In re Federal Skywalk Cases

97 F.R.D. 365, 1982 U.S. Dist. LEXIS 18424
District Court, W.D. Missouri·Decided November 16, 1982·No. No. 81-0945-A-CV-W-5·Published·Cited by 4 cases

Opinion

ORDER

SCOTT O. WRIGHT, District Judge.

In accordance with this Court’s order of October 29, 1982, counsel for the Class and counsel for the defendants have submitted their respective drafts of the “Legal Notice” to be sent to Class members pursuant to Rule 23(c)(2) of the Federal Rules of Civil Procedure. Plaintiff-intervenors have also submitted a memorandum concerning the notice to be sent to Class members. On November 16, 1982, a hearing was conducted so that all interested parties might be heard on the matter of notice. After a review of the drafts submitted, the suggestions filed by all parties, and the oral arguments, the Court issues the form of “Legal Notice,” attached as the Court’s Exhibit A, and orders its immediate distribution by counsel representing the Class. In addition, the Court orders the Class and defense counsel to jointly prepare a “Legal Notice” for publication in the Kansas City newspapers on two occasions and in a national newspaper, preferably the “Wall Street Journal,” on one occasion before December 31, 1982. The following is a brief discourse addressing the concerns raised by the parties with respect to the form of “Legal Notice.”

I. Concerns of the Defendants.

The Class and defense counsel reached agreement on the format of the notice and on almost all of its substantive provisions. As can be seen by the “Legal Notice” issued by this Court today, the Court has incorporated the suggestions of the defendants with respect to (1) the definition of the Class, (2) the opt-out date, and (3) the inquiries. The Court has not incorporated the defendants’ suggestions with respect to (1) the cross-claims; (2) the inclusion of the October 29, 1982 order; and (3) the statement of claim form. The Court has additionally drafted a separate clause with respect to the obligations of Class members who settle their claims. The separate additional issue raised by defendant Hyatt is not ripe for resolution by this Court or the courts of the State of Missouri.

II. Concerns of Plaintiff-intervenors.

The plaintiff-intervenors submitted a memorandum concerning the “Legal Notice” to be sent to the members of the Class. They did not submit a proposed draft. In their memorandum,' they properly advise the Court that due process requires that Class members be provided with “enough information to make an informed choice.” The plaintiff-intervenors contend that the “Legal Notice” should additionally inform members of the Class about (1) opposition to the Class, (2) grounds for the opposition; (3) alternatives to a Class- action; (4) the close of discovery; (5) the manner in which [367] any recovery will be divided; (6) the participation of wrongful death claimants; (7) the inclusion of the October 29, 1982 order; and (8) the disclosure of a settlement. As can be seen in the “Legal Notice” issued by the Court, many of the suggestions filed by the plaintiff-intervenors have been incorporated. In addition, the “Legal Notice” informs the members of the Class and their respective attorneys that the files of this case are open for public inspection, that inquiries can be directed to this Court, and that the attorneys can enter an appearance in this Court.

The Court has incorporated the plaintiff-intervenors’ suggestions with respect to the manner in which the recovery will be divided, the participation of wrongful death claimants, the disclosure of a settlement,alternatives to a Class action and the close of discovery. The “Legal Notice” informs the members of the Class that any punitive damage recovery will be shared among all Class members in proportion to their individual compensatory damages. The definition of “business invitees” and the accompanying October 29, 1982 order inform the wrongful death claimants that they can participate in the determination of aggravating circumstances. The “Legal Notice” provides that notice and an opportunity to be heard will be given by the Court before the Court decides to approve any class-wide settlement. The “Legal Notice” informs the members of the Class that their participation is “voluntary” and that they are “free to pursue [their] rights in a separate proceeding in a court and with counsel of [their] choosing.” Finally, the parties have addressed the need for additional discovery by mutually agreeing to additional discovery prior to the date of trial.

The Court has not incorporated the plaintiff-intervenors’ suggestions with respect to opposition filed against the Class, the grounds for opposition, and the inclusión of the October 29,1982 order. The October 29, 1982 order, which accompanies the “Legal Notice,” outlines the nature of the opposition and finds that the affidavits filed by members of the Class failed to adequately advise the Class members about the undiminished multiple punitive damage problem and about possible ethical violations of those attorneys who represent more than one victim. Thus, the opposition filed by more than 50 members or the Class who are represented by as few as five law firms did not appear to be informed. The Court has determined that this “Legal Notice” will enable victims to make an informed decision about whether or not to participate in the Class action. The Court has also determined that the Class representative and the Class counsel are adequate, and has, on many occasions, invited all attorneys who represent victims to participate in the prosecution of claims against the defendants. Finally, the order issued on October 29,1982 is the law of this case. Its inclusion with the “Legal Notice” enables the members of the Class to have some understanding about what has caused the “Legal Notice” to be sent to them.

It would be necessary to send and explain the voluminous records already on file in order to inform the members of the Class to the fullest extent possible. This Court, in its discretion, has issued a “Legal Notice” which adequately summarizes, in the language of lay persons, the existence and purpose of a voluntary Class action. Due process requires that members of the Class be provided with enough information to make an informed choice. The standards of due process are met by the “Legal Notice” which is issued.

Ill

Accordingly, it is hereby

ORDERED that the parties take immediate action in accordance with this order.

COURT’S EXHIBIT A LEGAL NOTICE

NOTICE OF CLASS ACTION

TO: ALL BUSINESS INVITEES, OR THE REPRESENTATIVES OF BUSINESS INVITEES, INJURED AS A RESULT OF THE COLLAPSE OF TWO SKYWALKS AT THE HYATT REGENCY HOTEL OF KANSAS CITY, MISSOURI ON JULY 17, 1981.

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In re Federal Skywalk Cases, 97 F.R.D. 365, 1982 U.S. Dist. LEXIS 18424 (W.D. Mo. 1982).

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