Settlement Of Up To $5.5M In Banking Disruption Class Suit Approved

Mealey's (June 3, 2021, 8:05 AM EDT) -- OAKLAND, Calif. — A federal judge in California granted final approval on May 24 of a settlement of up to $5.5 million to be paid by an online bank and the providers of its services to end a class lawsuit alleging negligence, breach of fiduciary duty and other violations due to a 72-hour systemwide service outage during which customers could not access their accounts; however, the judge slashed the requested attorney fees and denied the named plaintiffs’ request for incentive awards, citing in part the difference between the requested awards and the amount of recovery for the average class member....