Nearly three years after its decision in Johnson v. NPAS Solutions LLC, the Eleventh Circuit Court of Appeals remains the only circuit in the nation to categorically bar class representatives from receiving incentive awards. The U.S. Supreme Court recently denied a petition for certiorari to review the Eleventh Circuit’s first-in-the-nation decision in Johnson. Three other circuits, the First, Second, and Ninth Circuits, have explicitly rejected the Eleventh Circuit’s ... Keep Reading »
Class Action Settlement Articles
The latest class action settlement developments and trends, including news, key cases, and strategies.
Eleventh Circuit Vacates Class Settlement in GoDaddy TCPA Suit Based on Improper Class Definition
The U.S. Court of Appeals for the Eleventh Circuit recently solidified an important rule about class standing: the definition of a class in a settlement agreement must be limited to class members with Article III standing. In Drazen v. Pinto, the Eleventh Circuit vacated the district court’s approval of a $35 million settlement agreement because the class definition included members who lacked Article III standing. Drazen involved a class action against GoDaddy.com ... Keep Reading »
Proposed Cryptocurrency Class Action Goes Forward in Florida With Defendant’s Help
Two plaintiffs in Miami-Dade County have filed a class action complaint against cryptocurrency platform Empires X Corp. and its founders based on an alleged Ponzi scheme. In Villanueva v. Empires X Corp., pending in Florida’s Eleventh Judicial Circuit, the plaintiffs allege that they, as well as several other damaged investors, provided millions of dollars to Empires X Corp. based on extensive misrepresentations that Empires X Corp. was a legitimate investment ... Keep Reading »
Eleventh Circuit Affirms Class Certification and Settlement in “Factually Peculiar” In re Checking Account Overdraft Litigation Saga
Twelve years after it started, the saga of RBC Bank’s alleged improper assessment and collection of overdraft fees appears to have come to an end. In affirming the district court's certification of the class and approval of a settlement, the Eleventh Circuit Court of Appeals reaffirmed that “typicality” under Federal Rule of Civil Procedure 23 does not require identical claims or defenses and that only a substantial conflict of interest can destroy adequacy of a class ... Keep Reading »
The Latest on Cy Pres: As Gorilla Monsoon Said… Close Only Counts in Horseshoes and Hand Grenades
The term cy pres comes from the Norman French expression "cy près comme possible," which means "as near as possible." As part of a class action settlement, parties frequently establish a cy pres fund as a method of dealing with unclaimed settlement funds. Some believe that doing so is more palatable to district courts than an agreement that calls for a reversion of unclaimed funds to the defendant. A recent decision by Judge Kathryn Kimball Mizelle of the Middle District ... Keep Reading »
Cy Pres Settlements in the Ninth Circuit – A View From the Street
Cy pres-only class action settlements are alive and well in the Ninth Circuit, where a unanimous panel of the court recently affirmed a settlement that provides no monetary relief whatsoever to the class, but awarded millions of dollars in attorneys’ fees to class counsel and distributed monetary relief to nine, third-party cy pres recipients. The case, In re Google Inc. Street View Electronic Communications Litigation, revolved around the collection of private data by ... Keep Reading »
Eleventh Circuit Approves Largest, Most Comprehensive Data Breach Recovery in U.S. History
On June 3, 2021, the Eleventh Circuit Court of Appeals affirmed, with one caveat, the Northern District of Georgia’s approval of the settlement of the consolidated class actions against Equifax Inc. and its affiliates arising from the 2017 data privacy breach. The district court described the parties’ settlement as “the largest and most comprehensive recovery in a data breach case in U.S. history by several orders of magnitude.” Notably, the Federal Trade Commission, the ... Keep Reading »
One Game, One Stadium: Eleventh Circuit Spikes Collateral Challenge to Tampa Bay Buccaneers Proposed Class Action Settlement
The Eleventh Circuit recently imparted an important message to the class action bar, and in particular to attorneys representing different named plaintiffs in competing class actions: there is “only one gatekeeper under Rule 23,” so any challenge to a proposed class action settlement should be presented to the district judge deciding whether to approve that settlement, not to a different judge by way of a collateral attack on the proposed settlement. Several years ... Keep Reading »
A Class Action Settlement With a Chocolate Company Melts Away: Eleventh Circuit Issues En Banc Decision on Article III Standing Principles
On October 28, 2020, the Eleventh Circuit Court of Appeals issued a split (7-3) en banc decision applying Spokeo principles to a claim that a vendor issued a receipt that included more digits from the plaintiff’s credit card than allowed by federal law. The en banc court ruled that the plaintiff did not establish Article III standing. As I reported two years ago after the panel’s decision, the basic background is as follows. This class action lawsuit alleged ... Keep Reading »
An Unauthorized Bounty: Eleventh Circuit Strikes Named Plaintiff Incentive Payment
This week, an Eleventh Circuit panel, in a 2-1 decision, reversed the approval of an incentive payment to the named plaintiff, calling the payment an unauthorized bounty. The case involved a Telephone Consumer Protection Act (TCPA) class action settlement that the majority characterized as being "just like so many others that have come before it." But this familiarity was "exactly the problem." According to the court, the district court "repeated several errors that, ... Keep Reading »
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