Reid TCPA Settlement

Reid v. IC System, Inc.
United States District Court District of Arizona Court No. 2:12-cv-2661 ROS

Frequently Asked Questions

Following is a list of frequently asked questions about this settlement. To view the answer to a question, please click on the question from the list below. The answers to these questions will be updated periodically to reflect the current status of the settlement.

  1. What is this lawsuit about?

    Plaintiff filed a proposed class action lawsuit against Defendant under the caption Reid, Individually and on behalf of all others similarly situated v. I.C. System Inc., 12-cv- 2661-ROS (the “Action”).

    In the Action, Plaintiff claimed, among other things, that Defendant placed calls to cellular telephones contrary to federal law. Defendant denies all allegations of wrongdoing and has asserted many defenses. The settlement is not an admission of wrongdoing.

  2. Why is this a Class Action?

    In a class action, one or more people, called Class Representative(s), sue on behalf of people who have similar claims. In this case, the Class Representative is the Plaintiff Michael Reid. One court resolves the issues for all Class Members, except those who exclude themselves from the Class. United States District Court Judge Roslyn O. Silver has jurisdiction over the case to which the parties have submitted this settlement for approval.

  3. Why is there a Settlement?

    The Court did not decide in favor of Plaintiff or Defendant. Instead, both sides agreed to a settlement. That way, they avoid the cost of a trial, and settlement benefits go to the Class Members. The Class Representative and his attorneys think the settlement is best for the Class Members.

  4. How do I know if I am part of the settlement?

    Judge Silver has preliminarily decided that everyone who fits this description is a Class Member: All persons within the Class Period (December 14, 2008 through November 9, 2017) who were called on a cellular telephone by I.C. System, using an Automatic Telephone Dialing System, with or without a prerecorded or artificial voice message whose cellular telephone number was associated with a cellular telephone number in Defendant’s business records coded as a wrong number telephone call, regardless if there was a call before or after the wrong number code was entered in I.C. System’s business records.

  5. Who is not included in the Class?

    The Class does not include Defendant, any entity that has a controlling interest in Defendant, and Defendant’s current or former directors, officers, counsel, and their immediate families. Also excluded from the class are counsel for the parties, their employees, the Court, and the Court’s employees. The Class does not include any persons who validly request exclusion from the Class.

  6. I’m still not sure if I am included?

    If you are still not sure whether you are included, you can fill out and return the claim form described in Question 9. You can also click on the online Claim Form and review it to help determine whether you qualify.

  7. What does the settlement provide?

    Defendant will provide payments to each Class Member submitting a valid claim by May 25, 2018, (an “Eligible Claimant”) who meets the requirements for payment under the conditions described in Question 8.

  8. What can I get from the settlement?

    Class members who submit a valid claim will receive a payment from the $3,350,000.00 Settlement Fund.

    All valid claims will receive a pro rata share of the settlement. However, the settlement also allows for a tiered recovery allowing certain individuals to receive a double pro rata share of the settlement. ICS has identified approximately 66,619 class members where the recipient received at least one additional call after being coded as a wrong number (“Coded Calls”). In addition to these Coded Calls, individuals may exist that informed ICS that said individual received a subsequent call after informing ICS that they had called the wrong number and the account was not coded as a wrong number. Such individuals may also receive double compensation by completing the required section on the claim form affirming that a call from ICS was received after permission was revoked.

    Any person identified as belonging in the 66,619 Coded Calls list will automatically be entitled to a double pro rata share. In addition, all consumers not identified with the Coded Calls list that affirm receipt of at least one call from ICS following revocation will also receive a double pro rata share of the Settlement Fund.

  9. How can I get a payment?

    To qualify for a payment you must timely submit a claim. To do so, you need only (a) click here to submit a claim online; (b) submit a Claim by calling the toll-free number (1-888-384-1523); or (c) submit the completed Claim Form downloaded from here and mail to the Claims Administrator. The claims process shall require only that the Settlement Class member provide his or her name, if available, the cellular telephone number which received the wrong number call(s), a current telephone number and, a current address to which the cash payment may be sent. If the claimant’s cell number matches the cell number on the Notice Database or Class List generated from Defendant’s records, that claim will be approved, subject to the limitation that only one claim will be paid to each Settlement Class member and that person will receive a pro rata share of the settlement. If the phone number appears on the list of 66,619 class members, that individual will receive a double pro rata share. If any person affirms they received a call following any revocation of consent to be called, that person will also receive a pro rata share. All claims must be submitted no later than May 25, 2018. If you choose to not file online or by the toll-free telephone line, you can download a claim form that is available on this Settlement Website (see Question 6), fill it out and mail it to the Claims Administrator with a postmark no later than May 25, 2018.

  10. When would I get a payment?

    The Court will hold a Fairness Hearing on July 18, 2018, to decide whether to approve the settlement. If Judge Silver approves the settlement after that, there may be appeals. It is always uncertain whether these appeals can be resolved, and resolving them can take time, perhaps more than a year. It also takes time for the claim forms to be processed. Please be patient.

    The proposed Settlement contemplates distributing payments to Eligible Claimants ninety (90) days from the date the Settlement becomes final and not subject to appeal.

  11. What am I giving up if I remain in the Class?

    Unless you exclude yourself, you stay in the Class; which means that you cannot sue, continue a lawsuit, or be part of any other lawsuit against Defendant about the legal issues involved in this case. If the settlement is approved, becomes final, and is not subject to appeal, then you and all Class Members release all “Released Claims” against all “Released Parties.” “Released Claims” with respect to Plaintiff Class Members, means any and all claims, causes of action, suits, obligations, debts, demands, agreements, promises, liabilities, damages, losses, controversies, costs, expenses, and attorneys' fees of any nature whatsoever, whether based on any federal law, state law, common law, territorial law, foreign law, contract, rule, regulation, any regulatory promulgation (including, but not limited to, any opinion or declaratory ruling), common law or equity, whether known or unknown, suspected or unsuspected, asserted or un-asserted, foreseen or unforeseen, actual or contingent, liquidated or unliquidated, punitive or compensatory, as of the date of the Final Approval Order, that arise out of or relate in any way to the Released Parties’ use of an alleged "automatic telephone dialing system" or an alleged "artificial or prerecorded voice" to contact or attempt to contact Settlement Class Members in connection with debt collection, including the claims of Defendant account holders and non-account holders who are members of the Settlement Class, to the fullest extent that those terms are used, defined or interpreted by the Telephone Consumer Protection Act, 47 U.S.C. § 227, et seq., relevant regulatory or administrative promulgations and case law, including, but not limited to, claims under or for a violation of the Telephone Consumer Protection Act, 47 U.S.C. § 227, et seq., and any other statutory or common law claim arising from the alleged use of automatic telephone dialing systems and/or an alleged artificial or prerecorded voice to call cellular telephones, or pagers. “Released Parties” means Defendant, and each of its respective past, present and future parents, subsidiaries, affiliated companies and corporations, and each of their respective past, present, and future directors, officers, managers, employees, general partners, limited partners, principals, agents, insurers, reinsurers, shareholders, attorneys, advisors, representatives, predecessors, successors, divisions, joint ventures, assigns, or related entities, and each of their respective executors, successors, assigns, and legal representatives. “Released Parties” also includes I.C. System’s clients.

  12. How do I exclude myself from the settlement?

    To exclude yourself from the settlement, you must send a signed letter by mail stating that you “want to opt out of the Defendant Litigation.” Please be sure to include your name, address, current telephone number, cellular number which received the wrong number and your signature. You must mail your exclusion request postmarked no later than June 8, 2018 to:

    I.C. System Litigation
    c/o Dahl Administration
    PO Box 3614
    Minneapolis, MN 55403-0614

    You cannot exclude yourself by phone, fax or email, or online.

  13. What is the effect if I exclude myself from this settlement?

    If you ask to be excluded, you will not get any payment from this settlement. Also you cannot object to the settlement. You will not be legally bound by anything that happens in the Action. You may be able to sue (or continue to sue) Defendant in the future about the legal issues in this case.

  14. If I don’t exclude myself, can I sue the Defendant for the same thing later?

    No. Unless you exclude yourself, you give up your right to sue the Defendant and the other Released Parties for the claims that this settlement resolves. You must exclude yourself from this Class to pursue your own lawsuit. Remember, your exclusion request must be postmarked on or before June 8, 2018.

  15. If I exclude myself, can I get a payment?

    No. If you exclude yourself, you MAY NOT send in a claim form to ask for any payment from this settlement. You MAY exercise any right you may have to sue, continue to sue, continue an existing lawsuit, or be part of a different lawsuit against Defendant and/or the other Released Parties.

  16. Do I have a lawyer in the case?

    The Court appointed Abbas Kazerounian and Mathew Loker of Kazerouni Law Group, APC, Joshua Swigart and David McGlothlin of Hyde & Swigart, and Sergei Lemberg and Stephen Taylor of Lemberg Law to represent the Class. These lawyers are called Class Counsel. You will not be charged for these lawyers. The Court will determine the amount of Class Counsel’s fees and expenses, which will come from the agreed upon Settlement Fund. If you want to be represented by your own lawyer, you may hire one at your own expense.

  17. How will the lawyers and the costs of the lawsuit be paid?

    Class Counsel will request from the Court an award of attorneys’ fees and expenses and for service awards for the Representative Plaintiff. The total amount sought for attorneys’ fees, will not exceed $725,000, 25% of the Settlement Fund. The amount of costs incurred by the attorneys will not exceed $100,000. (Those costs do not include the costs incurred by the Claims Administrator in providing notice and claims administration services, estimated to be $172,500, for which compensation from the Settlement Fund will also be sought.) The amount sought as a service award for the Representative Plaintiff will not exceed $5,000. Class Counsel’s fees and expenses, and the service award will be paid from the Settlement Fund.

    Defendant has agreed not to oppose an award of attorneys' fees in an amount not to exceed $725,000, nor request for an additional award for the costs incurred in litigating the Action, such costs not to exceed $100,000. You have the right to object to the requested fees and expenses and awards. Class Counsel will file their papers in support of final approval of the settlement and their application for attorneys’ fees and reimbursement of expenses and for service awards to the Representative Plaintiff no later than 30 days prior to the deadline for objecting to the Settlement. These papers will also be posted in the Settlement Documents section of this website.

  18. How do I tell the Court if I don’t like the settlement?

    If you are a Class Member, you may object to the settlement if you do not like or agree with any part of it. You may give reasons why you think the Court should not approve the Settlement and the Court will consider your views (called "objections"). To object, you must file your objection with the Court and provide a copy to Class Counsel and to defense counsel at the addresses set forth below saying you object to the proposed settlement in Michael Reid, individually and on behalf of all others similarly situated vs. I.C. System Inc., Case No. 12 CV 2661 ROS. Be sure to include your name, address, telephone number, that you are a Class Member, and your signature, and state the reasons why you object to the settlement. Your objection and any supporting papers must be filed with the Court, located at U.S. District Court, District of Arizona, 401 West Washington Street, Phoenix, AZ 95003, and the copies mailed to the following addresses, postmarked no later than June 8, 2018:

    Class Counsel:
    Abbas Kazerounian, Esq.
    Kazerouni Law Group, APC
    245 Fischer Avenue, Unit D-1
    Costa Mesa, CA 92626-4539

    Defense Counsel:
    Sean Flynn, Esq.
    Gordon & Rees LLP
    2211 Michelson Drive, Suite 400
    Irvine, CA 92612

  19. What’s the difference between objecting and excluding?

    Objecting is simply telling the Court that you do not like something about the settlement. You can object only if you stay in the Class. Excluding yourself is telling the Court that you don’t want to be part of the Class. If you exclude yourself, you have no basis to object, because the case no longer affects you.

  20. When and where will the Court decide whether to approve the settlement?

    The Court will hold a Fairness Hearing on July 18, 2018 at 1:00 p.m. at the Sandra O’Connor U.S. Courthouse, 401 West Washington Street, Phoenix, AZ 85003. At this hearing, the Court will consider whether the settlement is fair, reasonable, and adequate. If there are objections, the Court will consider them and the Court will listen to people who have asked to speak at the hearing. The Court may also consider how much to pay Class Counsel. After the hearing, the Court will decide whether to approve the settlement. We do not know how long these decisions will take.

  21. Do I have to come to the hearing?

    No. Class Counsel will answer any questions the Court may have. You are welcome to come at your own expense. If you send an objection, you do not have to come to Court and talk about it. As long as your written objection is received on time, the Court will consider it. You may also pay your own lawyer to attend, but it’s not necessary. Finally, you may seek to intervene in the Action, but you do not need to do so.

  22. May I speak at the hearing?

    You may ask the Court for permission to speak at the Fairness Hearing. To do so, you must send a letter titled “Notice of Intention to Appear” in “Michael Reid, individually and on behalf of all others similarly situated vs. I.C. System Inc., Case No. 12 CV 2661 ROS.” Be sure to include your full name, address, telephone number, that you are a Class Member, and your signature. Your Notice of Intention to Appear must be received by Class Counsel and defense counsel at the addresses in Question 18, no later than June 8, 2018. You cannot speak at the hearing if you exclude yourself.

  23. What happens if I do nothing at all?

    If you do nothing, you will not receive a payment. If you do not exclude yourself from the Class, you will not be able to start a lawsuit, continue with a lawsuit, or be part of any other lawsuit against Defendant or the Released Parties about the legal issues raised in this case, ever again.

  24. Are there more details about the settlement?

    The Notice summarizes the proposed settlement. More details appear in the Settlement Agreement and Release of Claims (the "Agreement"). Copies of the Agreement and the pleadings and other documents relating to the case are on file at the United States District Court for the District of Arizona and may be examined and copied at any time during regular office hours at the Office of the Clerk, U.S. Courthouse, 401 West Washington Street, Phoenix, AZ 85003. The Settlement Agreement is also available here.

  25. How do I get more information?

    To get more information you may contact the Settlement Administrator by email at, by mail at Reid v IC System Class Action Settlement, PO Box 3614, Minneapolis, MN 55403-0614 or by phone at 1-888-384-1523.

    You should not direct questions to the Court