The plaintiffs brought a motion for approval of a proposed settlement in a certified class action regarding a mass termination without notice or severance pay.
The employer had gone bankrupt, leaving the plaintiffs to pursue the directors and officers and their liability insurance policy.
After complex litigation and negotiations regarding the depletion of the insurance policy, a settlement was reached for approximately $1.77 million.
The court found the settlement to be fair, reasonable, and in the best interests of the class, providing significant recovery where there was high risk of none.
The court also approved class counsel's fee request of one-third of the settlement amount, noting the high risk undertaken and the excellent result achieved.