Brown v. Jonathan Neil and Associates, Inc.

Filing 65

ORDER REQUIRING SUPPLEMENTAL BRIEFING ON MOTION FOR FINAL APPROVAL OF CLASS ACTION SETTLEMENT. IT IS HEREBY ORDERED that Plaintiff shall file supplemental briefing on or before February 7, 2019, addressing the issues identified herein. Signed by Magistrate Judge Stanley A. Boone on 2/4/2019. (Hernandez, M)

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1 2 3 4 5 UNITED STATES DISTRICT COURT 6 EASTERN DISTRICT OF CALIFORNIA 7 8 TERI BROWN, Plaintiff, 9 10 11 Case No. 1:17-cv-00675-SAB ORDER REQUIRING SUPPLEMENTAL BRIEFING ON MOTION FOR FINAL APPROVAL OF CLASS ACTION SETTLEMENT v. JONATHAN NEIL AND ASSOCIATES, INC., DEADLINE: FEBRUARY 7, 2019 12 Defendant. 13 14 On January 16, 2019, a joint motion for final approval of the class settlement in this 15 action was filed along with a motion for attorney fees. In reviewing the motion for final 16 approval, the Court shall require supplemental briefing regarding the following. 17 1. In his declaration, Mr. Marcus states that as of November 30, 2018, the firm has 18 received no objections to the settlement or opt outs. (Decl. of Ari Marcus in Support of Final 19 Approval (“Marcus Decl.”) ¶ 10, ECF No. 63-2.) However, the class notice was mailed on 20 December 11, 2018, (Marcus Decl. ¶ 9), after the date to which Mr. Marcus states there are no 21 objections. Mr. Marcus shall file a declaration addressing whether any members objected or 22 opted out of the settlement prior to the deadline to do so. 23 2. The joint motion for final approval states that each class member will receive 24 $36.36. (ECF No. 63-1 at 2-3.) There is no information describing how this amount was arrived 25 at. The Court notes that there are 279 class members and the award appears to have been 26 determined by using only the 275 class members that actually received notice, although why the 27 parties determined not to designate the award for the missing class members to the cy pres 28 1 1 beneficiary is not addressed.1 3. 2 Plaintiff designates Greater Bakersfield Legal Assistance, Inc. as the cy pres 3 beneficiary. A cy pres award must qualify as “the next best distribution” to giving the funds 4 directly to the class members. Dennis v. Kellogg Co., 697 F.3d 858, 865 (9th Cir. 2012). “Not 5 just any worthy charity will qualify as an appropriate cy pres beneficiary[,]” there must be “a 6 driving nexus between the plaintiff class and the cy pres beneficiary.” Dennis, 697 F.3d at 865 7 (quoting Nachshin v. AOL, LLC, 663 F.3d 1034, (9th Cir. 2011)). “A cy pres award must be 8 guided by (1) the objectives of the underlying statute(s) and (2) the interests of the silent class 9 members and must not benefit a group too remote from the plaintiff class.” Dennis, 697 F.3d at 10 865 (internal punctuation and citations omitted). Here, Plaintiff did not include any information about Greater Bakersfield Legal 11 12 Assistance, Inc. Without information on Greater Bakersfield Legal Assistance, Inc., the Court 13 cannot find that that it is an appropriate cy pres beneficiary. Plaintiff shall submit further 14 briefing addressing why Greater Bakersfield Legal Assistance, Inc. is a proper cy pres 15 beneficiary. Accordingly, IT IS HEREBY ORDERED that Plaintiff shall file supplemental briefing 16 17 on or before February 7, 2019, addressing the issues identified herein. 18 19 IT IS SO ORDERED. 20 Dated: February 4, 2019 UNITED STATES MAGISTRATE JUDGE 21 22 23 24 25 26 27 28 1 The Court does not express an opinion on the appropriateness of the individual awards, but is merely pointing out that the parties did not brief the issue of how the awards were determined and why some class members appear to be withheld from receiving an award. 2

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