Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-casd-3_06-cv-02238/USCOURTS-casd-3_06-cv-02238-0/pdf.json

Nature of Suit Code: 710
Nature of Suit: Fair Labor Standards Act
Cause of Action: 28:1332 Diversity-Employment Discrimination

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LEGAL_US_W # 56547569.1 

UNITED STATES DISTRICT COURT 

SOUTHERN DISTRICT OF CALIFORNIA 

STEVEN C. HUANG, on behalf of 

himself and all others similarly-situated, 

Plaintiffs, 

vs. 

SBC SERVICES, INC., a Missouri 

corporation; AT&T SERVICES, INC., 

a Delaware corporation and DOES 1 

through 500, Inclusive, 

Defendants. 

CASE NO. 06CV2238-WMc 

ORDER FOR PRELIMINARY 

APPROVAL OF CLASS ACTION 

SETTLEMENT, TEMPORARY AND 

CONDITIONAL CERTIFICATION AS 

A CLASS ACTION, SETTING OF A 

FAIRNESS DETERMINATION 

HEARING AND APPROVAL OF 

NOTICE TO CLASS 

Complaint Filed: October 5, 2006 

Trial Date: None Set 

The Court, having fully reviewed the Joint Motion for Preliminary Approval of 

Class Action Settlement, the supporting Points and Authorities, Declaration of 

Isam C. Khoury, the Settlement Agreement, Notice of Proposed Class Action Settlement 

and Claim Form, and the Proposed Order Granting Preliminary Approval, and in 

recognition of the Court’s duty to make a preliminary determination as to the 

reasonableness of any proposed Class Action settlement, and if preliminarily determined 

to be reasonable, to ensure proper notice is provided to Class Members in accordance with 

due process requirements; and to conduct a Final Approval hearing as to the good faith, 

Case 3:06-cv-02238-WMC Document 24 Filed 10/09/07 Page 1 of 7
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LEGAL_US_W # 56547569.1 -1- 

fairness, adequacy and reasonableness of any proposed settlement, THE COURT 

HEREBY MAKES THE FOLLOWING DETERMINATIONS AND ORDERS: 

1. The Court finds, on a preliminary basis, that the Settlement Agreement, 

incorporated in full by this reference and made a part of this Order of Preliminary 

Approval, appears to be within the range of reasonableness of a settlement which could 

ultimately be given final approval by this Court; the Court notes that Defendants SBC 

Services, Inc., AT&T Services, Inc., Ameritech Services, Inc., AT& T Labs, Inc., AT&T 

Operations, Inc., Pacific Bell Directory, Pacific Bell Information Services, Pacific Bell 

Telephone Company, PBD Holdings dba Digital Graphics Advantage, SBC Advanced 

Solutions, Inc., SBC Internet Services, Inc., and SBC Long Distance, Inc. (“AT&T”) have 

agreed to pay the Maximum Settlement Amount of up to $11,200,000, plus the 

employer’s share of payroll taxes, to the Plaintiff, Class Members, the Class 

Representative, Class Counsel, the Claims Administrator, and the State of California 

Labor Workforce and Development Agency, in full satisfaction of the claims as more 

specifically described in the Settlement Agreement; 

It further appears to the Court, on a preliminary basis, that the settlement is fair and 

reasonable to Class Members when balanced against the probable outcome of further 

litigation relating to class certification, liability and damages issues, and potential appeals 

of rulings. It further appears that significant informal discovery, investigation, research, 

and litigation has been conducted such that counsel for the Parties at this time are able to 

reasonably evaluate their respective positions. It further appears that settlement at this 

time will avoid substantial costs, delay and risks that would be presented by the further 

prosecution of the litigation. It also appears that the proposed Settlement has been 

reached as the result of intensive, informed and non-collusive negotiations between the 

Parties; 

Case 3:06-cv-02238-WMC Document 24 Filed 10/09/07 Page 2 of 7
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LEGAL_US_W # 56547569.1 -2- 

ACCORDINGLY, GOOD CAUSE APPEARING, THE MOTION FOR ORDER 

OF PRELIMINARY APPROVAL OF CLASS ACTION SETTLEMENT IS HEREBY 

GRANTED; AND AS A PART OF SAID PRELIMINARY APPROVAL, THE COURT 

HEREBY ACCEPTS AND INCORPORATES THE PARTIES’ SETTLEMENT 

AGREEMENT AND HEREBY TEMPORARILY AND CONDITIONALLY CERTIFIES 

THE CLASS FOR SETTLEMENT PURPOSES ONLY PURSUANT TO THE TERMS 

AND CONDITIONS CONTAINED IN SAID SETTLEMENT AGREEMENT. 

2. The Court finds that the Notice of Proposed Class Action Settlement and 

Claim Form advise of the pendency of the Class Action and of the proposed settlement, of 

preliminary Court approval of the proposed Settlement, claim submission timing and 

procedures, opt-out timing and procedures, and of the Final Approval Hearing. These 

documents fairly and adequately advise Class Members of the terms of the proposed 

Settlement and the benefits available to Class Members thereunder, as well as their right 

to “Opt-Out” and procedures for doing so, and of the Final Approval Hearing and the right 

of Class Members to file documentation in support or in opposition and to appear in 

connection with said hearing; the Court further finds that said Notice clearly comports 

with all constitutional requirements including those of due process; 

ACCORDINGLY, GOOD CAUSE APPEARING, THE COURT HEREBY 

APPROVES THE PROPOSED NOTICE OF PROPOSED CLASS ACTION 

SETTLEMENT AND THE PROPOSED CLAIM FORM; 

3. The mailing to the present and last known addresses of the Class Members 

constitutes an effective method of notifying Class Members of their rights with respect to 

the Class Action and Settlement; ACCORDINGLY, IT IS HEREBY ORDERED as 

follows: 

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LEGAL_US_W # 56547569.1 -3- 

 

(a) On or before October 22, 2007 (14 days after entry of Preliminary 

Approval), AT&T shall forward to the appointed Claims Administrator, Rust Consulting, 

Inc., a database (in an electronic spreadsheet format) of all Class Members, including the 

names, last known addresses and telephone numbers, dates of employment in Covered 

Positions, social security numbers, and respective total weeks worked during the Covered 

Period, October 5, 2002 through June 30, 2007; 

(b) On or before November 8, 2007, (30 days after entry of Preliminary 

Approval), the Claims Administrator, Rust Consulting, Inc., shall mail to each member of 

the Settlement Class1

, by first class, postage pre-paid, the Notice of Class Action 

Settlement, Claim Form, Exclusion Form, and a postage-paid envelope addressed to the 

Claims Administrator. 

All mailings shall be made to the present and/or last known mailing 

address of the Class Members based on AT&T’s records, as well as addresses that may be 

located by the Claims Administrator, who will conduct standard address searches in cases 

of returned mail. The Court finds that the mailing of notices to Class Members as set 

forth in this paragraph is the best means practicable by which to reach Class Members and 

is reasonable and adequate pursuant to all constitutional and statutory requirements 

including all due process requirements. 

1

 The Settlement Class is defined in the Settlement Agreement as follows: The named 

Plaintiff, Steven C. Huang, and all current and former employees of SBC Services, Inc., 

AT&T Services, Inc., Ameritech Services, Inc., AT&T Labs, Inc., AT&T Operations, 

Inc., Pacific Bell Directory, Pacific Bell Information Services, Pacific Bell Telephone 

Company, PBD Holdings dba Digital Graphics Advantage, SBC Advanced Solutions, 

Inc., SBC Internet Services, Inc., and/or SBC Long Distance, Inc. (collectively referred to 

as “AT&T”) who were employed as Senior Communications Specialists, Senior Systems 

Analysts and/or Systems Analysts (“Covered Positions”) in the State of California at any 

time during the Covered Period, October 5, 2002 through June 30, 2007. (Settlement 

Agreement, ¶¶ I. 5, 12, 13.) 

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(c) On or before December 23, 2007, (15 days before the Claims Period 

deadline/ 45 days after mailing the Class Notice), the Claims Administrator, Rust 

Consulting, Inc., shall mail a “reminder” post-card to those Class Members who have not 

responded to the Notice of Proposed Class Action Settlement with the return of a Claim 

Form, or an Exclusion Form, reminding them of the deadline in which to act to make a 

claim. 

4. IT IS FURTHER ORDERED that all: 

(a) Requests for Exclusion (“opt-out requests”) must be mailed to the 

Claims Administrator, Rust Consulting, Inc., postmarked on or before December 8, 2007, 

(30 days after mailing of the Class Notice.) 

(b) Objections must be filed with the Court as described in the Class 

Notice on or before December 8, 2007, (30 days after mailing of the Class Notice) and 

served on Counsel for the Plaintiff and on Counsel for AT&T. 

(c) Claim Forms must be mailed to the Claims Administrator, 

postmarked on or before January 7, 2008, (60 days after mailing of the Class Notice.) 

5. IT IS FURTHER ORDERED that the Final Approval Hearing shall be held 

before the undersigned at 9:30 a.m. on March 12, 2008, at the above-entitled court located 

at the 940 Front Street, Dept. 10, San Diego, California 92101 to consider the fairness, 

adequacy and reasonableness of the proposed Settlement preliminarily approved by this 

Order of Preliminary Approval, and to consider the application of Class Counsel 

Cohelan & Khoury for an award of reasonable attorneys’ fees, litigation expenses, class 

representative enhancement, and for costs of claims administration incurred; 

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LEGAL_US_W # 56547569.1 -5- 

6. IT IS FURTHER ORDERED all briefs in support of the proposed 

Settlement shall be served and filed with the Court on or before March 5, 2008. 

7. IT IS FURTHER ORDERED that pending final determination of whether 

this proposed Settlement should be granted final approval, no Class Member, either 

directly or representatively, or in any other capacity, shall commence or prosecute any 

action or proceeding asserting any of the Class Members’ Released Claims, as defined in 

the Settlement Agreement, against AT&T in any court or tribunal; 

8. IT IS FURTHER ORDERED that any party to this case, including Class 

Members, may appear at the Final Approval Hearing in person or by counsel, and may be 

heard to the extent allowed by the Court, in support of or in opposition to, the Court’s 

determination of the good faith, fairness, reasonableness and adequacy of the proposed 

Settlement, the requested attorneys’ fees and litigation expenses, and any Order of Final 

Approval and Judgment regarding such Settlement, fees and expenses; provided, however, 

that no person, except Class Counsel and counsel for AT&T, shall be heard in opposition 

to such matters unless such person has complied with the conditions set forth in the Notice 

of Proposed Class Action Settlement which conditions are incorporated therein; 

9. IT IS FURTHER ORDERED that in the event of the occurrence of the 

Settlement Effective Date, as defined in the Settlement Agreement, all Class Members, 

except those who have requested exclusion from the settlement, and their successors shall 

conclusively be deemed to have given full releases of any and all Class Members’ 

Released Claims as defined in the Settlement Agreement against AT&T, its former and 

present parents, subsidiaries, affiliated corporations and entities, and each of their 

respective officers, officials, directors, employees, partners, shareholders and agents, any 

other successors, assigns or legal representatives (“Class Members’ Released Parties”) 

and all such Class Members and their successors shall be permanently enjoined and 

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forever barred from asserting any Class Members’ Released Claims against any Class 

Members’ Released Parties as described by the Settlement Agreement; 

10. IT IS FURTHER ORDERED that if, for any reason, the Court does not 

execute and file an Order of Final Approval, or if the Settlement Effective Date does not 

occur for any reason whatsoever, the proposed Settlement Agreement and the proposed 

Settlement subject of this Order and all evidence and proceedings had in connection 

therewith, shall be without prejudice to the status quo ante rights of the parties to the 

litigation as more specifically set forth in the Settlement Agreement. 

11. IT IS FURTHER ORDERED that, pending further order of this Court, all 

proceedings in this matter except those contemplated herein and in the Settlement 

Agreement are stayed. 

12. The Court expressly reserves the right to adjourn or continue the Final 

Approval Hearing from time-to-time without further notice to the Class Members. 

IT IS SO ORDERED. 

Dated: October 9, 2007 

 

U.S. MAGISTRATE JUDGE 

SOUTHERN DISTRICT OF CALIFORNIA 

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