Hernandez v. Wells Fargo Bank, N.A.
- William Alsup
- 3:18-cv-07354
- U.S. District Court · Northern District of California
- 2
In Hernandez v. Wells Fargo Bank, N.A., Judge Alsup preliminarily approved a class settlement, notice materials, schedule, and claims-processing appointments.
The ruling affected the certified nationwide class, the named plaintiffs and class counsel, Wells Fargo Bank, N.A., and the administrators involved in providing notice and processing claims under the proposed settlement.
What happened
Hernandez v. Wells Fargo Bank, N.A. is a breach-of-contract class action involving a proposed settlement for a nationwide class. The court had previously certified the class and appointed class representatives and class counsel.
The parties reached the proposed settlement through mediation supervised by Magistrate Judge Donna M. Ryu. The plaintiffs filed an unopposed motion asking the court to approve the settlement preliminarily.
Judge Alsup granted the motion and preliminarily approved the settlement, subject to further review at a final approval hearing. He also approved the claim form and notice, appointed Cathy Yanni as special master for claims under the severe emotional distress fund, vacated the prior notice-mailing deadline, approved the proposed schedule, and set the final approval hearing for August 20.
The detailed version
- Hernandez v. Wells Fargo Bank, N.A. · No. 3:18-cv-07354
- William Alsup
- Apr. 19, 2020
Background
This was a breach-of-contract class action. The court had previously certified a nationwide class under Federal Rule of Civil Procedure 23(b)(3), appointed Debora Granja and Sandra Campos as class representatives, and appointed Gibbs Law Group LLP and Paul LLP as class counsel. The class included people who were not offered a home-loan modification or repayment plan by Wells Fargo because excessive attorney fees were included in the decision-making process and whose homes Wells Fargo sold in foreclosure. The excerpted class definition also refers to requirements involving government-sponsored enterprises, the Federal Housing Administration, and the Treasury Department’s Home Affordable Modification Program.
Proposed Settlement
After class certification, the parties reached a proposed settlement through mediation supervised by Magistrate Judge Donna M. Ryu. The plaintiffs filed an unopposed motion for preliminary approval. The court explained that preliminary approval is appropriate when a proposed settlement appears to result from serious, informed, non-collusive negotiations; has no obvious deficiencies; does not improperly favor class representatives or portions of the class; and falls within the range of possible approval.
Ruling
For reasons stated on the record, the court found that the proposed settlement fell within the range of possible approval. Judge William Alsup therefore granted the motion and preliminarily approved the proposed class settlement, subject to further review at the final approval hearing. The court also approved the claim form for the severe emotional distress fund and the proposed notice, which JND Legal Administration would administer. It appointed Cathy Yanni as special master to process class members’ claims for damages under that fund and directed class counsel to submit Yanni’s undertaking accepting the assignment’s terms. The court vacated the previous April 25 deadline for mailing class notice, approved the plaintiffs’ proposed schedule, and set the final approval hearing for August 20.
Read the full 2-page opinion on CourtListener, the free public archive maintained by the Free Law Project.