Anderson et al v. Reed Hein & Associates LLC
Filing
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ORDER granting 12 Unopposed Motion Approval of Settlement, Class Notice, Service Awards, and Attorneys' Fees and Costs, signed by Judge Robert S. Lasnik. (SWT)
The Honorable Robert S. Lasnik
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IN THE UNITED STATES DISTRICT COURT
FOR THE WESTERN DISTRICT OF WASHINGTON
AT SEATTLE
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MICHAEL ANDERSON and TRACEY
ANDERSON,
Plaintiffs,
v.
REED HEIN & ASSOCIATES, LLC d/b/a
TIMESHARE EXIT TEAM,
Defendant.
No. 2:16-cv-00785-RSL
CLASS ACTION
ORDER GRANTING MOTION FOR
APPROVAL OF SETTLEMENT, CLASS
NOTICE, SERVICE AWARDS, AND
ATTORNEYS’ FEES AND COSTS
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This matter comes before the Court on the “Unopposed Motion for Approval of
Settlement, Class Notice, Service Awards, and Attorneys’ Fees.” Dkt. # 12. Having reviewed the
papers submitted, the Court finds as follows:
1.
The Settlement is fair and reasonable. The Court therefore approves the
Settlement Agreement and Release attached to the Declaration of Donald W. Heyrich (Dkt. # 15)
as Exhibit 1;
2.
The Court certifies a Settlement Class comprised of the individuals identified in
Exhibit C to the Settlement Agreement and Release (Dkt. # 15 at 38-39) pursuant to 29 U.S.C.
§ 216(b) for settlement purposes only;
3.
With two exceptions, the Court approves the Notice and Claims Form, attached to
the Settlement Agreement as Exhibits A and B, respectively, as well as the procedures relating to
ORDER GRANTING MOTION FOR APPROVAL OF
SETTLEMENT, CLASS NOTICE, SERVICE AWARD, AND
ATTORNEYS’ FEES AND COSTS - 1
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their dissemination to and return by the Settlement Class. The Notice shall be amended to define
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the Class Period (Dkt. # 15 at 32) and to delete the admonition against contacting the Court (Dkt.
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# 15 at 33);
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4.
Plaintiffs request an award of attorney’s fees in the amount of $145,693, which is
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27% of the common fund obtained in settlement. Courts typically set a benchmark of 25% of the
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fund as a reasonable fee award: any increase or decrease from that amount should be
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accompanied by an adequate explanation based on the circumstances of the case. Six (6)
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Mexican Workers v. Ariz. Citrus Growers, 904 F.2d 1301, 1311 (9th Cir. 1990). Although
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plaintiffs correctly identify the factors courts consider when evaluating a request for fees in
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excess of the benchmark amount, they make no effort to show that this case is in any way special
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or extraordinary. The plaintiffs in Adoma v. Univ. of Phoenix, Inc., 913 F. Supp.2d 964, 982
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(E.D. Cal. 2012), in contrast, showed that counsel provided high quality representation in a
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heavily-litigated case that involved two rounds of dispositive motions, multiple forums, and a
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contested class certification motion. Plaintiffs won virtually every issue, and the demands of the
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case exceeded those of a typical wage and hour action and justified an increase in the fee award.
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In Vizcaino v. Microsoft Corp., 290 F.3d 1043 (9th Cir. 2002), the plaintiffs forced Microsoft to
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reclassify certain temporary employees on a nationwide basis, yielding benefits to those
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employees of over $100 million plus a cash settlement of an almost equal amount and the
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establishment of important precedent in employment law. The extraordinary relief obtained
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justified an award of 28% of the common fund.
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In this case, plaintiffs have shown no more than that the representation was good, the
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relief obtained was reasonable, the issues involved wage and hour claims, and the risk of
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nonpayment was the same as in every other case litigated on a contingency basis. Plaintiffs have
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failed to show any special circumstance that would justify an increase in the benchmark award in
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this case. 1 The Court finds that $135,000 (25% of the common fund) is a fair and reasonable
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Plaintiffs cite several cases in which courts were willing to grant common fund percentages of over 25%, but they
do not discuss the reasoning of those cases or apply it to the circumstances presented here.
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ORDER GRANTING MOTION FOR APPROVAL OF
SETTLEMENT, CLASS NOTICE, SERVICE AWARD, AND
ATTORNEYS’ FEES AND COSTS - 2
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attorney’s fee award based on the circumstances of this case and the lodestar comparison. The
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2% of the common fund not awarded to counsel shall be available for distribution to the class
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pursuant to the formula set forth in the Settlement Agreement and Release.
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5.
The Court finds that the costs requested by Plaintiffs’ Counsel in the amount of
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$4,307 were reasonably incurred in pursuit of this action on behalf of the class. Class Counsel
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are awarded $4,307 in costs from the settlement amount.
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6.
The Court finds that the service award requested by each of the Named Plaintiffs
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in the amount of $5,000 is fair and reasonable under the circumstances of this case. Plaintiffs
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Tracey Anderson and Michael Anderson are each awarded $5,000 as a service award from the
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settlement amount.
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The Court approves the Settlement Administrator’s fees of $5,000 for Simpluris,
per the terms of the Settlement Agreement;
8.
The Court finds that each Party shall bear his or its own attorneys’ fees and costs
except as otherwise provided herein;
9.
The Court Dismisses the Action and all Released Claims without prejudice as to
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Named Plaintiffs and all Participating Settlement Class Members (also referred to as Eligible
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Settlement Class Members), with such dismissal becoming a dismissal with prejudice fifteen
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(15) business days after the lapse of the Notice Deadline, provided the payments required under
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Section 15 of the Settlement Agreement have been made and Reed Hein does not terminate the
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Settlement pursuant to Section 25 of the Settlement Agreement;
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10.
The Court shall have continuing jurisdiction over the Action (including for
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purposes of submitting the returned Settlement Consent Forms from Eligible Class Members as
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set forth in Section 14 of the Settlement). During the period of time in which the dismissal is
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without prejudice, Plaintiffs may file a motion for leave to reinstate should Reed Hein either fail
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to make payment as required under Section 15 of the Settlement or exercise its right to terminate
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the Settlement pursuant to Section 25; and
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11.
After the case is dismissed with prejudice, the Parties agree to submit any
ORDER GRANTING MOTION FOR APPROVAL OF
SETTLEMENT, CLASS NOTICE, SERVICE AWARD, AND
ATTORNEYS’ FEES AND COSTS - 3
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unresolved dispute regarding the Settlement to mediator Teresa Wakeen, and to be bound by her
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decision as to such dispute in the event it cannot be resolved by agreement.
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IT IS SO ORDERED.
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Dated this 9th day of January, 2018.
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A
HON. ROBERT S. LASNIK
UNITED STATES DISTRICT COURT JUDGE
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ORDER GRANTING MOTION FOR APPROVAL OF
SETTLEMENT, CLASS NOTICE, SERVICE AWARD, AND
ATTORNEYS’ FEES AND COSTS - 4
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