Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-1_05-cv-00032/USCOURTS-caed-1_05-cv-00032-5/pdf.json

Nature of Suit Code: 791
Nature of Suit: Employee Retirement Income Security Act (ERISA)
Cause of Action: 29:1145 E.R.I.S.A.

---

{6493/002/00197750.DOC} 1 

____________________________________________________________________________________________________ 

NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE OF FINAL SETTLEMENT HEARING 

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

LEWIS, FEINBERG, RENAKER & JACKSON, P.C. 

1330 Broadway, Suite 1800 

Oakland, California 94612 

Telephone: (510) 839-6824 

Facsimile: (510) 839-7839 

Daniel M. Feinberg #135983 

Vincent Cheng #230827 

Attorneys for: Plaintiff Arturo Aguilar, individually and in his representative capacity 

SAGASER, JONES & HAHESY

2445 Capitol Street, 2nd Floor 

Post Office Box 1632 

Fresno, California 93717-1632 

Telephone: (559) 233-4800 

Facsimile: (559) 233-9330 

William C. Hahesy #105743 

Rose M. Huelskamp #229173 

Attorneys for: Defendants Melkonian Enterprises, Inc., and Mark Melkonian 

UNITED STATES DISTRICT COURT 

EASTERN DISTRICT OF CALIFORNIA 

ARTURO AGUILAR, individually and on 

behalf of all other similarly situated, 

 Plaintiffs, 

v. 

MELKONIAN ENTERPRISES, INC., and 

MARK MELKONIAN 

 Defendants. 

Case No. CV-F-05-00032 OWW LJO 

NOTICE OF CLASS ACTION 

SETTLEMENT AND NOTICE OF FINAL 

SETTLEMENT HEARING 

FINAL SETTLEMENT HEARING 

DATE: January 22, 2007 

CTRM. NO.: Three (3) 

TIME: 10:00 a.m. 

JUDGE: Honorable Oliver W. Wanger

NOTICE OF PROPOSED CLASS ACTION SETTLEMENT 

TO: ALL PERSONS who are or were participants in and beneficiaries of (1) the 

Melkonian Enterprises, Inc. Employee Pension Plan (the “Pension Plan”), which is 

also known as the Amended Employees’ Pension Plan of Melkonian Enterprises, 

Inc. and the Restated Employees Money Purchase Plan of Melkonian Enterprises, 

Inc. and the Restated Employees Money Purchase Plan of Melkonian Enterprises, 

PDF created with pdfFactory trial version www.pdffactory.com

Case 1:05-cv-00032-OWW -LJO Document 41 Filed 10/17/06 Page 1 of 14
{6493/002/00197750.DOC} 2 

____________________________________________________________________________________________________ 

NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE OF FINAL SETTLEMENT HEARING 

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

Inc., and/or (2) the Melkonian Enterprises, Inc. Profit Sharing Plan (“Profit 

Sharing Plan”) During the Period from January 6, 1999 to October 2, 2006 

(the “CLASS”) 

PLEASE READ THIS NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE 

OF FINAL SETTLEMENT HEARING (“NOTICE”) CAREFULLY. 

I. INTRODUCTION

 1. The Parties to the above class action (the “Lawsuit”) have reached a 

proposed settlement (the “Settlement”). The United States District Court, Eastern District of 

California, has preliminarily approved the Settlement. This Notice informs you about the 

nature of the Lawsuit, and the terms of and your rights under the proposed Settlement. Under 

the terms of the Settlement, which are described in more detail below, Defendants Melkonian 

Enterprises, Inc. and Mark Melkonian (“Defendants”) will pay a sum of two hundred ninetyfive thousand dollars ($295,000). The Settlement will resolve and release all claims asserted in 

or arising out of the Lawsuit. A Final Settlement Hearing will be held on January 22, 2007, at 

10:00 a.m. to determine whether the Settlement should be granted final approval. Because the 

Settlement may affect your legal rights, it is extremely important that you read this 

Notice carefully. If you desire to participate in the Settlement, you do not need to appear 

at the hearing or do anything further. You will be included in the Class and subject to 

the terms of the Settlement and Final Judgment if the Court grants final approval to the 

Settlement. However, if you desire to object to the Settlement, you must comply with the 

requirements stated in paragraphs 16 and 17 below. 

II. WHY SHOULD I READ THIS NOTICE?

2. If you received this Notice, it is because it is believed that you are or 

were a participant in or beneficiary of either the Pension Plan or the Profit Sharing Plan, or 

both, during the period January 6, 1999 to October 2, 2006, and that you are thus a member of 

the Class. If that is correct, then the information contained in this Notice affects your legal 

rights. 

// 

// 

PDF created with pdfFactory trial version www.pdffactory.com

Case 1:05-cv-00032-OWW -LJO Document 41 Filed 10/17/06 Page 2 of 14
{6493/002/00197750.DOC} 3 

____________________________________________________________________________________________________ 

NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE OF FINAL SETTLEMENT HEARING 

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

III. WHAT IS A CLASS ACTION?

3. A class action is a lawsuit in which the claims and rights of many people 

are decided in a single court proceeding. In a class action, a representative plaintiff, also 

known as a class representative, files a lawsuit on behalf of the entire class. This avoids the 

necessity for a large number of individual lawsuits and enables the court to resolve similar 

claims efficiently. In a class action, the court supervises the prosecution of class claims by 

class counsel to insure fairness. 

IV. PURPOSE OF THIS NOTICE

4. The United States District Court, Eastern District of California has 

ordered that this Notice be sent to you because you may be a Class Member. The purpose of 

this Notice is to inform you of the Settlement of this class action and your potential rights under 

it. 

V. THE CLASS AND CLASS COUNSEL

5. The Class is all participants in and beneficiaries of the Pension Plan 

and Profit Sharing Plan during the period from January 6, 1999 to October 2, 2006, 

excluding Dennis Melkonian, Douglas Melkonian, Mark Melkonian, Susan Melkonian, also 

known as Marla Sloane, Victoria Melkonian, and Violet Melkonian. The Court has 

appointed the following law firm as Class Counsel: 

Daniel M. Feinberg 

Vincent Cheng 

LEWIS, FEINBERG, RENAKER & JACKSON, P.C. 

1330 Broadway, Suite 1800 

Oakland, California 94612 

Telephone: (510) 839-6824 

Facsimile: (510) 839-7839 

VI. SUMMARY OF THE LITIGATION

 6. On January 6, 2005, Arturo Aguilar (at times referred to as “the 

Representative Plaintiff”) filed the Lawsuit against Defendants in the United States District 

Court, Eastern District of California, Action No. CV-F-05-0032 OWW LJO. Both Defendants 

have answered the Complaint. 

PDF created with pdfFactory trial version www.pdffactory.com

Case 1:05-cv-00032-OWW -LJO Document 41 Filed 10/17/06 Page 3 of 14
{6493/002/00197750.DOC} 4 

____________________________________________________________________________________________________ 

NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE OF FINAL SETTLEMENT HEARING 

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

 7. The Representative Plaintiff alleges that the Plans suffered investment 

losses for various years, including 1999 through and 2003. The Representative Plaintiff also 

alleges that Melkonian Enterprises, Inc. failed to inform him and the Class that the Pension Plan 

had been terminated or merged into the Profit Sharing Plan as of April 1, 2001. He further 

alleges that as a result of such failure, the termination of the Pension Plan was void. 

 8. The Representative Plaintiff alleges two claims. The First Claim for 

Relief alleges that Defendants breached their fiduciary duties by not prudently investing the 

Plan assets. The Second Claim for Relief alleges that Defendant Melkonian Enterprises, Inc. 

failed to provide proper notice of the termination of the Pension Plan or the merger of the Plans. 

 9. The Complaint seeks, among other things, a declaration that Defendants 

breached their fiduciary duties, an order requiring Defendants to restore the losses to the Plans, a 

declaration that the termination of the Pension Plan was void, attorneys’ fees, and prejudgment 

interest. 

 10. Defendants deny the allegations in the Complaint and have asserted 

defenses to the Representative Plaintiff’s claims. Defendants agreed to this Settlement without 

any admission of wrongdoing or liability whatsoever. 

11. The Court has made no determination on the merits of the 

Representative Plaintiff’s claims; it has determined that, for purposes of settlement only, the 

Representative Plaintiff satisfied the requirements to maintain the Lawsuit as a class action. 

 12. On October 2, 2006, the Court heard the Representative Plaintiff’s 

Motion for Order Conditionally Certifying a Settlement Class, Preliminarily Approval of the 

Joint Stipulation of Settlement, Approving Notice of Class Action Settlement and Setting the 

Final Settlement Hearing. As a result of that hearing, the Court made the following initial 

findings and rulings, among others: 

 a. That the Settlement set forth in the Joint Stipulation is 

preliminarily approved. A Final Settlement Hearing is set to determine whether the Settlement 

shall be granted final approval; 

b. Pursuant to Rule 23(b)(1) and (b)(2) of the Federal Rules of Civil 

PDF created with pdfFactory trial version www.pdffactory.com

Case 1:05-cv-00032-OWW -LJO Document 41 Filed 10/17/06 Page 4 of 14
{6493/002/00197750.DOC} 5 

____________________________________________________________________________________________________ 

NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE OF FINAL SETTLEMENT HEARING 

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

Procedure, the Court has conditionally certified a Class described as follows: All participants 

in and beneficiaries of both Plans from January 6, 1999 through October 2, 2006, excluding 

Dennis Melkonian, Douglas Melkonian, Mark Melkonian, Susan Melkonian, also known as 

Marla Sloane, Victoria Melkonian, and Violet Melkonian. 

c. That Arturo Aguilar, the Representative Plaintiff is able to 

adequately represent the Class; 

 d. That Daniel M. Feinberg and Vincent Cheng of Lewis, Feinberg, 

Renaker & Jackson, P.C., 1330 Broadway, Suite 1800, Oakland, California 94612, (510) 839-

6824 (business telephone number) and (510) 839-7839 (facsimile number) are appointed as 

Class Counsel; and 

e. That Rosenthal & Company, LLC, is appointed as the Settlement 

Administrator. 

VII. STATEMENT BY CLASS COUNSEL

 13. Class Counsel has thoroughly investigated the facts alleged in and the law 

applicable to the Lawsuit, as well as the potential defenses to it. Such investigation has included 

reviewing thousands of pages of documents, taking and defending depositions, and interviewing 

potential witnesses. On December 12, 2005, Plaintiff and Defendants participated in a 

Settlement Conference before the Honorable Lawrence J. O’Neill, United States Magistrate 

Judge, at which Plaintiff and Defendants entered into the Settlement. 

 14. Class Counsel believes that the Settlement is fair, reasonable, adequate, 

and is in the best interest of the Class in light of all known facts and circumstances, including 

the risk of significant delay and the defenses that Defendants are asserting. Class Counsel has 

fully advised the Representative Plaintiff of the Settlement, and the Representative Plaintiff has 

approved the Settlement. 

VIII. NON-OPT OUT CLASS AND OBJECTIONS TO SETTLEMENT

 15. The Class is a non-opt-out Class. In order words, you have no right to 

exclude yourself from the Class, the Settlement or the Final Judgment. If the Court finally 

PDF created with pdfFactory trial version www.pdffactory.com

Case 1:05-cv-00032-OWW -LJO Document 41 Filed 10/17/06 Page 5 of 14
{6493/002/00197750.DOC} 6 

____________________________________________________________________________________________________ 

NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE OF FINAL SETTLEMENT HEARING 

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

approves the Settlement, you will be a Class Member and forever bound by the Settlement and 

Final Judgment. 

 16. You may object to the Settlement. If you desire to object to the 

Settlement, you may object to the Settlement by filing your objections with the Court at the 

following address: 

Melkonian Benefit Plan Settlement 

United States District Court 

Eastern District of California 

2500 Tulare Street 

Fresno, California 93721 

You must also mail a copy of your objections to each of the following: 

Class Counsel 

Daniel M. Feinberg 

Vincent Cheng 

LEWIS, FEINBERG, RENAKER & JACKSON, P.C. 

1330 Broadway, Suite 1800 

Oakland, California 94612 

Telephone: (510) 839-6824 

Facsimile: (510) 839-7839 

Defendants’ Counsel 

William C. Hahesy, Esq. 

SAGASER, JONES & HAHESY

2445 Capitol Street, 2nd Floor 

Post Office Box 1632 

Fresno, California 93717-1632 

Telephone: (559) 233-4800 

Facsimile: (559) 233-9330 

 

17. No Class Member, however, shall be heard or entitled to object, and no 

papers or briefs submitted by any such person shall be considered by the Court, unless the 

objection and/or written notice of intention to appear at the Final Settlement Hearing together 

with copies of all papers and briefs, shall have been filed with the Court by December 11, 

2006, and mailed to each addressee listed above in paragraph 16 with a postmark no later than 

December 8, 2006. All such objections and written notice of intention to appear must be 

signed and must contain your address, the address of your attorney, if any, and the name of and 

PDF created with pdfFactory trial version www.pdffactory.com

Case 1:05-cv-00032-OWW -LJO Document 41 Filed 10/17/06 Page 6 of 14
{6493/002/00197750.DOC} 7 

____________________________________________________________________________________________________ 

NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE OF FINAL SETTLEMENT HEARING 

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

case number for the case (i.e., Aguilar v. Melkonian Enterprises, Inc., et al., United States 

District Court, Eastern District of California, Case No. CV-F-05-00032 OWW LJO). If you 

submit an objection and written notice of intention to appear, you may appear personally or 

through an attorney, at your own expense, at the Final Settlement Hearing to present your 

objection directly to the Court. Your objection should clearly explain why you object to the 

Settlement and/or state whether you (or someone on your behalf) intend to appear at the Final 

Settlement Hearing. If you object to the Settlement, you will remain a member of the Class 

and will be bound by the terms of the Settlement and Final Judgment if the Court denies your 

objection and finally approves the Settlement. 

18. Any member of the Class who does not make and serve his or her 

written objections and written notice of intention to appear in the manner provided above shall 

be deemed to have waived such objections and shall be foreclosed from making any objections 

(by appeal or otherwise) to the Settlement and Final Judgment. 

19. The Court granted preliminary approval of the Settlement on October 2, 

2006. The Court will hold a Final Settlement Hearing on the Settlement in Courtroom 3, 7th

Floor, of the United States District Court, Eastern District of California, located at 2500 Tulare 

Street, Fresno, California 93721 at 10:00 a.m. on January 22, 2007, at which time the Court 

will determine whether to finally approve the Settlement. 

IX. SUMMARY OF THE TERMS OF THE SETTLEMENT AGREEMENT

20. Settlement Amount. The Settlement provides that Defendants will pay 

two hundred ninety five thousand dollars ($295,000.00) (the “Total Settlement Amount”). 

This money has already been deposited into an interest-bearing escrow account. The interest 

will be used to pay the costs of the escrow and the costs of the Settlement Administrator. 

21. Deductions. The following deductions (and any others as may be 

authorized by the Court) will be made from the Total Settlement Amount: 

a. Attorneys’ Fees and Costs. As stated in paragraph 13 above, in 

prosecuting this case on behalf of the Class, Class Counsel expended substantial hours in 

prosecuting the Lawsuit that resulted in the Settlement. They have not been paid for any of 

PDF created with pdfFactory trial version www.pdffactory.com

Case 1:05-cv-00032-OWW -LJO Document 41 Filed 10/17/06 Page 7 of 14
{6493/002/00197750.DOC} 8 

____________________________________________________________________________________________________ 

NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE OF FINAL SETTLEMENT HEARING 

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

that work. Subject to approval by the Court, Class Counsel shall receive seventy-five thousand 

dollars ($75,000.00), for attorneys’ fees, as well as costs and expenses incurred and advanced 

in connection with their work in this case. Class Members are not personally liable for the 

payment of any attorneys’ fees, costs, and expenses. 

b. Payments to Representative Plaintiff. The Court has 

preliminarily approved a payment of ten thousand dollars ($10,000.00) to be made from the 

Total Settlement Amount to Arturo Aguilar, the Representative Plaintiff. This amount will be 

paid from the Total Settlement Amount. It compensates Mr. Aguilar for acting as the 

Representative Plaintiff on behalf of the Class, and reflects his extraordinary service on behalf 

of the Class, including his work in filing the Complaint, participating in discovery, gathering 

and/or providing information, answering interrogatories and responding to other discovery, 

meeting on numerous occasions with Class Counsel to assist in preparing litigation strategy, 

participating in the Settlement Conference, and assuming the risks of costs and hardships that 

were not agreed to or experienced by the Class Members. 

 22. Net Settlement Amount. The net sum remaining after all of the above 

deductions (the “Net Settlement Amount”) is two hundred ten thousand dollars ($210,000). 

Except for the $10,000 payment to the Representative Plaintiff, the Net Settlement Amount 

represents the entire sum to be paid by Defendants to all Class Members for all claims released 

in the Joint Stipulation. The Settlement allocates the $210,000 amount as follows: (1) $189,000 

to the First Claim for Relief; and (2) $21,000 to the Second Claim for Relief. In general, these 

two amounts will be allocated to the Class Members’ accounts in the Profit Sharing Plan in 

accordance with the following formula proposed by Class Counsel: 

a. Of the $189,000 to the First Claim for Relief, 85% (or $160,650) 

will be allocated to the period from April 1, 1999 to March 31, 2002, and 5% (or $9,450) will be 

allocated to each of the fiscal years during the period from April 1, 2002 to March 31, 2005. Of 

the 85% (or $160.650), 49% (or $79,718.50) will be proportionately allocated to each Class 

Member based on his or her interest in the Pension Plan as of March 31, 2001, and 51% (or 

$81,931.50) will be proportionately allocated to each Class Member based on his or her interest 

PDF created with pdfFactory trial version www.pdffactory.com

Case 1:05-cv-00032-OWW -LJO Document 41 Filed 10/17/06 Page 8 of 14
{6493/002/00197750.DOC} 9 

____________________________________________________________________________________________________ 

NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE OF FINAL SETTLEMENT HEARING 

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

in the Profit Sharing Plan as of March 31, 2002. If a Class Member received a distribution and 

thus did not have a balance as of any of these dates, the distribution amount will be used instead 

to determine the pro rata allocation to that Class Member. 

Of the 5% (or $9,450) attributed to each of the fiscal years during the period from 

April 1, 2002 to March 31, 2005, each Class Member’s account in the Profit Sharing Plan will 

receive an allocation proportionate to his or her interest in the Profit Sharing Plan as of the end 

of that fiscal year. 

Should a Class Member’s interest in the Pension Plan or the Profit Sharing Plan 

during any of the aforementioned time periods exceed 30%, the allocation to his or her account 

will be capped at 30%, and any residual amount resulting from the 30% cap will be distributed 

among the rest of the Class Members’ accounts on a pro rata basis. Defendants take no position 

concerning the formula. 

b. Of the $21,000 to the Second Claim for Relief, each Class 

Member’s account in the Profit Sharing Plan will receive an allocation proportionate to his or 

her total compensation from Melkonian Enterprises, Inc. for the time period from April 1, 2001 

through March 31, 2005. 

 23. Release:

 a. Upon final approval by the Court of this Joint Stipulation at the 

Final Settlement Hearing, and except as to such rights or claims as may be created by this Joint 

Stipulation, the Releasors (as defined below), and each of them, will fully and finally release 

and forever discharge Releasees (as defined below), and each of them, of and from any and all 

claims, liabilities, demands, obligations, costs, expenses, restitution, restoration of benefits, 

disgorgement, equitable relief, penalties, attorneys’ fees and costs, prejudgment interest, actions 

or causes of action of whatever kind or nature, whether due or owing past, present or future, 

whether known or unknown, suspected or unsuspected, fixed or contingent, matured or 

unmatured and foreseen or unforeseen, from January 6, 1999 through the date of entry of the 

Preliminary Approval Hearing Order (“Claim Period”) on this Joint Stipulation and asserted 

and/or arising out of the Action, including without limitation: (1) any and all claims seeking to 

PDF created with pdfFactory trial version www.pdffactory.com

Case 1:05-cv-00032-OWW -LJO Document 41 Filed 10/17/06 Page 9 of 14
{6493/002/00197750.DOC} 10 

____________________________________________________________________________________________________ 

NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE OF FINAL SETTLEMENT HEARING 

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

restore to the Pension Plan and/or the Profit Sharing Plan any and all amounts that have 

allegedly been lost due to breaches of fiduciary duty by the Plans’ fiduciaries in investing the 

Plans’ assets; (2) any and all relief relating in any manner to the reduction of participants’ 

benefit accruals resulting from the merger and/or termination of the Pension Plan; (3) any and 

all relief set forth, attempted to be set forth or which could have been set forth in the First Claim 

for Relief of the Complaint; (4) any and all relief asserted, attempted to be asserted or which 

could have been set forth in the Second Claim for Relief of the Complaint; (5) any and all relief 

related to investment losses suffered by the Plan during the Claim Period; (6) any and all claims 

for relief related to account statements provided or not provided to Class Members during the 

Claim Period; (7) any and all claims relating in any manner to the alleged failure to inform 

Class Members of the merger of the Pension Plan or the purported termination of the Pension 

Plan; (8) any and all claims relating to the alleged failure to contribute monies to the Pension 

Plan on and after April 1, 2001 to the end of the Claim Period; (9) any and all claims relating in 

any manner to the settlement with Quick & Reilly; (10) any and all claims relating to breach of 

fiduciary duty concerning in any manner the trading relative to the Plan accounts; (11) any and 

all claims relating to the diversification of the investment holdings for the Plans; (12) any and 

all claims relating to the investment of the assets of either Plan; (13) any and all rights to any 

contributions to be made to the Pension Plan after March 31, 2001; (14) any and all rights to 

notification of the merger of the Pension Plan into the Profit Sharing Plan; (15) any and all 

rights relating to the termination of the Pension Plan; and (16) any and all rights relating to any 

cutbacks of benefits under, by or through the Pension Plan. 

 b. “Releasors” includes the Representative Plaintiff, the Class and 

each and every Class Member. “Releasees” are defined as Melkonian Enterprises, Inc. and 

Mark Melkonian, and each of them, and each of their respective existing and former employees, 

officers, directors, agents, servants, parent companies, subsidiaries, affiliates, stockholders, 

representatives, co-fiduciaries, fiduciaries, attorneys, and all their heirs, executors, successors, 

assignees or transferees of the foregoing. 

PDF created with pdfFactory trial version www.pdffactory.com

Case 1:05-cv-00032-OWW -LJO Document 41 Filed 10/17/06 Page 10 of 14
{6493/002/00197750.DOC} 11 

____________________________________________________________________________________________________ 

NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE OF FINAL SETTLEMENT HEARING 

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

 c. Releasors, and each of them, further waive all rights and benefits 

afforded by section 1542 of the Civil Code of the State of California, and do so understanding 

the significance of that waiver. Section 1542 provides: 

A general release does not extend to claims which the creditor 

does not know or suspect to exist in his favor at the time of 

executing the release, which if known by him must have 

materially affected his settlement with the debtor. 

 In order to achieve a full and complete release, Releasors specifically 

acknowledge that this Joint Stipulation is intended to include, in its effect, not only all Claims 

that are known to Releasors, but also all Claims that the Releasors do not know or suspect to 

exist in their favor at the time of the execution of this Joint Stipulation that relate in any way to 

the Claims released in the Lawsuit. 

24. Further Conditions of the Settlement. 

a. The Settlement is conditioned upon the Court entering an order 

at the Final Settlement Hearing approving the Settlement, and adjudging, among other things, 

that the terms thereof are fair, reasonable, and adequate and directing consummation of the 

terms and provisions; 

 b. Approving the Joint Stipulation, adjudging, among other things, 

the terms thereof to be fair, reasonable and adequate, and directing consummation of its terms 

and provisions; 

 c. Approving the distribution plan that sets forth the formula for 

distributing the Net Settlement Amount among the Class Members; 

 d. Approving Plaintiff’s counsel’s application for an award of 

attorneys’ fees and reimbursement of costs; 

 e. Approving the Class Representative payment; 

 f. Making adjudication that the Pension Plan was terminated 

effective July 1, 2001, that all of its assets were merged in the Profit Sharing Plan and that no 

Class Member shall be or is entitled to any contribution to, under, by and/or through the Pension 

Plan after March 31, 2001; 

PDF created with pdfFactory trial version www.pdffactory.com

Case 1:05-cv-00032-OWW -LJO Document 41 Filed 10/17/06 Page 11 of 14
{6493/002/00197750.DOC} 12 

____________________________________________________________________________________________________ 

NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE OF FINAL SETTLEMENT HEARING 

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

 g. Entering a final judgment that dismisses the Lawsuit with 

prejudice, which permanently bars all Claims released in paragraph 23 of this Notice and which 

retains jurisdiction to enforce the provisions of the Settlement and Final Judgment. The Final 

Judgment shall include the entry of an injunction permanently enjoining, barring and forever 

precluding any and all Releasors from initiating, pursuing or prosecuting (or allowing to be 

initiated, pursued or prosecuted in their own right or on their own behalf) any of the Claims 

released in paragraph 23 of this Notice or adjudicated in the Final Judgment. The permanent bar 

and injunction shall include any claims that may, could be or are asserted against Releasees, or 

any of them, for any of the Claims released in the Lawsuit; and 

 h. Included in the final judgment the releases set forth in paragraph 

23 of this Notice. 

X. FINAL SETTLEMENT HEARING

25. You are not required to attend the Final Settlement Hearing or file a 

response to this Notice (either in support of or objecting to the proposed Settlement), 

although you may do either or both.

26. The Final Settlement Hearing on Settlement and any objections thereto, 

will be held on January 22, 2007, at 10:00 a.m. in Courtroom 3, 7th Floor, of the United States 

District Court, Eastern District of California, located at 2500 Tulare Street, Fresno, California. 

The date and time of the Final Settlement Hearing may be continued without further notice, so 

please contact Class Counsel before the date of the hearing if you plan to attend. 

27. You may object, personally or through an attorney, to the Settlement by 

timely filing and mailing your objection(s) and following the procedures outlined in paragraphs 

16 and 17. 

28. Any Class Member who does not object in the manner provided above 

shall be deemed to have approved the Settlement and to have waived such objections and shall 

be forever foreclosed from making any objections (by appeal or otherwise) to the Settlement. 

/// 

/// 

PDF created with pdfFactory trial version www.pdffactory.com

Case 1:05-cv-00032-OWW -LJO Document 41 Filed 10/17/06 Page 12 of 14
{6493/002/00197750.DOC} 13 

____________________________________________________________________________________________________ 

NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE OF FINAL SETTLEMENT HEARING 

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

XI. CHANGE OF ADDRESS

29. If you move after receiving this Notice, if it was misaddressed, or if for 

any reason you want your future correspondence concerning the Lawsuit and the Settlement to 

be sent to a different address, you should supply your current preferred address to the 

Settlement Administrator at the address set forth in paragraph 31 below and to Class Counsel at 

the address set forth in paragraph 30 below.

XII. ADDITIONAL INFORMATION

30. This Notice provides only a summary of the Lawsuit and the Settlement, 

and does not purport to be comprehensive. For a more detailed statement of the matters 

involved in the Lawsuit and the Settlement, you may refer to the pleadings, the Joint 

Stipulation and other papers filed in the Lawsuit, which may be inspected at the Office of the 

Clerk of the United States District Court, Eastern District of California, located at 2500 Tulare 

Street, Fresno, California 93721, during regular business hours of each court day. You may 

also make an appointment with Class Counsel to inspect any of these documents at the offices 

of Class Counsel. 

ALL INQUIRIES BY CLASS MEMBERS REGARDING THIS NOTICE, 

THE SETTLEMENT, THE FINAL SETTLEMENT HEARING AND/OR THE 

LAWSUIT SHOULD BE DIRECTED TO CLASS COUNSEL, DANIEL M. FEINBERG 

AND VINCENT CHENG OF LEWIS, FEINBERG, RENAKER & JACKSON, P.C., 

1330 BROADWAY, SUITE 1800, OAKLAND, CALIFORNIA 94612, (510) 839-6824 

(BUSINESS TELEPHONE NUMBER) AND (510) 839-7839 (FACSIMILE NUMBER). 

XIII. SETTLEMENT ADMINISTRATOR

31. The Settlement Administrator is Rosenthal & Company, LLC. Its 

mailing address is Post Office Box 6177, Novato, California 94948-6177. Its street address is 

300 Bell Marin Keys Boulevard, Suite #200, Novato, California 94949. Its telephone number 

is 1-800-207-0343. 

PDF created with pdfFactory trial version www.pdffactory.com

Case 1:05-cv-00032-OWW -LJO Document 41 Filed 10/17/06 Page 13 of 14
{6493/002/00197750.DOC} 14 

____________________________________________________________________________________________________ 

NOTICE OF CLASS ACTION SETTLEMENT AND NOTICE OF FINAL SETTLEMENT HEARING 

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

PLEASE DO NOT CONTACT THE CLERK OF THE COURT, THE JUDGE, 

DEFENDANTS OR DEFENDANTS’ COUNSEL WITH INQUIRIES. 

Dated: 10/17/2006 BY ORDER OF THE COURT

 /s/ Oliver W. Wanger 

 Honorable Oliver W. Wanger 

 U.S. District Judge 

 United States District Court 

 Eastern District of California 

PDF created with pdfFactory trial version www.pdffactory.com

Case 1:05-cv-00032-OWW -LJO Document 41 Filed 10/17/06 Page 14 of 14