HelloFresh Enters Into Agreement, Asks Court To Approve Settlement Amounting To $14 Million
HelloFresh customers are seeking the court’s approval to let the class action lawsuit settlement between them and the company push through.
Amounting to $14 million, the HelloFresh settlement will be considered one of the biggest of its kind in the locality.
How Did It Get To This Point
The settlement agreement originated from the complaint filed against HelloFresh alleging the company of several violations of the Telephone Consumer Protection Act or TCPA.
According to the latest court filings, a settlement was entered between the involved parties as early as February this year.
Lead plaintiff Grace Murray argued that the food delivery company violated the provisions of the TCPA when they made marketing calls to their customers using a prohibited automatic dialing system.
Additionally, HelloFresh reportedly called customers whose names belong to the National Do Not Call Registry and those who specifically asked the company to stop directing them marketing calls.
Settlement Biggest In Local History
Reports tout the settlement agreement as to the largest of its kind in the local Massachusetts federal court history.
In the agreement’s initial details, HelloFresh is expected to pay out an amount of $14 million to cover different expenses and pay the certified class members who joined the lawsuit proceedings.
Details suggest that the said amount will be used to pay service awards to the plaintiffs, attorney fees and costs, and administrative costs.
After all of the said amount is paid for, the remaining money would then be subdivided amongst class members. It is expected that each one would receive $89 worth of payout checks.
Four million people were initially contacted by the authorities to ask for their consent to join the settlement. More than a hundred thousand individuals also filed their settlement claims before the set deadline.
A Sole Party Objects
However, one class member believed that the settlement amount was not enough to cover all of the punitive damages inflicted by HelloFresh’s actions.
In violating the safety provisions of the TCPA, Sarah McDonald contended that the settlement amount should amount to $7.2 billion compared to the smaller agreed amount.
She also made several allegations questioning the settlement details putting forward a theory that the class counsel did not do its part in representing the class members’ best interest.
Meanwhile, the class legal team argued that the settlement amount is enough and on par compared to past cases of the same scope and how much they ended up paying as damages.
Editor’s Note on HelloFresh Settlement Details 2021:
This news report brings you the latest developments in the class action settlement between HelloFresh and its customers concerning the claims that the company has made several violations of the federal TCPA.
Case Name(s) & No.: Murray v. Grocery Delivery E-Services USA, Inc.; Case No. 1:19-cv-12608
Jurisdiction: United States District Court for the District of Massachusetts
Allegation(s): HelloFresh has committed transgressions in the protective provisions of the Telephone Consumer Protection Act or TCPA through its illegal marketing phone calls.
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