Vivid Seats Covid-19 Refunds Class Action Settlement Gets Final Approval
United States District Judge Robert M. Dow, Jr. approved the $7.5 million class action settlement between Vivid Seats and ticket buyers who stated the company modified its refund policy for canceled events following the outbreak of COVID-19.
Timothy Nellis et al. v. Vivid Seats Ltd. et al.
Order Granting the Final Approval of the Settlement
In a 16-page ruling issued on November 1, 2021, Judge Dow stated that notice of the Vivid Seats Covid-19 Refund Settlement had been delivered to the email addresses of approximately 934,000 Class Members or at least 97% of the people covered by the settlement. Judge Dow described the settlement as fair, reasonable, and adequate in his order.
Judge Dow broadened the Class to include any residents of the United States and Canada who purchased a ticket from Vivid Seats LLC to an event that was either canceled, rescheduled, or postponed owing to COVID-19 prior to the settlement’s preliminary approval in April.
Timothy Nellis, Janel Dranes, Lucy Sousa, David Castillo, and Edward Camarena, on behalf of themselves and the Settlement Class, and Defendant Vivid Seats LLC, agreed to the Settlement Agreement on or around March 3, 2021.
On March 18, 2021, the Court held a preliminary approval hearing, and on April 1, 2021, the Court granted the preliminary approval of the Vivid Seats Covid-19 Refund Settlement, provisionally approving class certification for the settlement.
The Court conducted a final approval hearing on the plaintiffs’ motion for final approval of the class action settlement and the plaintiffs’ motion for attorneys’ fees and expenses, as well as incentive awards from the class settlement fund, on October 27, 2021. The Court heard the parties’ arguments too.
The Court has thoroughly investigated and considered the settlement agreement, as well as the petitions for attorneys’ fees and expenses and service awards, through a summary of facts, exhibits, and argument at the final approval hearing.
The Vivid Seats Covid-19 Refund Settlement funds are to be used to refund customers who bought tickets for canceled events from Vivid Seats. Additionally, the agreement extended the deadline for the company’s credits to be used until December 31, 2022.
Customers will be refunded the same amount they paid for canceled events; but, if additional claims exceed the settlement amount, each claimant’s fund will be reduced by an equal percentage.
About the Lawsuit: Timothy Nellis et al. v. Vivid Seats Ltd. et al.
Vivid Seats was the subject of a proposed class action lawsuit filed on April 23, 2020, alleging that the third-largest secondary ticket market violated its “100% Buyer Guarantee” by refusing to offer refunds for events cancellations caused by the COVID-19 pandemic.
The claim against Vivid Seats Ltd., together with Vivid Seats LLC, alleged that the companies’ efforts to “retroactively discontinue” their long-standing 100% money-back guarantee was an attempt to force consumers to bear the financial consequences of the foreseeable scenario in which world events force the simultaneous cancellation of numerous public events.
Vivid Seats was accused of unjust enrichment, breach of contract, and negligent misrepresentation, in addition to violating multiple state consumer statutes.
Editor’s Note on Vivid Seats Covid-19 Refund Settlement:
This article is written to inform you of the latest update regarding the class action lawsuit against Vivid Seats over refusal to issue refunds. A similar settlement was also reached by StubHub.
Case Name & No.: Timothy Nellis et al. v. Vivid Seats Ltd. et al., Case No. 20-cv-2486
Jurisdiction: United States District Court for the Northern District of Illinois, Eastern Division
Allegations: Vivid Seats allegedly refused to offer refunds for events cancellations due to the COVID-19 pandemic
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