AUDREY G. FLEISSIG, District Judge.
This matter is before the Court on the parties' joint motion (Doc. No. 526) to approve and direct notice to the certified class of the parties' proposed settlement regarding remedies.
At the May 25 status conference, Mr. Quinn expressed a desire to file a short brief regarding whether class counsel had authority to enter the proposed settlement, whether the Court should schedule a fairness hearing, and if so, the proper role going forward for any class counsel who objected to the proposed settlement; and the Court set a deadline for that brief. The Court also permitted any other counsel of record to respond to Mr. Quinn's brief within one week.
Mr. Quinn has submitted a brief arguing that the motion to approve the proposed settlement notice should be denied but suggesting that, if the proposed settlement proceeds to a fairness hearing, class counsel opposed to the proposed settlement (i.e., Mr. Quinn) should be permitted to represent any objecting class members, including the class representatives. Lead class counsel and Defendants have responded to Mr. Quinn's brief, arguing that the proposed settlement is authorized and should proceed to a fairness hearing. Lead class counsel also agrees that the Court may appoint Mr. Quinn as counsel for the objecting class representatives
Upon review of the parties' submissions and for the reasons stated below, the Court is inclined to grant the parties' joint motion to approve and direct notice to the certified class of the proposed settlement. However, the Court will ask the parties to confer and attempt to reach agreement with respect to any changes to the proposed notice that may be necessary in light of this Order. Following any necessary revision to the proposed notice, the Court will grant the parties' joint motion to approve and direct notice to the certified class of the proposed settlement, and will schedule a fairness hearing on the proposed settlement. The Court will also appoint Mr. Quinn to represent the objecting class representatives, and any other objecting class members who wish to be represented by him, at the fairness hearing.
"Inherent in any class action is the potential for conflicting interests among the class representatives, class counsel, and absent class members." Maywalt v. Parker & Parsley Petroleum Co., 67 F.3d 1072, 1077 (2d Cir. 1995). But "[t]he ultimate responsibility to ensure that the interests of class members are not subordinated to the interests of either the class representatives or class counsel rests with the district court." Id. Thus, where there is a dispute between class counsel and the class representatives, or among class counsel, as to the course to be followed, including with regard to settlement, the decision "cannot rest entirely with either the named plaintiffs or with class counsel." Pettway v. Am.Cast Iron Pipe Co., 576 F.2d 1157, 1177 (5th Cir. 1978). The decision must be left to the district court, which must consider the best interests of the class as a whole. Maywalt, 67 F.3d at 1077; see also Manual for Complex Litigation (Fourth) §§ 21.641, 21.642 (noting that, although class counsel must "discuss with class representatives the terms of any settlement offered to the class," neither class counsel nor class representatives have "veto power" over settlement of class actions).
A district court may approve a class action settlement only if it is "fair, reasonable, and adequate." Fed. R. Civ. P. 23(e)(2). A settlement can be fair notwithstanding a large number of objectors and even when all named plaintiffs oppose the settlement. See Marshall v. Nat'l Football League, 787 F.3d 502, 513 (8th Cir. 2015) (citing Elliott v. Sperry Rand Corp., 680 F.2d 1225, 1226-27 (8th Cir. 1982) (finding no abuse of discretion in district court's approval of class action settlement even though both named plaintiffs and 790 of approximately 3,000 members objected to it)). In evaluating the fairness of a settlement, "the court should take into account not only the presentations of counsel but also information from other sources, such as comments from class representatives and class members, presentations by objections, [and] the court's own knowledge of the case . . . ." Manual for Complex Litigation (Fourth) § 21.641.
The Court believes that the best course of action to protect the interests of the class as a whole is to provide notice and a copy of the proposed settlement to the class and to schedule a fairness hearing at which the presentations of counsel and any objections may be heard fully and on the record. However, the Court agrees with Mr. Quinn and lead class counsel that any objecting class representatives should be separately represented at such hearing. See, e.g., Elliott, 680 F.2d at 1226 (affirming approval of class action settlement over objections of the class representatives where the district court held a fairness hearing, objections were heard on the record, and the objecting class representatives were represented by separately retained counsel); Flinn v. FMC Corp., 528 F.2d 1169, 1174 (4th Cir. 1975) (same).
The Court also agrees that Mr. Quinn may represent the objecting class representatives, and any other objecting class members who wish to be represented by him,
For the reasons set forth above,