PRACTITIONER BLOG

Read our analyses of developments in Impact Litigation and stay current on class action law

Top 10 Tips For Your Next Class Action Settlement Mediation
Class Actions, Class Action Settlememt, Class Action Mediation Teddy Basham-Witherington Class Actions, Class Action Settlememt, Class Action Mediation Teddy Basham-Witherington

Top 10 Tips For Your Next Class Action Settlement Mediation

Everyone who has negotiated a class action settlement has probably had some term he or she forgot to address at mediation, or in the MOU, that returned in drafting the “final” agreement as a big headache and put the deal at risk. I have. I have thought, at many class action mediations, “I wish I had a checklist so I would remember all the key terms.” Here it is...

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Ninth Circuit Nixes "100% Natural" Wesson Oil Class Action Settlement; Finds Collusion On Attorney Fees
Class Actions, Class Attorneys Fees Teddy Basham-Witherington Class Actions, Class Attorneys Fees Teddy Basham-Witherington

Ninth Circuit Nixes "100% Natural" Wesson Oil Class Action Settlement; Finds Collusion On Attorney Fees

The court held that the class settlement—one it characterized as “reek[ing] of collusion at the expense of class members”—featured three “red flags” identified in Bluetooth. First, Plaintiffs’ counsel received a disproportionate share of the settlement—almost $7 million—while the class received less than $1 million. Further, the settlement provided for no direct notice to class members, reducing the redemption rate. Second, the parties agreed to a “clear sailing arrangement” in which ConAgra agreed not to challenge the agreed-upon fees for class counsel. This created the possibility that Defendant agreed to pay class counsel excessive fees in exchange for counsel accepting a lower amount for class members. Third, the agreement included a “kicker” or “reverter” clause in which ConAgra, not the class members, would receive a reversion of excess fees if the court reduced the agreed-upon attorney’s fees.

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