Lawyers Withdraw, Aiming to Revise, $1.1 Billion Class Settlement Over Roundup
The notice of withdrawal came two days after a federal judge said he was likely to deny approval of the settlement, which Bayer reached last month to cap subsidiary Monsanto's liability over future Roundup claims.
July 08, 2020 at 01:53 PM
5 minute read
Two days after a federal judge said he was likely to deny approval of Bayer's $1.1 billion class action settlement over Roundup, the lead plaintiffs attorneys withdrew their court documents in order to revise the agreement.
Plaintiffs attorney Elizabeth Cabraser filed the notice of withdrawal Wednesday. The filing comes after U.S. District Judge Vince Chhabria of the Northern District of California raised several concerns about the settlement, reached last month alongside a raft of other agreements, valued at up to $10.9 billion, which resolved 75% of the 125,000 claims alleging Roundup caused non-Hodgkin lymphoma.
The class settlement, which is the only one to face scrutiny by a judge, is part of Bayer's strategy to cap subsidiary Monsanto's liability for future claims over Roundup, which remains on store shelves.
"We remain strongly committed to a fair and just resolution that serves the needs and interests of persons exposed to Roundup who are not otherwise included in the negotiations for the comprehensive resolution of the thousands of individual cases, in support of a settlement for all," said Cabraser, of San Francisco's Lieff Cabraser Heimann & Bernstein. Her firm represents plaintiffs in the class action along with The Dugan Law Firm in New Orleans; Audet & Partners in San Francisco; and New York University School of Law professor Samuel Issacharoff.
Bayer, in a statement, said it agreed with the decision.
"The withdrawal will enable the parties to more comprehensively address the questions recently raised by federal district court judge Vince Chhabria of the Northern District of California who presides over the federal Roundup litigation," the statement said. "Bayer remains strongly committed to a resolution that simultaneously addresses both the current litigation on reasonable terms and a viable solution to manage and resolve potential future litigation. Mass tort settlements agreements like this are complex and may require some adjustments along the way, but the company continues to believe that a settlement on appropriate terms is in the best interest of Bayer and all of its stakeholders."
The settlement resolves claims of individuals who haven't sued yet but use Roundup—some of whom have non-Hodgkin lymphoma and some who do not.
Under the deal, a science panel would give the final say on whether Roundup causes non-Hodgkin lymphoma, ending the debate in the courts, and plaintiffs, if the decision goes in their favor, could sue, but only for compensatory damages.
Unlike Bayer's other Roundup agreements, a judge must approve the class settlement under the Federal Rule 23 of Civil Procedure and the class action guidelines in the Northern District of California, where Chhabria sits in San Francisco.
Chhabria had scheduled a July 24 hearing on the settlement's preliminary approval.
Nearly a dozen firms, including Napoli Shkolnik and Baron & Budd, sought an extension to a July 13 deadline to oppose the class settlement, many of them stating that such a deal had "never before been attempted in the history of American jurisprudence" and raised "profound questions" under Rule 23, federal statutes and the U.S. Constitution. "It could have a dramatic effect not only on this litigation but on the future of mass tort litigation," they wrote.
Chhabria refused to grant the extensions but, in Monday's order, said he was "skeptical of the propriety and fairness of the proposed settlement" and was "tentatively inclined to deny the motion."
Chhabria questioned the constitutionality of having a science panel, rather than a judge or jury, decide general causation.
Brian Fitzpatrick, a professor and class action expert at Vanderbilt Law School, who had planned to oppose the deal in a filing with Roland Tellis of Baron & Budd, said the constitutional issues in Chhabria's order "really caught my eye because I teach federal courts, in addition to teaching complex litigation."
"Can administrative agencies adjudicate disputes between parties?" he said. "Because under the U.S. Constitution, Article III says the judicial power of the United States should be vested in judges with life tenure. To what extent can you peel away things and have other federal officials have judicial power?"
Chhabria also wondered whether the panel's decision was binding, even if further scientific studies refuted its findings, and was skeptical that the notice program could reach such a "diffuse, contingent, and indeterminate" class.
Further, Chhabria, who oversaw a Roundup trial that ended in an $80 million verdict last year, asked why a class member would want to participate in such a settlement when other Roundup users have obtained "significant compensatory and punitive damages" at trial. Bayer is appealing three Roundup verdicts totaling $2.4 billion awarded in the past two years.
"He's spent a lot of time thinking about general causation already. And so he has seen the plaintiffs do pretty well in court with juries," said Fitzpatrick, of Chhabria. "And I think he's right to ask: why would they give all that up to go to this science panel? It's a very good question, and a very hard one to answer."
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View All'Close Our Borders?' Senate Judiciary Committee Examines Economics, Legal Predicate for Mass Deportation Proposal
3 minute readA Judge Asks: Is It Time to End Ken Feinberg's Roundup Settlement Program?
7 minute readLaw Firms Mentioned
Trending Stories
- 1The Key Moves in the Reshuffling German Legal Market as 2025 Dawns
- 2Social Media Celebrities Clash in $100M Lawsuit
- 3Federal Judge Sets 2026 Admiralty Bench Trial in Baltimore Bridge Collapse Litigation
- 4Trump Media Accuses Purchaser Rep of Extortion, Harassment After Merger
- 5Judge Slashes $2M in Punitive Damages in Sober-Living Harassment Case
Who Got The Work
Michael G. Bongiorno, Andrew Scott Dulberg and Elizabeth E. Driscoll from Wilmer Cutler Pickering Hale and Dorr have stepped in to represent Symbotic Inc., an A.I.-enabled technology platform that focuses on increasing supply chain efficiency, and other defendants in a pending shareholder derivative lawsuit. The case, filed Oct. 2 in Massachusetts District Court by the Brown Law Firm on behalf of Stephen Austen, accuses certain officers and directors of misleading investors in regard to Symbotic's potential for margin growth by failing to disclose that the company was not equipped to timely deploy its systems or manage expenses through project delays. The case, assigned to U.S. District Judge Nathaniel M. Gorton, is 1:24-cv-12522, Austen v. Cohen et al.
Who Got The Work
Edmund Polubinski and Marie Killmond of Davis Polk & Wardwell have entered appearances for data platform software development company MongoDB and other defendants in a pending shareholder derivative lawsuit. The action, filed Oct. 7 in New York Southern District Court by the Brown Law Firm, accuses the company's directors and/or officers of falsely expressing confidence in the company’s restructuring of its sales incentive plan and downplaying the severity of decreases in its upfront commitments. The case is 1:24-cv-07594, Roy v. Ittycheria et al.
Who Got The Work
Amy O. Bruchs and Kurt F. Ellison of Michael Best & Friedrich have entered appearances for Epic Systems Corp. in a pending employment discrimination lawsuit. The suit was filed Sept. 7 in Wisconsin Western District Court by Levine Eisberner LLC and Siri & Glimstad on behalf of a project manager who claims that he was wrongfully terminated after applying for a religious exemption to the defendant's COVID-19 vaccine mandate. The case, assigned to U.S. Magistrate Judge Anita Marie Boor, is 3:24-cv-00630, Secker, Nathan v. Epic Systems Corporation.
Who Got The Work
David X. Sullivan, Thomas J. Finn and Gregory A. Hall from McCarter & English have entered appearances for Sunrun Installation Services in a pending civil rights lawsuit. The complaint was filed Sept. 4 in Connecticut District Court by attorney Robert M. Berke on behalf of former employee George Edward Steins, who was arrested and charged with employing an unregistered home improvement salesperson. The complaint alleges that had Sunrun informed the Connecticut Department of Consumer Protection that the plaintiff's employment had ended in 2017 and that he no longer held Sunrun's home improvement contractor license, he would not have been hit with charges, which were dismissed in May 2024. The case, assigned to U.S. District Judge Jeffrey A. Meyer, is 3:24-cv-01423, Steins v. Sunrun, Inc. et al.
Who Got The Work
Greenberg Traurig shareholder Joshua L. Raskin has entered an appearance for boohoo.com UK Ltd. in a pending patent infringement lawsuit. The suit, filed Sept. 3 in Texas Eastern District Court by Rozier Hardt McDonough on behalf of Alto Dynamics, asserts five patents related to an online shopping platform. The case, assigned to U.S. District Judge Rodney Gilstrap, is 2:24-cv-00719, Alto Dynamics, LLC v. boohoo.com UK Limited.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250