Scott et al v. Family Dollar Stores, Inc.

Filing 324

ORDER OF PRELIMINARY APPROVAL OF SETTLEMENT AGREEMENT, ( Final Approval Hearing set for 3/14/2018 09:30 AM in Courtroom, 401 W Trade St, Charlotte, NC 28202 before District Judge Max O. Cogburn Jr.). Signed by District Judge Max O. Cogburn, Jr on 11/14/2017. (chh)

UNITED STATES DISTRICT COURT
WESTERN DISTRICT OF NORTH CAROLINA
CHARLOTTE DIVISION
DOCKET NO. 3:08-cv-00540-MOC-DSC
LUANNA SCOTT, et al.,

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Plaintiffs,
Vs.

FAMILY DOLLAR STORES, INC.,
Defendant.

ORDER OF PRELIMINARY
APPROVAL OF SETTLEMENT
AGREEMENT

THIS MATTER is before the court on plaintiffs’ Motion for Preliminary Approval of
Settlement Agreement (#322). Defendant’s assent to such motion is found in the supporting
Memorandum of Law (#323). Having considered plaintiffs’ motion and reviewed the pleadings,
the court enters the following findings, conclusion, and Order granting preliminary approval and
setting the matter for a final fairness hearing not less than 90 days hence
FINDINGS AND CONCLUSIONS
Currently before the Court is plaintiffs' Consent Motion for Preliminary Approval of
Settlement Agreement. Having considered the Motion, including the Joint Stipulation of Class
Action Settlement and Release ("Settlement Agreement" or "Settlement"), Notice of Class Action
Settlement ("Class Notice" or "Notice"), and related materials, as well as the periodic joint status
reports filed by the Parties and based on the Court's long-standing knowledge and familiarity with
this case, and good cause appearing,

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IT IS THEREFORE ORDERED that plaintiffs’ Motion for Preliminary Approval of
Settlement Agreement (#322) is GRANTED, as follows:
1.

The Court preliminarily approves the Settlement Agreement (which is hereby

incorporated by reference) as being sufficiently fair, reasonable, and adequate, and in the best
interests of the parties and in accordance with law, subject to the right of any class member to
challenge the fairness, reasonableness or adequacy of the Settlement Agreement and to show cause
why a final judgment dismissing this case with prejudice should not be entered following a fairness
hearing. Specifically, it appears to the Court, on a preliminary basis, that the
Settlement is fair and reasonable to Class Members when balanced against the probable
outcome of further litigation, liability and damages issues, and the potential appeal of any rulings.
It further appears that the settlement terms, including but not limited to the monetary terms and
non-monetary terms as set forth in the Settlement Agreement, confer substantial benefits upon the
Class, particularly in light of the damages that Plaintiffs and their counsel believe are potentially
recoverable or provable at trial, without the costs, uncertainties, delays, and other risks associated
with continued litigation, trial, and/or appeal. It also appears that the proposed Settlement has been
reached as the result of intensive, informed, and non-collusive negotiations between the Parties,
including arms'-length negotiations that occurred over a two-day, in-person mediation session
with an experienced class action mediator (Mark S. Rudy) that ultimately led to the Parties'
acceptance of a mediator's proposal. Based on the Court's review of the papers submitted in support
of preliminary approval, and the Court's familiarity with the issues in the case, the Court concludes
that the proposed Settlement Agreement has no obvious defects and is within the range of possible
settlements appropriate for approval such that notice to the Class is appropriate.

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2.

The rights of any potential dissenters to the proposed Settlement are adequately

protected in that they may exclude themselves from the Settlement and proceed with any alleged
claims they may have against Family Dollar, or they may object to the Settlement and appear
before this Court. However, to do so they must follow the procedures outlined in the Settlement
Agreement and Class Notice.

Failure to follow the procedures outlined in the Settlement

Agreement and Class Notice for making objections shall result in waiver and the objector shall be
forever foreclosed from challenging any of the terms of the Settlement.
3.

The Court approves the proposed form of Notice of Settlement attached as Exhibit

B to the Plaintiffs' Consent Motion. The Notice fairly, plainly, accurately, and reasonably informs
Class Members of, and allows Class Members a full and fair opportunity to consider, among other
things: (1) the nature of the action; (2) the identities of Class Counsel and the Class
Representatives; (3) the terms and provisions of the proposed Settlement; (4) the relief to which
the members of each class will be entitled, including summaries of the programmatic relief and
the method for calculating payments; (5) the process by which Class Members will receive
Individual Settlement Payments if the settlement is approved; (6) how administrative costs and
potential attorneys' fees and service payments will be handled; (7) the procedures and deadlines
for submitting objections and/or requests for exclusion; and (8) the date, time, and place of the
Final Approval Hearing.
Accordingly, the Court directs the parties to have the Settlement Administrator mail the
Notice document to the class members in accordance with the terms of the Settlement Agreement.

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4.

The Court appoints the settlement administration firm of Settlement Services, Inc./

Garden City Group, Inc. as the Settlement Administrator to perform the duties set forth in the
Settlement Agreement.
5.

All proceedings in the case remain STAYED until further Order of this Court,

except as may be necessary to implement the Settlement Agreement.
6.

The Court approves the schedule of events and procedures as set forth in the

Settlement Agreement for completing the final approval process.
7.

Based on the Court's review of the parties' Joint Motion, the Court hereby schedules

a Final Approval Hearing for 9:30 a.m., on March 14, 2018, at the United States Courthouse,
401 West Trade Street, Charlotte, NC 28202, to determine whether the settlement of the Action
pursuant to the terms and conditions of the Settlement Agreement should be finally approved as
fair, reasonable, and adequate pursuant to Fed. R. Civ. P. 23(e). The Court will also rule on Class
Counsel's application for an award of attorneys' fees, costs, and expenses and service awards for
Named Plaintiffs and Class Representatives (the "Fee and Service Application") at that time.
8.

The Court expressly reserves the right to continue or adjourn the final approval

hearing from time-to-time without further notice to the Class Members.

Signed: November 14, 2017

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