to disgorge pay-offs that had been made to self-interested so-called "professional objectors."

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