Jacobson v. Persolve, LLC et al

Filing 150

ORDER by Judge Lucy H. Koh granting 148 Motion for Settlement. (Attachments: # 1 Exhibit Court Revisions to Class Notice, # 2 Exhibit Redline of Class Notice)(lhklc1, COURT STAFF) (Filed on 6/7/2016)

OFFICIAL COURT NOTICE OF SETTLEMENT
SANDRA LEE JACOBSON, on behalf of
herself and all others similarly situated,

United States District Court,
Northern District of California

Plaintiff,
v.

PERSOLVE, LLC d/b/a ACCOUNT
RESOLUTION ASSOCIATES, and

Case No. 5:14-CV-00735-LHK-HRL
Civil Action

STRIDE CARD, LLC,
Defendants.

PLEASE READ THIS NOTICE CAREFULLY
IT CONTAINS IMPORTANT INFORMATION ABOUT YOUR RIGHTS AND
BENEFITS UNDER THE PROPOSED SETTLEMENT
The United States District Court for the Northern District of California authorized this Notice.
This is not a solicitation from a lawyer.
IMPORTANT DATES
____________, 2016: Last day to enter an appearance in this case
____________, 2016: Last day to exclude yourself from the Settlement
____________, 2016: Last day to object to the Settlement
December 1, 2016 at 1:30 P.M.

1.

Final Approval Hearing

Why Should I Read this Notice?

A proposed settlement has been reached in a class action lawsuit now pending in the United
States District Court for the Northern District of California, entitled Sandra Lee Jacobson v.
Persolve, LLC, et al., Case No. 5:14-cv-00735-LHK-HRL (“Lawsuit”). This Notice explains the
nature of the Lawsuit and the terms of the Settlement and informs you of your legal rights and
obligations. You should read this Notice to learn how much money you can receive in the
Settlement, what you need to do to claim that money, how the Settlement will affect your legal
rights, and what you need to do if you wish to object to the Settlement or not participate in the

Settlement.
2.

What is this Lawsuit About?

Sandra Lee Jacobson (“Plaintiff”) filed this Lawsuit against Persolve, LLC, and Stride Card,
LLC (collectively “Defendants”), alleging that the debt collection letter received from
Defendants did not comply with the Federal Fair Debt Collection Practices Act (“FDCPA”) and
the Rosenthal Fair Debt Collection Practices Act (“RFDCPA”). Specifically, Plaintiff contends
that Defendants’ debt collection letter violated the FDCPA by failing to disclose “the name of
the creditor to whom the debt is owed,” as required by 15 U.S.C. ¶1692g(a)(2). A copy of
Defendants’ debt collection letter (Exhibit “1”) is attached to this Notice.
Defendants deny that they violated the FDCPA and the RFDCPA in any manner.
The Parties, however, are aware of the costs and expenses of engaging in protracted litigation.
Accordingly, to resolve this matter without the expense and uncertainties of litigation, Plaintiff
and Defendants have reached a proposed settlement (“Settlement”). By settling this Lawsuit,
Defendants are not admitting that they are liable to Plaintiff or the class members, but rather,
expressly deny any such liability. The Court has not expressed any view regarding the merits of
Plaintiff’s claims against Defendants.
3.

Why is this a Class Action?

Believing that others also received a similar collection letter from Defendants, Plaintiff filed the
Lawsuit as a class action. A class action is a type of lawsuit in which one or a few individuals
represent a group of people who were also allegedly harmed by a defendant’s conduct. This
group of people is referred to as the “Class” or as the “Class Members.”
4.

Who is a Class Member for this Lawsuit?

You have been identified as a Class Member for this Lawsuit. The Class is defined as (i) all
persons with addresses in California (ii) to whom PERSOLVE sent, or caused to be sent, a notice in
the form of Exhibit “1” on behalf of STRIDE CARD (iii) in an attempt to collect an alleged debt
originally owed to Wells Fargo Bank, N.A. (iv) which was incurred primarily for personal, family, or
household purposes, (v) which were not returned as undeliverable by the U.S. Post Office (vi) during
the period one year prior to the date of filing this action through the date of class certification.
5.

What Relief is Provided to Class Members Under the Settlement?

At the Court’s direction, Defendants have established a settlement fund of $5,000.00
(“Settlement Fund”) and all Class Members will be sent a check constituting their pro rata share
of the Settlement Fund of approximately $10.66. Defendants represent that the class size is
approximately 469 persons.
6.

How Do I Make a Claim in the Settlement?

Defendants’ records reflect that you are a Class Member. Unless you choose to exclude yourself
from the Class in the manner specified in Section 7 below, you will be sent your pro rata share of
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the Settlement Fund upon final approval of the Settlement by the Court as described in Section
11 below.
7.

How Do I Enter My Appearance in this Lawsuit?

Entering an appearance is NOT necessary to participate in the Settlement, or to receive your pro
rata share of the Settlement Fund. If, however, you wish to enter an appearance in this Lawsuit,
you must file your appearance with the Court by __________, 2016. You may, but need not, be
represented by your own attorney in this Lawsuit at your own expense.
8.

If I Do Not Want to be in the Class, How Do I Exclude Myself?

If you do NOT want to remain a Class Member and participate in the Settlement, and wish to
exclude yourself from the Lawsuit, you must send a written request to the Settlement
Administrator listed below. The request must be in writing signed by the Class Member and
include (1) the name and number of this case (Sandra Lee Jacobson v. Persolve, LLC et al., Case
No. 5:14-cv-00735-LHK-HRL), (2) the Class Member’s name, address, telephone number, and
(3) a statement that the Class Member wishes to be excluded from the Settlement. The request
must be sent by first-class mail and postmarked no later than __________, 2016, addressed to:
ILYM Group Inc.
15331 Barranca Parkway
Irvine, CA 92618
[Telephone Number for ILYM]
Requests for exclusion postmarked after __________, 2016 will not be effective.
By electing to be excluded from the Class, (1) you will not share in any recovery under the
Settlement; (2) you will not be bound by any orders or judgments entered in the Lawsuit; and (3)
you may present any claim you may have against the Released Parties (as described in Section
12 below) in your own separate lawsuit at your own expense.
9.

If I Do Not Like the Settlement, How Do I Object?

If you have not excluded yourself from the Class, you may object to the Settlement by filing your
objection with the Clerk of the Court no later than ________, 2016. If you have filed an
objection, you may, but need not, appear at the Final Settlement Approval Hearing in person.
You may appear before the Court at the Final Approval Hearing on Thursday, December 1, 2016
at 1:30 P.M. in Courtroom 8 on the Fourth Floor of the United States District Court for the
Northern District of California, located at 280 South 1st Street, San Jose, CA 95113, and explain
your objection to the Settlement.
However, you must first file a Notice of Objection (“Objection”) with the Clerk of the Court at,
Northern District of California, 280 South 1st Street, San Jose, CA 95113 by _____________,
2016. You must state in your Objection (1) the name and number of this case (Sandra Lee
Jacobson v. Persolve, LLC, et al., Case No. 5:14-cv-00735-LHK-HRL), (2) a notice of your
intention to appear at the Final Approval Hearing (if you intend to appear); (3) your name,
address and telephone number, and your counsel’s name, address and telephone number (if you
intend to appear through counsel); (4) a statement of the basis for each objection asserted; (5)
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any legal authority you wish the Court to consider; (6) the names and addresses of any witnesses
you may call to testify (if you intend to call any witnesses) and a summary of each such
witness’s expected testimony, and any list of the documents and things you wish the Court to
consider.
10.

What is the Difference Between Objecting and Excluding?

Objecting is simply telling the Court that you do not like something about the Settlement. You
can object only if you remain a Class Member. Excluding yourself as a Class Member is telling
the Court that you do not want to be a part of the Class or this Lawsuit. If you exclude yourself,
you have no basis to object because the Lawsuit no longer affects you.
The Court has approved the following attorneys to represent the Class. They are called “Class
Counsel.” If you want to be represented by your own lawyer, you may hire one at your own
expense.
Raeon R. Roulston
CONSUMER LAW CENTER, INC.
12 South First Street, Suite 1014
San Jose, California 95113-2418
[Telephone Number for Raeon Roulston]
- and O. Randolph Bragg
Horwitz, Horwitz & Associates, Ltd.
25 East Washington Street, Suite 900
Chicago, Illinois 60602-1716
[phone]
11.

When Will the Court Decide Whether the Settlement Should be Approved?

The Court will hold the Final Settlement Approval Hearing on Thursday, December 1, 2016, at
1:30 P.M. in Courtroom 8 on the Fourth Floor of the United States District Court for the
Northern District of California, located at 280 South 1st Street, San Jose, CA 95113. At this
hearing, the Court will consider whether the Settlement is fair, reasonable and adequate to the
Class Members. If there are any objections, the Court will consider them at this hearing. The
Court may also decide how much Defendants will be required to pay Class Counsel as
reasonable attorneys’ fees. At or after the hearing, the Court will decide whether to approve the
Settlement.
YOU ARE NOT REQUIRED TO ATTEND THE HEARING IN ORDER TO RECEIVE
YOUR SHARE OF THE SETTLEMENT.
12.

What Claims Will I Release if the Settlement is Approved by the Court?

Unless you exclude yourself as a Class Member from the Settlement pursuant to Section 7 above,
all of the Court’s orders will apply to you. If the Settlement is approved by the Court, the Class
Members will release Defendants and all of its parents, affiliates, and subsidiaries and all of their
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respective successors, assigns, officers, directors, servants, agents, attorneys, representatives,
contractors and employees (the “Released Parties”) from any and all obligations, costs, expenses,
damages, losses, claims, liabilities, and demands, of whatever character, known or unknown,
arising out of the form collection letter attached to the Complaint as Exhibit “1” or relating to
any claim alleged in the Lawsuit due to Defendants’ alleged violation of the FDCPA and the
RFDCPA as alleged in this Lawsuit.
13.

How Will Class Counsel’s Fees and Expenses be Paid?

Class Counsel will seek Court approval, through a noticed motion to be heard at the Final
Settlement Approval Hearing, for an award of reasonable attorneys’ fees, costs and expenses
incurred through April 14, 2016, in an amount not to exceed $185,000.00. Any amount of
attorneys’ fees, litigation expenses, and costs sought by Class Counsel must be approved by the
Court; will be paid by Defendants, in addition to the $5,000.00 Settlement Fund; and will not
reduce or otherwise affect the $5,000.00 Settlement Fund available for the class.
14.

How Will the Costs Associated With the Notice and Administration of this
Settlement be Paid?

The costs associated with the notice and administration of this Settlement will be paid by
Defendants in addition to, and will not reduce or otherwise affect, the $5,000.00 Settlement
Fund.
15.

What Are the Statutory Damages and Incentive Award to the Class Representative?

The Court has appointed Plaintiff Sandra Lee Jacobson as the class representative (“Class
Representative”). Ms. Jacobson will be paid $1,500.00 for her statutory damages and $1,500.00
for her services as Class Representative. If approved by the Court, these amounts will be paid by
Defendants to the Class Representative in addition to, and will not reduce or otherwise affect the
$5,000.00 Settlement Fund.
16.

Where Can I Obtain More Information About the Settlement?

This Notice is only a summary of the proceedings in the Lawsuit. If you need additional
information about the Lawsuit or the terms of the Settlement, you may contact Class Counsel,
using the contact information listed in Section 10 above, or you can contact the Settlement
Administrator using the contact information listed in Section 7 above. For written
communications, please include the case name and number, and your name and your current
return address on any letters, not just the envelopes. You may review the file in this case at the
Office of the Clerk, located at the United States District Court for the Northern District of
California, 280 South 1st Street, Room 2112, San Jose, CA 95113.
PLEASE DO NOT CALL THE COURT OR DEFENDANTS’ ATTORNEYS

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