UNITED STATES DISTRICT COURT

SOUTHERN DISTRICT OF OHIO

BARBARA FORMAN, Individually and On 

Behalf of All Others Similarly Situated,

Plaintiffs,

against

MERIDIAN BIOSCIENCE INC., JOHN A. 

KRAEUTLER, and MELISSA A. LUEKE

Defendants.

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Case No. 1:17-cv-00774-SJD

CLASS ACTION

Hon. Susan J. Dlott

LEAD PLAINTIFF’S MEMORANDUM OF LAW IN SUPPORT OF HER

MOTION FOR APPROVAL OF DISTRIBUTION PLAN

LEVI & KORSINSKY, LLP

Shannon L. Hopkins (admitted pro hac vice)

Sebastiano Tornatore (admitted pro hac vice)

1111 Summer Street, Suite 403

Stamford, Connecticut 06905

Tel.: (203) 992-4523

Facsimile: (212) 363-7171

Lead Counsel for Lead Plaintiff and the Settlement Class

CUMMINS LAW LLC

James R. Cummins (0000861)

312 Walnut Street, Suite 1530

Cincinnati, Ohio 45202

Tel.: (513) 721-9000

Fax: (513) 721-9001

Email: jcummins@cumminslaw.us

Liaison Counsel for Lead Plaintiff and the Settlement Class

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Settlement Class Representative and Court-appointed Lead Plaintiff Barbara Forman 

(“Plaintiff”) respectfully moves for entry of the [Proposed] Order Approving Distribution Plan 

(the “Distribution Order”) for the proceeds of the approved Settlement in the above-captioned 

action (the “Action”). The proposed Distribution Plan is set forth in the Declaration of Eric 

Schachter (the “Schachter Declaration”),1submitted on behalf of the Court-approved Claims 

Administrator, A.B. Data, Ltd. (“A.B. Data”) and filed herewith.

If entered by the Court, the Distribution Order would, among other things: (i) approve A.B. 

Data’s administrative recommendations accepting and rejecting Claims submitted in the Action; 

and (ii) direct the Initial Distribution of the Net Settlement Fund to Claimants whose Claims are 

accepted by A.B. Data as valid and approved by the Court.

BACKGROUND

On March 17, 2020, the Court entered the Order Granting Final Approval of Settlement 

(ECF No. 67), granting final approval to the Settlement reached in the Action. As set forth in the 

Stipulation, Meridian Bioscience, Inc. (“Meridian”) deposited $2,100,000.00 in cash into escrow 

for the benefit of the Class. ¶3.2

In accordance with the Order Granting Preliminary Approval of Settlement and Directing 

Dissemination of Notice to the Settlement Class (ECF No. 58) (the “Preliminary Approval Order”) 

entered by the Court, A.B. Data has mailed the Notice Postcard to approximately 17,000 potential 

Class Members, brokers, and other nominees. ¶2. The Notice Postcard directed potential members 

of the Settlement Class to the fulsome Settlement website and informed members of the Settlement 

Class that if they wished to be eligible to participate in the distribution of the Net Settlement Fund, 

1 All terms with initial capitalization not otherwise defined herein have the meanings ascribed to them in the Schachter 

Declaration or in the Amended Stipulation of Settlement, dated October 7, 2019 (the “Stipulation”) (ECF No. 56-2).

2 Citations to “¶__” are to paragraphs in the Schachter Declaration filed herewith.

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they were required to submit a properly executed Claim Form so that it would be received or 

postmarked no later than February 4, 2020. ¶¶ 4, 7. On March 17, 2020, the Court entered the 

Order Granting Final Approval of Settlement (ECF No. 67) (the “Judgment”). The Effective Date 

of the Settlement has occurred. Accordingly, the Net Settlement Fund may be distributed to 

Authorized Claimants.3

CLAIMS ADMINISTRATION

As set forth in the Schachter Declaration, through November 18, 2020, A.B. Data received 

and processed 4,810 Proofs of Claim. ¶5. All Claims received through November 18, 2020 have 

been fully processed in accordance with the Stipulation and the Court-approved Plan of Allocation 

set forth in the Notice and A.B. Data has worked with Claimants to help them perfect their Claims 

and cure any deficiencies. See ¶¶5, 17-23,

As discussed in the Schachter Declaration, 3,785 Proofs of Claim are being recommended 

for rejection to the Court, the majority of which suffer from uncurable deficiencies, including the 

lack of any purchase or acquisition of Meridian securities during the Class Period or the lack of a 

Recognized Loss pursuant to the Court-approved Plan of Allocation. ¶34. If A.B. Data determined 

a Claim to be defective or ineligible, a letter (if the Claimant filed a paper Claim), or an email (if 

the Claimant filed an electronic Claim), was sent by A.B. Data to the Claimant or filer, as 

applicable, describing the defect(s) or condition(s) of ineligibility in the Claim and what was 

necessary to cure any curable defect(s) in the Claim (“Deficiency Notices”). ¶¶17-23. The 

Deficiency Notices advised the Claimant or filer that the appropriate information or documentary 

evidence to complete the Claim had to be sent within 20 days from the date of the letter, or A.B. 

Data would recommend the Claim for rejection to the extent the deficiency or condition of 

3 The Court retained continuing jurisdiction over, among other things, implementing the Settlement, including the 

disposition of the Settlement Fund. See Judgment ¶16.

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ineligibility was not cured. ¶17. Examples of the Deficiency Notices are attached as Exhibit A and 

Exhibit B to the Schachter Declaration.

A. The Single Disputed Claim

After sending notice to nearly 17,000 potential Settlement Class Members, A.B. Data 

received and processed 4,810 Proofs of Claim through November 18, 2020. ¶¶2, 8. Based on a 

calculation of a Recognized Loss pursuant to the Court-approved Plan of Allocation, 1,024 of these 

Proofs of Claims are being recommended for acceptance (971 timely submitted Proofs of Claims 

plus 53 late, but otherwise eligible Proofs of Claim). ¶¶32-33. Of the 3,785 Claims recommended 

for rejection, a single shareholder has requested Court review despite A.B. Data’s best efforts to 

explain the incurable deficiency. See ¶34, Ex. F. The disputed claim (“DC1”) was rejected because 

the claimant did not have a Recognized Loss under the Plan of Allocation. ¶¶24-25. A.B. Data 

attempted to contact DC1 in an effort to further explain its rationale for rejection, but did not 

receive any response. ¶25.

As adequate notice of any Claim’s deficiency was provided to the Claimant, and the time 

to cure such deficiencies has long passed, Plaintiff respectfully requests the Court approve A.B. 

Data’s determinations in rejecting the 3,785 deficient Claims.

B. Late Claims and a Final Cut-Off Date

The 4,810 Claims received through November 18, 2020 include 670 Claims that were 

postmarked or received after the Court-approved Claim-filing deadline of February 4, 2020, but 

that were received before November 18, 2020. ¶33. Those late Claims have been fully processed, 

and 53 of them are, but for the late submission, otherwise eligible. Id.; see also Exhibit D. Although 

these 53 Claims were late, they were received while the processing of timely Claims was ongoing. 

Due to the amount of time needed to process the timely Claims received, the processing of these 

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late Claims did not delay the completion of the administration process or the distribution of the 

Net Settlement Fund. The Court has discretion to accept Claims received after the filing deadline.

See In re Authentidate Holding Corp. Sec. Litig., 2013 WL 324153, at *1 (S.D.N.Y. Jan. 25, 2013)

(“[A] district court overseeing [a] settlement distribution has inherent power to accept late 

claims[.]”); Middlesex Ret. Sys. v. Quest Software, Inc., 2012 WL 12973223, at *3 (C.D. Cal. June 

25, 2012) (permitting certain late claims to share in the Net Settlement Fund); In re Gilat Satellite 

Networks, Ltd., 2009 WL 803382, at *6 (E.D.N.Y. Mar. 25, 2009) (same). Lead Counsel 

respectfully submits that, when the equities are balanced, it would be unfair to prevent an otherwise 

eligible Claim from participating in the Net Settlement Fund solely because it was received after 

the Court-approved Claim-filing deadline, if it was submitted while timely Claims were still being 

processed. See In re Crazy Eddie Sec. Litig., 906 F. Supp. 840, 845 (E.D.N.Y. 1995) (“[T]here is 

an implicit recognition that late claims should ordinarily be considered in the administration of a 

settlement.”).

To facilitate the efficient distribution of the Net Settlement Fund, however, there must be 

a final cut-off date after which no other Claims may be accepted. Accordingly, Lead Counsel 

respectfully requests that this Court order that any new Claims and any adjustments to previously 

filed Claims that would result in an increased Recognized Claim amount received after November 

18, 2020 (more than nine months after the Court-approved deadline for Claims), be barred.

DISTIRBUTION PLAN FOR THE NET SETTLEMENT FUND

The Net Settlement Fund is ready to be distributed. Lead Counsel respectfully moves for 

the Court to enter an order approving A.B. Data’s determinations concerning acceptance and 

rejection of the Claims that are included in the present motion and approving the proposed plan 

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for the distribution of the Net Settlement Fund as stated in the Schachter Declaration (the 

“Distribution Plan”).

A. Distribution of the Net Settlement Fund

Under the proposed Distribution Plan, A.B. Data will distribute 100% of the Net Settlement 

Fund, after deducting all payments previously allowed, and after deducting payment of any 

estimated taxes, the costs of preparing appropriate tax returns, any escrow fees, and appropriate

reserves (the “Initial Distribution”). In the Initial Distribution, A.B. Data will calculate award 

amounts for all Authorized Claimants. A.B. Data will first determine each Authorized Claimant’s 

pro rata share of the total Net Settlement Fund based on the Claimant’s Recognized Claim in 

comparison to the total Recognized Claims of all Authorized Claimants. See ¶37. In accordance 

with the Court-approved Plan of Allocation, A.B. Data will eliminate from the Initial Distribution 

any Authorized Claimant whose pro rata share calculates to less than $10.00, as these Claimants 

will not receive any payment from the Net Settlement Fund at this time. Id. A.B. Data will then 

recalculate the pro rata share of the Net Settlement Fund for Authorized Claimants who would 

have received $10.00 or more (the “Distribution Amount”). Id. The Net Settlement Fund will be 

distributed pro rata to Authorized Claimants whose Distribution Amount calculates to $10.00 or 

more. Id.

In order to encourage Authorized Claimants to promptly cash their checks, Lead Counsel 

proposes that the Initial Distribution checks bear the notation: “DEPOSIT PROMPTLY; VOID 

AND SUBJECT TO REDISTRIBUTION IF NOT NEGOTIATED WITHIN 90 DAYS OF 

DISTRIBUTION.” Id. After that 90-day distribution deadline or in the case of an undeliverable 

check, A.B. Data will follow up and attempt to locate those Claimants, reissuing checks if 

necessary. Id., ¶37 n.4. Plaintiffs also propose that subsequent distributions will have a 30-day 

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stale date. Id. Authorized Claimants who do not cash their checks within the time allotted will 

irrevocably forfeit all recovery from the Settlement, and the funds allocated to all of these staledated checks will be available to be redistributed to other Authorized Claimants in any subsequent 

distribution, as described below. Id.

B. Additional Distribution(s) of the Net Settlement Fund

After A.B. Data has made reasonable and diligent efforts to have Authorized Claimants 

cash their Initial Distribution checks, A.B. Data will, after consulting with Class Counsel, conduct 

a second distribution of the Net Settlement Fund (the “Second Distribution”) within a reasonable 

period of time. ¶37(b). In the Second Distribution, any amounts remaining in the Net Settlement 

Fund after the Initial Distribution (including the funds for all void stale-dated checks), after 

deducting A.B. Data’s fees and expenses incurred in connection with administering the Settlement 

for which it has not yet been paid (including the estimated costs of the Second Distribution), and 

after deducting payment of any estimated taxes, the costs of preparing appropriate tax returns, any 

escrow fees, and appropriate reserves, will be distributed to all Authorized Claimants in the Initial 

Distribution who cashed their Initial Distribution checks and would receive at least $10.00 from 

the Second Distribution based on their pro rata share of the remaining funds. Id. When Class 

Counsel, in consultation with A.B. Data, determine that further distribution is not cost-effective, 

the remaining balance of the Net Settlement Fund, after payment of any unpaid fees or expenses 

incurred in administering the Net Settlement Fund and after the payment of any estimated taxes, 

the costs of preparing appropriate tax returns, any escrow fees, and appropriate reserves, will be 

contributed to the following recipient: The Legal Aid Society of Cincinnati. Id.; Judgement ¶24.

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PROPOSED RECORD RETENTION AND DESTRUCTION PLAN

Plaintiff additionally requests that the Court order that A.B. Data be allowed to destroy 

paper copies and all supporting documentation of paper Proofs of Claim one year after distribution 

of the Net Settlement Fund, and that it be allowed to destroy the electronic copies of Proofs of 

Claim and all supporting documentation one year after all funds have been distributed.

RELEASE OF CLAIMS

In order to allow the full and final distribution of the Net Settlement Fund, it is necessary 

to bar any further claims against the Net Settlement Fund beyond the amounts allocated to 

Authorized Claimants, and to provide that all persons involved in the review, verification, 

calculation, tabulation, or any other aspect of the processing of the Claims submitted in connection 

with the Settlement, or who are otherwise involved in the administration or taxation of the 

Settlement Fund or the Net Settlement Fund, be released and discharged from all claims arising 

out of that involvement. Accordingly, Lead Counsel respectfully requests that the Court release 

and discharge all persons involved in the review, verification, calculation, tabulation, or any other 

aspect of the processing of the Claims submitted in connection with the Settlement, or who are 

otherwise involved in the administration or taxation of the Settlement Fund or the Net Settlement 

Fund from all claims arising out of that involvement, and bar all Class Members and other 

Claimants, whether or not they receive payment from the Net Settlement Fund, from making any 

further claims against the Net Settlement Fund, Plaintiff, Lead and Liaison Counsel, the Claims 

Administrator, the Escrow Agent, or any other agent retained by Plaintiff or Lead Counsel in 

connection with the administration or taxation of the Settlement Fund or the Net Settlement Fund 

or any other person released under the Settlement beyond the amounts allocated to Authorized 

Claimants.

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CONCLUSION

For the foregoing reasons, Lead Counsel respectfully submit that Plaintiff’s Motion for 

Approval of Distribution Plan should be granted, and the [Proposed] Order Approving Distribution

Plan should be entered.

Dated: December 9, 2020 Respectfully submitted,

/s/Shannon L. Hopkins

LEVI & KORSINSKY, LLP

Shannon L. Hopkins (admitted pro hac vice)

Sebastian Tornatore (admitted pro hac vice)

1111 Summer Street, Suite 403

Stamford, CT 06905

Tel.: (203) 992-4523

Fax: (212) 363-7171

Email: shopkins@zlk.com

Email: stornatore@zlk.com

James R. Cummins (0000861)

CUMMINS LAW LLC

312 Walnut Street, Suite 1530

Cincinnati, Ohio 45202

Tel.: (513) 721-9000

Fax: (513) 721-9001

Email: jcummins@cumminslaw.us

Counsel for Plaintiff Barbara Forman

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CERTIFICATE OF SERVICE

I certify that on December 9, 2020, I filed LEAD PLAINITFF’S MEMORANDUM OF 

LAW IN SUPPORT OF HER MOTION FOR APPROVAL OF DISTRIBUTION PLAN with the 

Clerk of Court using the CM/ECF system, which will send notice to all counsel of record.

/s/Shannon L. Hopkins

Shannon L. Hopkins

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