Faught, et al. v. Shepard, et al., No. 10-12496 (11th Cir. 2011)
Annotate this CaseThis appeal was the consolidation of four appeals brought by objectors to a class action settlement. The underlying case involved allegations that AHS engaged in a pattern of wrongfully denying claims under its home warranty contracts. Two class action lawsuits resulted from these allegations: the first was brought in California state court (Edleson Action) and this case, originally filed in the Northern District of Alabama. After the California court rejected a proposed settlement in the Edleson Action, the parties in this case reached a settlement agreement, which the district court approved. Four sets of objectors appealed. The court held that the district court did not abuse its discretion in finding that the reference to the Edleson agreement and the other information at issue provided reasonable notice under the circumstances. The court also held that the district court did not abuse its discretion when it reviewed the validity of the settlement action and rejected objectors' claims to the contrary. The court finally held that the district court did not abuse its discretion in awarding attorneys' fees. Accordingly, the judgment of the district court was affirmed.
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