SEATTLE (Legal Newsline) - A $4.55 million settlement has been reached and finalized in a class action lawsuit against Best Buy after consumers claimed it violated the Telephone Consumer Protection Act by making unsolicited telephone calls.
The settlement requires Best Buy to pay $4.55 million into a settlement fund out of which claimants will receive their pro rata share, according to the order filed June 9 in the U.S. District Court for the Western District of Washington.
After deducting the requested court-awarded fees, litigation expenses, settlement administration costs and the class representative incentive award, the net proceeds to the settlement class are estimated to be $3.2 million.
The Washington class consists of 439,000 class members and the national class consists of 42,000 class members, according to the settlement document.
It is estimated that class members will receive between $50 and $100 per call.
"The plaintiffs reached this estimate by first subtracting the estimated settlement costs from the gross settlement fund to determine the estimated 'net settlement fund,'" the order states.
Michael Chesbro is to receive a $5,000 service award for services he has rendered to the classes by stepping forward to bring this case, according to the document.
Class counsel is seeking 25 percent of the fund, inclusive of costs they advanced in furtherance of the case, which is approximately $1.14 million.
The lawsuit was first filed in April 2010, when Chesbro claimed Best Buy automatically signed customers up for its Rewards Zone program without their knowledge when they purchased electronics under a payment plan. Best Buy then called them with information about that program.
The lawsuit was removed to federal court in May 2010.
The plaintiffs are represented by Kim Williams of Williamson & Williams; and Beth E. Terrell of Terrell Marshall Daudt & Willie.
Best Buy is represented by K. Michael Fandel, David C. Lundsgaard and Aimee K. Decker of Graham & Dunn; and Anne M. Lockner, Michael D. Reif, Denise Rahne and David Leichtman of Robins, Kaplan, Miller & Ciresi.
The case was assigned to District Judge Richard A. Jones.
U.S. District Court for the Western District of Washington case number: 2:10-cv-00774
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