City of Pontiac General Employees' Retirement System v. Wal-Mart Stores, Inc. et al

Filing 458

ORDER AWARDING ATTORNEYS' FEES AND EXPENSES AND AWARD TO LEAD PLAINTIFF PURSUANT TO 15 U.S.C. 78u-4(a)(4). Signed by Honorable Susan O. Hickey on April 8, 2019. (src)

IN THE UNITED STATES DISTRICT COURT
WESTERN DISTRICT OF ARKANSAS
FAYETTEVILLE DIVISION
CITY OF PONTIAC GENERAL
EMPLOYEES’ RETIREMENT
SYSTEM,
Individually and on Behalf of All Others
Similarly Situated
v.

PLAINTIFF

Case No. 5:12-cv-5162

WAL-MART STORES, INC. and
MICHAEL T. DUKE

DEFENDANTS

ORDER AWARDING ATTORNEYS’ FEES AND EXPENSES AND AWARD TO LEAD
PLAINTIFF PURSUANT TO 15 U.S.C. §78u-4(a)(4)
This matter having come before the Court on April 4, 2019, on the motion of Lead Counsel
for an award of attorneys’ fees and expenses and an award to Lead Plaintiff pursuant to 15 U.S.C.
§78u-4(a)(4), the Court, having considered all papers filed and proceedings conducted herein,
having found the Settlement of this Litigation to be fair, reasonable and adequate, and otherwise
being fully informed in the premises and good cause appearing therefore;
IT IS HEREBY ORDERED, ADJUDGED, AND DECREED THAT:
1.

This Order incorporates by reference the definitions in the Stipulation of Settlement

dated October 26, 2018 (the “Stipulation”), and all capitalized terms used, but not defined herein,
shall have the same meanings as set forth in the Stipulation.
2.

This Court has jurisdiction over the subject matter of this application and all matters

relating thereto, including all Members of the Class who have not timely and validly requested
exclusion.
3.

Pursuant to and in compliance with Rule 23 of the Federal Rules of Civil Procedure

and the Court’s Order preliminarily approving the Settlement and providing for notice dated

December 6, 2018 (ECF No. 442) (the “Preliminary Approval Order”), due and adequate notice
was directed to all Class Members, including individual notice to those Class Members who could
be identified through reasonable effort, advising them of Lead Counsel’s request for attorneys’
fees and expenses and payment to Lead Plaintiff in connection with its representation of the Class,
and of their right to object thereto, and a full and fair opportunity was accorded to Class Members
to be heard with respect to the request for attorneys’ fees and expenses. The Court has reviewed
the objections sent in the form of letters to counsel and/or the Court and finds that all objections
to the settlement are overruled. 1
4.

The Court hereby awards Lead Counsel attorneys’ fees of 30% of the Settlement

Fund, plus expenses in the amount of $616,964.66, together with the interest earned on both
amounts for the same time period and at the same rate as that earned on the Settlement Fund until
paid. The Court finds that the amount of fees awarded is appropriate and that the amount of fees
awarded is fair and reasonable under the “percentage-of-recovery” method.
5.

In making this award of attorneys’ fees and expenses to be paid from the Settlement

Fund, the Court has considered and found that:
(a)

the Settlement has created a fund of $160,000,000.00 in cash that has been funded

into escrow under the Stipulation, and Class Members who submit acceptable Proof of Claim and
Release forms will benefit from the Settlement that occurred solely due to the efforts of Lead
Counsel;
(b)

the fee sought by Lead Counsel has been reviewed and approved as reasonable by

Lead Plaintiff, an institutional investor that was actively involved in overseeing the prosecution
and resolution of the Litigation;
The Court notes that, as of the date of the hearing, neither the five individuals nor the entity who appear to object
to the settlement have filed claims in this lawsuit.

1

2

(c)

copies of the Notice were mailed to over 1.7 million potential Class Members and

nominees stating that Lead Counsel would apply to the Court for an award of attorneys’ fees for
all Lead Plaintiff’s Counsel in an amount not to exceed 30% of the Settlement Amount, and
expenses paid or incurred in connection with the institution, prosecution and resolution of the
claims against Defendants, in an amount not to exceed $1,000,000.00, plus interest on both
amounts. The Notice advised Class Members of their right to object to Lead Counsel’s motion for
attorneys’ fees and expenses, and a full and fair opportunity was accorded to persons who are Class
Members to be heard with respect to the motion. All objections have been reviewed by the Court
and overruled;
(d)

Lead Counsel conducted the Litigation and achieved an exceptional Settlement

with skill, perseverance, and diligent advocacy;
(e)

the Litigation involves complex factual and legal issues, and, in the absence of

Settlement, would involve further lengthy proceedings with uncertain resolution if the case were
to proceed to trial;
(f)

Lead Counsel pursued the Litigation on a contingent basis, having received no

compensation during the Litigation, and any fee award has been contingent on the result achieved;
(g)

the amount of attorneys’ fees is consistent with awards in cases that achieved less-

significant class recoveries and supported by public policy; and
(h)

the amount of expenses awarded is fair and reasonable and these expenses were

necessary for the prosecution and settlement of the Litigation.
6.

The fees and expenses shall be allocated among Lead Plaintiff’s Counsel in a

manner which, in Lead Counsel’s good-faith judgment, reflects each such counsel’s contribution
to the institution, prosecution, and resolution of the Litigation.

3

7.

Pursuant to 15 U.S.C. §78u-4(a)(4), Lead Plaintiff City of Pontiac General

Employees’ Retirement System is awarded $1,743.62 for its representation of the Class during the
Litigation.
8.

The awarded attorneys’ fees and expenses and interest earned thereon shall

immediately be paid to Lead Counsel subject to the terms, conditions, and obligations of the
Stipulation, and in particular ¶6 thereof, which terms, conditions, and obligations are incorporated
herein.
9.

Any appeal or any challenge affecting the Court’s approval of any attorneys’ fee

and expense application will in no way disturb or affect the finality of the Order and Final
Judgment entered with respect to the Settlement.
10.

The Court retains exclusive jurisdiction over the parties and Class Members for all

matters relating to this Litigation, including the administration, interpretation, effectuation, or
enforcement of the Stipulation and this Order.
11.

If the Settlement is terminated or the Effective Date of the Settlement otherwise

fails to occur, this Order will be rendered null and void to the extent provided by the Stipulation.
12.

Therefore, Lead Counsel’s Motion for an Award of Attorneys’ Fees and Expenses

and an Award to Lead Plaintiff Pursuant to 15 U.S.C. §78u-4(a)(4) is GRANTED.
IT IS SO ORDERED, this 8th day of April, 2019.

/s/ Susan O. Hickey
Susan O. Hickey
Chief United States District Judge

4