Johnson v. CSAA Settlement Website

Two CSAA insurance customers are plaintiffs in a class action lawsuit against CSAA in Sacramento County Superior Court alleging that CSAA improperly charged deductibles in connection with collision claims arising from accidents between CSAA customers and uninsured motorists. The plaintiffs allege that the terms of CSAA’s California auto insurance policy required CSAA to waive the collision deductible in the case of accidents with uninsured motorists, regardless of which driver was at fault.

Return to Top

In a class action lawsuit, one or more people called “Class Representatives” (in this case, Plaintiffs Carol Johnson and Robert Garcia) sue on behalf of people whom they allege have similar claims. The people together are a “Class” or “Class Members.” One court decides the lawsuit for everyone in the Class. In this case, the court decided that this lawsuit can be a class action for settlement purposes only. That means that if the settlement is not approved by the court, the Class Members will not get the benefits of this settlement and the Plaintiffs will need to go back to court to prove their case through trial.

Return to Top

In the interests of efficiency and economy, the parties to the litigation have decided to resolve the litigation through settlement. In this way, the parties avoid the costs and risks of trial. After settling the case, the court will not decide who is right or wrong. Instead, it will determine whether the settlement is fair, reasonable, and adequate. If the court approves the settlement as fair, reasonable, and adequate, it will enter a judgment extinguishing all claims of those represented in the lawsuit.

Return to Top

You received a Notice because CSAA’s records show that you may be a “Class Member” in this case, as described in FAQ 5.

Return to Top

Whether you are in the settlement depends on whether you are a “Class Member.” You are a Class Member if:

1. You insured an automobile with CSAA; and
2. Between December 1, 1998 and February 28, 2006, you made an insurance claim under the collision coverage of your policy; and
3. The collision claim arose from an accident between your insured vehicle and an uninsured motorist; and
4. CSAA charged you a deductible on your collision claim – that is, if CSAA deducted the amount of the deductible from a repair reimbursement check to you or to a repair shop, or you were required to pay a deductible to a repair shop, or if CSAA withheld the amount of the deductible from your total loss payment. You also may be a Class Member if you were told not to pursue a claim because the cost of repair was less than the amount of your Collision deductible.

CSAA’s records indicate that you may be a Class Member.

For eligibility details, please refer to the Notice by clicking here.

Return to Top

As a Class Member, you have several options available to you. You may:

1. Participate in the settlement and obtain a settlement award (please refer to FAQ’s 7-10);
2. Object to the settlement (please refer to FAQ’s 11-14);
3. Request to be excluded from the settlement (please refer to FAQ’s 15- 17); or
4. Take no action, in which case you will be bound by the settlement if it is approved by the court (please refer to FAQ 18).

Return to Top

If you submit a claim form, a more detailed review of CSAA’s files will be conducted to determine the amount of the benefit (if any) payable to you. The amount of your payment will depend on what that review shows, and the date your claim originally was handled by CSAA:

• If you made a qualifying collision claim between July 12, 2003 and February 28, 2006, and CSAA’s file for your claim shows you were charged a deductible and that the adverse party to your accident was uninsured, the amount of your settlement award will be 100% of the collision deductible that you were charged (or the cost of repair if lower), plus 10% simple interest from the date that deductible was charged. For example, if you were charged a deductible of $500.00, you would get back your deductible of $500.00, plus $50.00 per year from the date that deductible was charged.
• If you made a qualifying collision claim between July 12, 2003 and February 28, 2006, and CSAA’s file for your claim shows you were charged a deductible but does not contain sufficient information to determine whether the adverse party to your accident was uninsured, then CSAA will pay you a cash benefit equal to 50% of the collision deductible that you were charged (or the cost of repair if lower), plus 10% simple interest from the date that deductible was charged. For example, if you were charged a deductible of $500.00, you would get one half of your deductible, $250.00, plus $25.00 per year from the date that deductible was charged.
• If you made a qualifying collision claim between December 1, 1998 and July 11, 2003, and CSAA’s file for your claim shows you were charged a deductible and that the adverse party to your accident was uninsured, the amount of your settlement award will be 100% of the collision deductible that you were charged (or the cost of repair if lower) with no interest. For example, if you were charged a deductible of $500.00, you would receive $500.00.
• If you made a qualifying collision claim between December 1, 1998 and July 11, 2003, and CSAA’s file for your claim shows you were charged a deductible but does not contain sufficient information to determine whether the adverse party to your accident was uninsured, then CSAA will pay you a cash benefit equal to 20% of the collision deductible that you were charged (or the cost of repair if lower) with no interest. For example, if your deductible was $500.00, you would receive $100.00.
• If CSAA’s files do not contain sufficient information to determine whether the adverse party to your accident was uninsured, you will receive a further notice and an opportunity to submit additional documentation to show entitlement to a greater settlement award.
• If CSAA’s files indicate that your accident does not fall within the scope of the lawsuit, you will not receive an award even though you submitted a claim form.

Return to Top

To participate and get a settlement award, you must submit a valid and timely claim form. A blank claim form is attached with the Notice. As that form explains, if you submit a claim form, a more detailed review of CSAA’s files will be conducted to determine the amount of the benefit (if any) payable to you. To be valid, the claim form must be filled out completely and must be postmarked by no later than July 12, 2010. The completed claim form must be sent to:

CSAA Class Action Administrator
PO Box 4153
Portland, OR 97208-4153

Return to Top

Checks for the amount of Class Member’s settlement awards will be distributed if and when the settlement is deemed final under California law. Please keep in mind that all checks issued will remain valid and negotiable for one hundred eighty (180) days from the date of issuance. All checks not cashed within that time will automatically be canceled, and CSAA will be under no obligation to issue replacement checks.

Settlement checks will be sent to the addresses provided on submitted claim forms. If you move after submitting a claim form, send a letter to the address listed in FAQ 8 stating both your new address and your prior address.

Return to Top

Unless you remove yourself from the settlement (which is called "excluding yourself" or "opting out"), you are part of the Class. By staying part of the Class, court orders will apply to you, and you will be deemed to have released any claim against CSAA. A release means you can’t sue or be part of any other lawsuit against CSAA about the claims or issues in this lawsuit for the Class Period ever again. You will be bound by the terms of the settlement, and will be barred from suing CSAA for the alleged violation of any local, state, or federal law in connection with any facts, transactions, events, policies, occurrences, acts, disclosures, statements, omissions, or failures to act, which are or could be the basis of any legal claim arising from the handling of the collision claim that may make you eligible for participation in this settlement.

Return to Top

You may tell the court that you do not like the settlement or some part of it by submitting an objection. You may object to any of the terms of the settlement.

Return to Top

You must file a written statement describing your objection and any reasons supporting your position with the Sacramento County Superior Court.

If notice was mailed to class member prior to March 26th, then the class member’s objection date was February 16, 2010.

If the notice was mailed to the class member on March 26th, then the class member’s objection deadline is May 10, 2010. You must also send your objection to each of the individuals listed below and postmark no later than May 10, 2010 if you were mailed a notice on March 26th:

Return to Top

If you object to the settlement, you will still be entitled to receive a settlement award if you nevertheless timely submit a claim form and otherwise qualify for a settlement disbursement, and if the court gives final approval to the settlement.

Return to Top

As long as you do not exclude yourself, you can (but do not have to) participate and speak for yourself at the settlement hearing. This is called making an appearance. If you wish to be represented by a lawyer other than Class Counsel, you will have to pay for the lawyer yourself.

If you want to appear, or if you want your own lawyer to participate and speak for you regarding the settlement, you must first file a timely objection to the settlement (as described above in FAQ 12). You must also include in the objection the statement "I intend to appear at the hearing."

Return to Top

You can remove yourself from the settlement and the Class. This is called "excluding yourself" or "opting out". If you exclude yourself from the settlement, you will not receive any of the benefits of the settlement. However, you will not be bound by any judgment or settlement of the case and will keep your right to sue CSAA independently, if you want.

Return to Top

To exclude yourself from the settlement, you must submit a written requesting exclusion from the Class. To be effective, this written request must contain your name and address, a statement that you are a member of the class, and a statement that you are requesting exclusion from the class.

If notice was mailed to class member prior to March 26th, then the class member’s opt out date was February 16, 2010.

If the notice was mailed to the class member on March 26th, then the class member’s opt out deadline is May 10, 2010.

This written statement must be postmarked on or before May 10, 2010 if you were mailed a notice on March 26th. If you fail to submit a valid and timely request for exclusion in this manner, you will be bound by the settlement and judgment entered by the court. You must also send a copy of this statement to each of the individuals listed below:

Return to Top

Excluding yourself or opting out means removing yourself from the Class and the settlement altogether – you would not receive any benefits or be bound by the terms of the settlement. Objecting means remaining in the Class, but complaining about some part of the settlement that you do not like.

Return to Top

If you do nothing, you will not receive any benefits from this settlement, but you will be a Class Member. You will be bound by the terms of the settlement, which means you cannot bring a lawsuit against CSAA regarding the claims covered by it.

Return to Top

You do not need to hire an attorney, but you can if you want to. Plaintiffs, you, and the entire class are already represented by the attorneys listed below, who are known as Class Counsel. You do not need to pay for their services. If you decide to hire your own attorney, you will have to pay for his or her services. Your attorney must also file the papers required to let the court know that he or she will be appearing in this case.

You may contact Class Counsel if you have any questions about this Notice or the settlement, but please do not contact the court or CSAA.

Return to Top

Class Counsel will receive an award of attorneys’ fees and costs in an amount to be awarded by the court. Class Counsel have agreed that they will not request more than $8,000,000 and CSAA has agreed not to object to such a request. Plaintiffs Carol Johnson and Robert Garcia may also be granted individual incentive awards for prosecuting this lawsuit. All attorneys' fees are being paid for by CSAA in addition to the payments made to the class and do not reduce the payments to the class.

Return to Top

The Court has tentatively scheduled a final settlement fairness hearing to be held on May 26, 2010, to decide whether to approve the settlement. The court is located at 720 9th Street, Sacramento, CA 95814. The hearing may be rescheduled to a later time without further notice to you. You may, but do not have to, attend the final approval hearing. After the court rules on the final approval, and either the time to appeal has expired or any appeal filed has been resolved, the settlement will become final.

As explained in FAQ 10, if the settlement becomes final and you remain part of the Class, you cannot bring any other lawsuit against CSAA relating to the claims made or which could have been made in this lawsuit, whether known or unknown. All such claims are released and forever barred under the settlement.

Return to Top

This Notice contains only a summary of the lawsuit and settlement. For a more detailed description, you may review the pleadings, the Settlement Agreement, and other papers on file at the Sacramento County Superior Court, 720 9th Street, Sacramento, CA 95814. Please direct all your questions regarding this Notice, and the settlement to Class Counsel. PLEASE DO NOT TELEPHONE THE COURT OR CSAA.

If you have any questions you can call toll free at 1-877-276-7350 and speak with a customer service representative.

Return to Top

Yes. You will be notified by letter sent to the address on your claim form.

Return to Top

If you received notification that your claim was determined to be “fully qualified”, a payment will be issued within 30 days from the date of your claim determination letter.

If you received notification that your claim was determined to be “partially qualified”, a payment will be issued either (1) 30 days after the time to dispute the determination has expired, or (2) within 30 days after any such dispute has been resolved.

Return to Top

If you object to CSAA’s determination of your eligibility or payment amount then you may appeal this determination by submitting a completed and notarized appeal form that is postmarked within 50 days of the date printed on your determination letter.

Your appeal should be mailed to:

CSAA Class Action Administrator
PO Box 4153
Portland, OR 97208-4153

You may contact Class Counsel listed below if you have any questions about this notice or the settlement, but please do not contact the court or CSAA.

Return to Top

If you need additional time to obtain evidence or document that the adverse party to your accident was uninsured in your partially qualified claim determination notice, you may check the box on the appeal form titled “I Need More Time”. If you check this box, you may submit additional evidence or documentation postmarked within 120 days of the postmark date of your determination letter. However, the supplemental claim form itself must still be postmarked within 50 days of the postmark date of your determination letter.

Return to Top

Yes, an appeal is based solely on the specific CSAA claim(s) that you dispute. You must file a separate appeal for each claim.

Return to Top

Claims are currently being reviewed by CSAA for eligibility and payment amount on a rolling basis. CSAA has 180 days from the date your claim was received to make its determination. You will be notified of the determination regarding your claim(s) by mail; please be patient.

Return to Top