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Takeaway: The law surrounding “coupon” settlements under 28 U.S.C. § 1712 of the Class Action Fairness Act (“CAFA”) continues to evolve. Under section 1712(e), courts must: (1) apply “heightened scrutiny” when approving...more
Overturning a 6-1 en banc decision by the Pennsylvania Commonwealth Court, the Pennsylvania Supreme Court held that a coupon does not reduce the price upon which sales tax must be collected unless the coupon is adequately...more
The U.S. Court of Appeals for the Ninth Circuit in McKnight v. Hinojosa, No. 21-16623, 2022 WL 17333820 (9th Cir. Nov. 30, 2022) considered whether the proposed class action settlement was a "coupon settlement" and therefore...more
Ninth Circuit decision prohibits use of lodestar-only methodology to calculate a fee award for class action settlements involving coupons. The decision contemplates coupon class action settlements where coupons are...more
It’s no secret that the Justice Department and state Attorneys General don’t like coupon settlements in class actions. Since 2007, groups of state AGs have been objecting regularly to coupon settlements that would force...more
Companies may be inclined to offer “coupons” or similar benefits to settle consumer class actions. While offering coupons is permissible, in In re Easysaver Rewards Litigation, No. 16-56307, 2018 U.S. App. LEXIS 28000 (9th...more
The mid-level New Jersey appellate court issued an important decision last week under the state’s Truth-in-Consumer Contract and Warranty Notification Act (“TCCWNA”). The biggest TCCWNA issues, including to what extent the...more
In In Re Southwest Airlines Voucher Litigation, Case No. 13-3264 (7th Cir. Aug. 20, 2015), the U.S. Court of Appeals for the Seventh Circuit upheld a fee award to class counsel in a class action that resulted in a “coupon...more
If you are a retailer or a business that accepts or issues coupons, a slew of class action lawsuits should have you double-checking your sales tax collection practices. Recent lawsuits filed by consumers have accused...more
A class action complaint was filed in federal court last week against New Albertson’s, Inc. the operator of the Jewel-Osco grocery chain, alleging failure to deduct manufacturers’ coupons from the tax base on which sales tax...more
I’ll admit, General Mills did not go that far. What they did, according to The New York Times was notify customers that if they downloaded a coupon, joined a forum or entered a sweepstakes, the customer would waive their...more
In In re: HP Inkjet Printer Litigation, Case No. C05-3580-JF, 2013 WL 1986396 (9th Cir. May 15, 2013), the Ninth Circuit recently held that attorney fee awards in class settlements involving coupons must be “attributable to”...more