Brown v. Transurban USA, Inc.

318 F.R.D. 560, 2016 U.S. Dist. LEXIS 134813, 2016 WL 6909683
CourtDistrict Court, E.D. Virginia
DecidedSeptember 29, 2016
Docket1:15cv494 (JCC/MSN)
StatusPublished
Cited by7 cases

This text of 318 F.R.D. 560 (Brown v. Transurban USA, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Brown v. Transurban USA, Inc., 318 F.R.D. 560, 2016 U.S. Dist. LEXIS 134813, 2016 WL 6909683 (E.D. Va. 2016).

Opinion

MEMORANDUM OPINION

James C. Cacheris, UNITED STATES DISTRICT COURT JUDGE

This matter is before the Court on named Plaintiffs Anna Stanfield, Rachel Amarti, Mary Elixe Pizarro, and Jocelyn Chase (collectively, “Named Plaintiffs”) and Defendants Transurban (USA) Inc. and Transurban (USA) Operations Inc.’s (collectively, “Tran-surban Defendants”) joint motion for final approval of the class settlement, as well as Plaintiffs’ motion for attorneys’ fees and service awards. For the following reasons, the Court will grant final certification of the class, grant the Parties’ joint motion for final approval of the settlement, and grant Plaintiffs’ motion for attorneys’ fees and service awards for Class Representatives.

I. Background

The facts of this case are set out at length in this Court’s prior memorandum opinion. See Brown v. Transurban USA, Inc., 144 F.Supp.3d 809 (E.D. Va. 2015) (motion to dismiss). The facts are presumed known and discussed only to the extent necessary to aid the present motions.

A. Litigation to Date

On April 15, 2015, Plaintiffs Jo-Ann Brown and Michele Osborne, as well as Named Plaintiff Mary Elise Pizarro, individually and on behalf of putative classes, filed a com[565]*565plaint in this Court against the Transurban Defendants; Faneuil, Inc. (“Faneuil”) and Law Enforcement Systems, LLC (“LES”) (collectively, the “Collection Defendants”); and two other entities that were subsequently terminated from the litigation. The complaint alleged that, inter alia, the Defendants’ attempted and actual enforcement of allegedly unpaid tolls assessed for the use of certain toll road lanes operated by Transur-ban on Interstate 495 and Interstate 95 in Virginia (collectively and individually, the “Express Lanes”) was unlawful.

On June 8, 2015, Named Plaintiffs and several former class representatives (collectively, “Plaintiffs”), individually and on behalf of the putative classes, filed an amended complaint (“Amended Complaint”) against the Transurban Defendants and Collection Defendants (collectively, the “Defendants”). [Dkt. 36] The Amended Complaint asserted claims against Transurban Defendants for violation of the Excessive Fines Clause of the United States Constitution and of the Virginia Constitution, as well as both procedural and substantive due process violations of the same. The Amended Complaint also asserted Fair Debt Collection Practices Act (“FDCPA”) claims against the Collection Defendants. Finally, the Amended Complaint asserted claims against all Defendants for unjust enrichment, violation of the Maryland Consumer Protection Act (“MCPA”), violation of the Virginia Consumer Protection Act (“VCPA”), and tortious interference with contract.

On July 2, 2015, Defendants moved to dismiss the Amended Complaint. [Dkt. 41, 44, 49] After briefing by the parties and oral argument, this Court entered an Order on November 2, 2015, which granted Defendants’ motions to dismiss in part and denied in part. [Dkt. 65, 66] The Court granted Defendants’ motions with respect to the substantive due process and unjust enrichment claims, as well as the Collection Defendants’ motions with respect to the consumer protection act claims. [Dkt. 65] The Court denied the Defendants’ motions to dismiss with respect to all other claims. [Id.] The Court also held that Plaintiffs had standing to pursue their FDCPA claims against the Collection Defendants; that Plaintiffs Brown, Osborne, and Hale’s claims were not moot; that Named Plaintiffs had standing to sue for prospective relief; and that Plaintiffs’ claims were not barred by res judicata. [Id]

Immediately after the Court’s order in November 2015, the parties embarked on discovery. (Mem. in Supp. [Dkt. 86] at 3.) Both Plaintiffs and Defendants served extensive discovery requests, and both parties began to respond to those requests and gather discovery materials for production. (Id.)

Concurrently, the parties initiated settlement discussions with the assistance of a professional mediator. (Id.) Those discussions were facilitated by a significant amount of data produced by Transurban Defendants at Plaintiffs’ request. (Id.) The settlement process was intensive, including one full-day mediation meeting and several negotiation sessions via telephone, nearly all of which involved the assistance of the professional mediator. (Id.)

On January 21, 2016, the parties informed the Court that they had reached an agreement in principle to resolve the litigation. On March 28, 2016, the parties executed a comprehensive settlement agreement (the “Agreement”). [Dkt. 86-1] The Agreement provides that, in exchange for a release of all Defendants, Plaintiffs and the proposed class will receive both retroactive and prospective relief. The parties filed a Joint Motion for Settlement that same day. [Dkt. 85] Plaintiffs also filed a Motion for Certification of the Settlement Class and Appointment of Class Counsel. [Dkt. 88] The Court issued two orders granting those motions after conducting a preliminary fairness hearing on April 7, 2016. [Dkt. 93, 94] Specifically, the Court certified a settlement-only class pursuant to Federal Rule of Civil Procedure 23(a) and 23(b)(3); appointed named Plaintiffs as Class Representatives; appointed Hausfeld LLP, Boies Schiller & Flexner LLP, Tyko & Za-vareei LLP, and DiMuro Ginsberg PC as Class Counsel; appointed Transurban as Claims Administrator; preliminarily approved the terms of Settlement according to Rule 23(e); and approved the form and manner of notice as required by the United [566]*566States Constitution and Rule 23(c)(2). [Dkt. 93, 94.]

A second Joint Motion for Settlement was filed in June 2016, requesting an addendum to the Settlement Agreement that would modify some of the administrative tasks. [Dkt 95] The Court granted this request after holding a hearing on June 9, 2016. [Dkt. 98]

Pursuant to the June 2016 Court order, the Claim Administrator sent over 40,000 postcard class notices to potential Class Members. (Mem. in Supp. [Dkt. 102] at 24.) Claim Administrator also posted the court-approved notice on a website dedicated to this settlement, issued a press release about the Settlement, and maintained a toll-free number to answer questions from potential claimants. (Id.) The Claim Administrator received no objections to the proposed Settlement and only one opt-out request. (Id.)

Both parties now move for final approval of the terms of the Settlement and Plaintiffs move for the approval of attorneys’ fees and service awards. The Court held a final settlement hearing to consider these motions on September 29, 2015. For the foregoing reasons, the Court will grant the Parties’ motions.

II. Analysis

The Court’s prior orders certified a Settlement Class, appointed Class Counsel, named Class Representatives, and appointed a Claims Administrator. (See Order [Dkt. 93] ¶¶ 2-6; Order [Dkt. 94] ¶ 1.) Therefore, this Memorandum Opinion addresses the following four remaining issues: (1) the final certification of the class; (2) the proposed Settlement between the parties; (3) the award of attorneys’ fees and costs to Class Counsel; and (4) Service Awards for Class Representatives. The Court will address each issue in turn.

A. Final Certification of the Settlement Class

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318 F.R.D. 560, 2016 U.S. Dist. LEXIS 134813, 2016 WL 6909683, Counsel Stack Legal Research, https://law.counselstack.com/opinion/brown-v-transurban-usa-inc-vaed-2016.