What are the factors used to determine whether to accept a settlement in a class action?

British Columbia, Canada


The following excerpt is from Jones v. Zimmer GMBH, 2016 BCSC 1847 (CanLII):

In Jeffery v. Nortel Networks, 2007 BCSC 69 at para. 28, Groberman J. (as he then was) distilled these factors into “four broad questions”: • Has counsel of sufficient experience and ability undertaken sufficient investigations to satisfy the court that the settlement is based on a proper analysis of the claim? • Is there any reason to believe that collusion or extraneous considerations have influenced negotiations such that an inappropriate settlement may have been reached? • On a cost/benefit analysis, are the plaintiffs well-served by accepting the settlement rather than proceeding with the litigation? and • Has sufficient information been provided to the members of the class represented by representative plaintiffs, and, if so, are they generally favourably disposed to the settlement?

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