Future of Class Representative Incentive Awards After 'Johnson v. NPAS Solutions'
Earlier this month, in Johnson v. NPAS Solutions, No. 18-12344, --- F.4th ----, (11th Cir. Aug. 3, 2022), the U.S. Court of Appeals for the Eleventh Circuit denied a petition for rehearing of a three-judge panel's majority decision holding that class representative incentive awards are prohibited under U.S. Supreme Court precedent.
August 25, 2022 at 01:55 PM
11 minute read
Earlier this month, in Johnson v. NPAS Solutions, No. 18-12344, — F.4th —-, (11th Cir. Aug. 3, 2022), the U.S. Court of Appeals for the Eleventh Circuit denied a petition for rehearing of a three-judge panel's majority decision holding that class representative incentive awards are prohibited under U.S. Supreme Court precedent.
In denying the petition, the Eleventh Circuit confirmed that incentive awards are prohibited as a matter of law in connection with class-action settlements filed in the federal district courts of Alabama, Florida and Georgia. Although the Eleventh Circuit is the only circuit to have prohibited incentive awards, some district courts in other circuits have noted that Johnson is worthy of closer examination, perhaps opening the door to other circuits adopting Johnson.
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