Bass v. Imperial Fire & Casualty Insurance Co
1:22-cv-00550
| W.D. La. | Aug 15, 2025Background
- Plaintiffs filed a class action against Imperial Fire & Casualty Insurance Company alleging improper denial of sales tax and transfer fees in Louisiana total auto loss claims.
- Parties reached a Settlement Agreement, subject to court approval, proposing a class covering insureds with such claims within a defined period who did not opt out.
- The court previously granted preliminary approval and conditional certification, required extensive notice, and held two fairness hearings due to initial concerns about class notice and participation rates.
- After further notice rounds, claim submissions increased from 10% to 25.5% of eligible class members, and no class members opted out or objected.
- The final order approved the settlement, certified the class for settlement purposes, awarded attorneys’ fees (33% of the actual settlement fund), expenses, and a service award for the representative, and dismissed all released claims with prejudice.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Final Approval of Settlement | Settlement is fair, reasonable, and beneficial to class members | Settlement terms are adequate; complies with legal standards | Approved; settlement is fair, reasonable, adequate |
| Class Certification | Requirements of Rule 23 are met for settlement-specific certification | No significant objection; standards under Rule 23(a) and (b) satisfied | Certified class for settlement purposes |
| Attorneys’ Fees | Requested percentage fee or lodestar; fees justified by results and risks | Argued against higher fee based on non-monetary benefits or inflated value | Capped at 33% of cash benefit; no future benefit |
| Value of Future Benefits | Future practice changes warrant inclusion in valuation of relief | Changes largely pre-existed and/or required by law—minimal new value created | Not included in settlement value |
Key Cases Cited
- Turner v. Murphy Oil USA, Inc., 472 F. Supp. 2d 830 (strong policy favoring settlement of disputes)
- Reed v. General Motors Corp., 703 F.2d 170 (factors for court approval of class settlements)
- Johnson v. Georgia Highway Exp., Inc., 488 F.2d 714 (factors for assessing reasonableness of attorneys' fees)
- Union Asset Mgmt. Holding A.G. v. Dell, Inc., 669 F.3d 632 (percentage method for attorneys’ fee calculation)