Can a defendant wishing to settle a Rule 23(b)(3) damages class action do so in exchange for charitable contributions only, with no payments of any kind to class members?
The answer may be yes. Several settlements of this kind have been attempted during the past two years, all in cases where class members were not alleged to have suffered actual monetary damages. These settlements all won approvals from district judges, but now the Ninth Circuit has been asked to flesh out when, and under what circumstances, this can work.
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