Post on 08-Oct-2020
FINAL ORDER AND JUDGMENT
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UNITED STATES DISTRICT COURT
CENTRAL DISTRICT OF CALIFORNIA—WESTERN DIVISION
OMAR VARGAS, ROBERT BERTONE, MICHELLE HARRIS, and SHARON HEBERLING individually, and on behalf of a class of similarly situated individuals,
Plaintiffs,
v.
FORD MOTOR COMPANY,
Defendant.
Case No.: CV12-08388 AB (FFMx)
CLASS ACTION
Hon. André Birotte Jr.
[PROPOSED] ORDER GRANTING FINAL APPROVAL AND ENTERING JUDGMENT
Date: October 2, 2017 Time: 10:00 am Place: Courtroom 7B
NOTE: CHANGES MADE BY THE COURT
Case 2:12-cv-08388-AB-FFM Document 193 Filed 10/18/17 Page 1 of 159 Page ID #:3600
Page 1 FINAL ORDER AND JUDGMENT
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On April 25, 2017, the Court entered a Preliminary Approval Order that
preliminarily approved the proposed Settlement Agreement in this Litigation and
specified the manner in which Ford Motor Company (“Ford”) was to provide
Class Notice to the Class. All capitalized terms used herein shall have the same
meaning as defined in the Settlement Agreement, which was filed with the Court
on March 24, 2017 [Dkt. 121-1] and is incorporated by reference.
Following the dissemination of the Class Notice, all Class Members were
given an opportunity to request exclusion from the Class or object to the
Settlement Agreement (including Class Counsel’s request for attorneys’ fees and
expenses and the Class Representatives’ collective application for a Service
Award). Prospective Class Members who had a pending suit against Ford as of
the Notice Date were given an opportunity to opt-in.
A Fairness Hearing was held on October 2, 2017, at which time all
interested persons were given a full opportunity to state any objections to the
Settlement Agreement or to Class Counsel’s request for attorneys’ fees and
expenses and the Class Representatives’ collective application for Service
Awards. The Fairness Hearing was held more than 90 days after Ford provided
notice of the proposed Settlement to federal and state-level attorneys general as
required by 28 U.S.C. § 1715(b), thus complying with 28 U.S.C. § 1715(d).
Having read and fully considered the Settlement Agreement and all
submissions made in connection with it, the Court finds that the Settlement
Agreement is fair, reasonable and adequate and should be finally approved and the
Litigation dismissed with prejudice as to all Class Members who have not
excluded themselves from the Class, and without prejudice as to all persons who
timely and validly excluded themselves from the Class. Accordingly,
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Page 2 FINAL ORDER AND JUDGMENT
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IT IS HEREBY ORDERED, ADJUDGED, AND DECREED AS FOLLOWS:
1. This Court has both subject matter jurisdiction and personal
jurisdiction as to this action and all Parties before it, including all Class Members.
The Court certifies the following Class for purposes of settlement only:
All current residents of the United States (including territories of the United States) who, prior to the Preliminary Approval Order, purchased or leased new or used Class Vehicles that (1) were originally sold in the United States (including territories of the United States) and (2) were equipped with the PowerShift Transmission.
Excluded from the Class are:
(1) except as to the Named Plaintiffs in this Litigation and the Anderson plaintiffs, all owners or lessees of Class Vehicles who have filed and served litigation against Ford alleging problems with the PowerShift Transmission in Class Vehicles that was pending as of [insert Notice Date] and who do not dismiss their actions before final judgment and affirmatively elect to opt-in to the Settlement (Owners or lessees of Class Vehicles who dismiss such litigation and affirmatively opt-in to the Settlement shall be members of the Class for all purposes); (2) Ford’s officers, directors, employees, affiliates and affiliates’ officers, directors and employees; their distributors and distributors’ officers, directors, and employees; and Ford Dealers and Ford Dealers’ officers and directors; (3) judicial officers assigned to the Actions and their immediate family members, and any judicial officers who may hear an appeal on this matter; (4) all entities and natural persons who have previously executed and delivered to Ford releases of their claims based on the PowerShift Transmission; (5) all parties to litigation against Ford alleging problems with the PowerShift Transmission in Class Vehicles in which final judgment has been entered, and (6) all those otherwise in the Class who
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Page 3 FINAL ORDER AND JUDGMENT
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timely and properly exclude themselves from the Class as provided in this Settlement.
2. The Class certified for the purposes of settlement satisfies all of the
requirements of Federal Rules of Civil Procedure 23(a) and 23(b)(3).
3. The Court appoints and finally approves Plaintiffs Omar Vargas,
Michelle Harris, Sharon Heberling, Robert Bertone, Kevin Klipfel, Andrea
Klipfel, Maureen Cusick, Eric Dufour, Abigail Fisher, Christi Groshong,
Virginia Otte, Tonya Patze, Lindsay Schmidt, Patricia Schwennker, Patricia
Soltesiz, Joshua Bruno, Jason Porterfield, and Jamie Porterfield as
representatives of the above-described Class.
4. The Court finds that Capstone Law APC, Berger & Montague, P.C.
and Zimmerman Law Group have demonstrable experience litigating consumer
and other class actions. The Court hereby appoints and finally approves them as
Class Counsel and designates Capstone Law APC as Lead Class Counsel.
5. The Court finds that the mailing of the Short Form Class Notice to
the Class, publication of the Publication Notice, and posting of the Long Form
Class Notice to the Settlement Website has been completed in conformity with
the Settlement Agreement and the Preliminary Approval Order. These forms of
notice, taken together, provided adequate notice of the proceedings, including the
proposed settlement terms as set forth in the Settlement Agreement. The Class
Notice fully satisfied due process requirements and the requirements of Rule 23 of
the Federal Rules of Civil Procedure. As executed the Class Notice was the best
notice practicable under the circumstances.
6. The Court finds that appropriate notice was given by Defendant to all
“appropriate State and Federal Officials” pursuant to 28 U.S.C. §1715(a), and that
no objections were filed.
7. The Court hereby finally approves the terms set forth in the
Settlement Agreement and finds that the Settlement is, in all respects, fair,
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Page 4 FINAL ORDER AND JUDGMENT
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reasonable and adequate, and directs the Parties to effectuate all remaining
provisions of the Settlement Agreement according to its terms. The Court finds
that the Settlement Agreement has been reached as a result of informed and non-
collusive, arm’s-length negotiations. The Court further finds that Plaintiffs and
Defendant have conducted extensive investigation and research into the factual
and legal aspects of Plaintiffs’ claims, and their attorneys were able to
reasonably evaluate their respective positions.
8. The Court also finds that the Parties, by settling now, will avoid
additional and potentially substantial litigation costs, as well as delay and risks if
the Parties were to continue to litigate the case. Additionally, after considering
the prospective and monetary relief provided as part of the Settlement in light of
the challenges posed by continued litigation, the Court concludes that Class
Counsel secured fair, reasonable and adequate relief for Class Members.
9. The Settlement Agreement is not an admission of fault by Defendant
or by any other Released Party, nor is this Final Order and Judgment a finding on
the validity of any allegations or of any wrongdoing by Defendant or any other
Released Party. Neither this Final Order and Judgment, the Settlement
Agreement, nor any document referred to herein, nor any action taken to carry out
the Settlement Agreement, may be construed as, or may be used as, an admission
of any fault, wrongdoing, omission, concession, or liability whatsoever by or
against Defendant or any of the other Released Parties.
10. The Settlement Agreement shall be fully, finally, and forever
binding on Ford and all Plaintiffs, including all members of the Class who did
not opt out of this Settlement and have not been otherwise excluded pursuant to
the Settlement Agreement.
11. Having granted final approval to this Settlement, the Court
dismisses on the merits and with prejudice Vargas v. Ford Motor Co., No. 2:12-
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Page 5 FINAL ORDER AND JUDGMENT
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cv-08388-AB (FFMx) (C.D. Cal.) and each and every action transferred and
consolidated with it, including Klipfel v. Ford Motor Co., No. 2:14-cv-02140-AB
(FFMx) (C.D. Cal.), and Cusick v. Ford Motor Company, Case No. 2:15-cv-
08831-AB (C.D. Cal.). In accordance with the Settlement, the plaintiffs in
Anderson v. Ford Motor Co., No. 1:16-cv-01632 (N.D. Ill.) are obligated to
dismiss that action with prejudice. In addition, the Court also dismisses all
claims which any Class Member alleged or could have alleged in any complaint,
action, or litigation, based upon the Transmission defect in the Class Vehicles.
12. All Class Members were given a full and fair opportunity to
participate in the Fairness Hearing, and all Class Members who asked to be
heard were heard. The objections of Objectors Castilon, Shiple, Curtis, Saltz,
Debolt, Lott, Lutz, Olivant, Slomine, Woloszyn, Robinso, Rumao, Kellis, Price,
and Watson are hereby overruled.
13. Opt-Outs: Members of the Class also have had a full and fair
opportunity to exclude themselves from the proposed Settlement and the Class.
Attached hereto as Exhibit A is a list setting forth the name of each person who,
as of September 29, 2017, submitted a valid request to be excluded from the
Class.
14. Persons listed on Exhibits A and E to Dkt. No. 176-1 filed opt-outs
that were defective and/or ambiguous. In an order that shall be issued
concurrently with this order, the Court is adopting the parties’ proposed
procedure to give these persons a reasonable opportunity to cure their defective
out-outs. Thereafter, the parties shall file a further Stipulation and Proposed
Order with a complete and final list of all opt-outs. Upon the Court’s adoption
of the final list of opt-outs, those additional individuals shall be deemed opted
out as of the date of this Final Approval Order.
15. Except with respect to confirming the final opt-out list and resolving
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Page 6 FINAL ORDER AND JUDGMENT
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other opt-out related issues, this Final Order and Judgment shall become
effective upon the date of its entry. Although the validity of some opt outs
remains to be decided, the Court determines pursuant to Federal Rule of Civil
Procedure 54(b) that there is no just reason to delay entry of a Final Order that
resolves all claims in this case as to all parties.
16. Having granted final approval to this Settlement, the Named
Plaintiffs and each Class Member hereby forever discharge the Released Parties
from all Released Claims.
17. To effectuate the Settlement, the Court hereby orders that all Class
Members who did not timely exclude themselves from the Settlement are barred,
enjoined, and forever restrained from commencing, prosecuting or asserting any
Released Claims against any Released Parties as set forth in Paragraph 16 above,
except that Class Members may continue to pursue claims in the Arbitration
Program as set forth in the Settlement Agreement and the Arbitration Rules. All
persons are barred, enjoined, and forever restrained from commencing,
prosecuting, or asserting any Released Claims against any Released Parties on
behalf of Class Members who did not timely exclude themselves from the
Settlement, except to the extent such persons may properly represent such Class
Members in the Arbitration Program established by the Settlement Agreement.
18. The Court hereby finds that all Class Members who have not made
their objections to the Settlement in the manner provided in the Class Notice are
deemed to have waived any objections by appeal, collateral attack or otherwise.
19. The Court has considered Plaintiffs’ Motion for Attorneys’ Fees,
Costs, and Service Awards separate from its consideration of the fairness,
reasonableness and adequacy of the Settlement Agreement. Any order or
proceedings relating to the Motion for Attorneys’ Fees, Costs, and Service
Awards, or any appeal from any order relating thereto or reversal or modification
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Page 7 FINAL ORDER AND JUDGMENT
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thereof, shall not disturb or affect this Final Order and Judgment or affect or
delay its finality.
20. The Court awards $8,530,130.68 in attorneys’ fees to Class Counsel
and costs in the amount of $326,369.32. Lead Class Counsel must allocate the
fees and cost reimbursement according to the fee allocation agreement among
Class Counsel.
21. The Court awards $10,000 to Plaintiff Omar Vargas, $7,500 to
Plaintiffs Michelle Harris, Sharon Heberling, Robert Bertone and $5,000 to
Plaintiffs Kevin Klipfel, Andrea Klipfel, Maureen Cusick, Eric Dufour, Abigail
Fisher, Christie Groshong, Virginia Otte, Tonya Patze, Lindsay Schmidt, Patricia
Schwennker, Patricia Soltesiz, Joshua Bruno, Jason Porterfield, Jamie Porterfield
for their services on behalf of the Class and $1,000 for each of the Plaintiffs in
Anderson v. Ford Motor Co., No. 1:16-cv-01632 (N.D. Ill.) for their dismissal of
their action with prejudice, and orders Defendant to pay those amounts to the
Claims Administrator for distribution to those Class Representatives.
22. If either (a) the Effective Date of the Settlement does not occur for
any reason whatsoever, or (b) the Settlement Agreement becomes null and void
pursuant to the terms of the Settlement Agreement, this Final Order and
Judgment shall be deemed vacated and shall have no force or effect whatsoever.
23. Without affecting the finality of the Final Order and Judgment in
any way, the Court retains continuing and exclusive jurisdiction over the Parties,
including the Class Members, to enforce the terms of the Final Order and
Judgment, and shall have continuing jurisdiction over the construction,
interpretation, implementation, and enforcement of the Settlement Agreement.
IT IS SO ORDERED, ADJUDGED, AND DECREED.
Dated: October 18, 2017 ____ __________________________ The Hon. André Birotte JrUnited States District Judge
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EXHIBIT A
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