NEW YORK, May 27, 2016 /PRNewswire/ --
If you have or had a residential mortgage loan or line of credit on property in the United States owned, originated and/or serviced by Litton Loan Servicing LP, The Goldman Sachs Group, Inc. and/or Arrow Corporate Member Holdings LLC, and in connection therewith, were charged for lender-placed hazard, wind and/or flood insurance ("LPI") during the period January 1, 2006 through April 20, 2016, you may be entitled to benefits under a class action settlement.
THIS NOTICE MAY AFFECT YOUR LEGAL RIGHTS.
PLEASE READ IT CAREFULLY. A FEDERAL COURT AUTHORIZED THIS NOTICE. THIS IS NOT A SOLICITATION FROM A LAWYER.
WHAT IS THIS CASE ABOUT?
A proposed settlement ("Settlement") has been reached with Litton Loan Servicing LP, The Goldman Sachs Group, Inc. and/or Arrow Corporate Member Holdings LLC (collectively "Litton Defendants") in a putative class action pending in the United States District Court for the Southern District of New York captioned Lyons, et al., v. Litton Loan Servicing LP, et al., No. 1:13-cv-00513.
Plaintiffs Jimmy Lyons, Jacqueline Lyons and Sheila Heard ("Plaintiffs") allege, among other things, that when a borrower was required to have insurance pursuant to a residential mortgage, and the borrower failed to provide evidence of acceptable coverage, the Litton Defendants would obtain lender-placed insurance ("LPI") in a manner that enabled the Litton Defendants to receive unauthorized benefits from the LPI provider. Plaintiffs also allege that the way in which LPI was obtained and placed caused the LPI charges and the amount of coverage to be excessive. The Litton Defendants deny any wrongdoing and assert that their actions were fully authorized under the terms of the loans and by law. There has been no court decision on the merits and no finding that the Litton Defendants committed any wrongdoing.
WHAT DOES THE PROPOSED SETTLEMENT PROVIDE?
As part of the Settlement, the Litton Defendants have agreed to deposit $4,121,000 into a Settlement Fund established under the terms of the Settlement Agreement. Each Settlement Class Member will be entitled to a pro rata share of the Net Settlement Fund in proportion to their Individual Net Premium over the Total Net Premium charged to all Settlement Class Members, after accounting for Minimum Level Payment Recipients, as those terms are defined in the Settlement Agreement, with a Minimum Level Payment of $2.00. Additionally, second settlement payments may be issued after the first settlement payments if the balance remaining in the Net Settlement Fund exceeds a certain level. Settlement Class Members do not need to submit a claim form in order to receive a settlement payment. Attorneys' fees and costs for the lawyers representing the Settlement Class, service awards to the Plaintiffs, and the costs of administering the Settlement will also be paid out of the Settlement Fund. For more details regarding the Settlement Payment, the Settlement Fund, and other aspects of the Settlement, you may go to www.LyonsFPIsettlement.com.
ALL SETTLEMENT PAYMENTS ARE CONTINGENT UPON THE COURT ENTERING THE FINAL APPROVAL ORDER AND THE SETTLEMENT EFFECTIVE DATE OCCURRING.
WHAT ARE MY OPTIONS?
If you remain a Settlement Class Member and the Court approves the Settlement, enters the Final Approval Order and the Effective Date occurs, you will be legally bound by the Settlement terms and will release your claims against the Litton Defendants and their Affiliates and agents, as provided by the Settlement Agreement. If you want to exclude yourself from this Settlement, you must send a written request specifically stating that you wish to opt out from the Settlement with the Litton Defendants to Lyons v. Litton Loan Servicing LP., EXCLUSIONS, c/o A.B. Data, Ltd., PO Box 173008, Milwaukee WI 53217, postmarked no later than July 19, 2016. Mass or class opt outs are not allowed. If you do not opt out, you will not be allowed to commence or continue any action, including, without limitation, any lawsuit or arbitration, against any Released Party based on any Released Claim, as defined in the Settlement Agreement.
If you remain a Settlement Class Member, you may object to the Settlement by writing to the Court and sending copies to counsel postmarked no later than July 19, 2016. Full details on how to object to or opt out of the Settlement can be found at www.LyonsFPIsettlement.com.
The Court will hold a Final Approval Hearing on August 12 2016, at 11:00 a.m., to consider whether to approve the Settlement, award attorneys' fees of up to one-third of the Settlement Fund, plus reimbursement of reasonable out-of-pocket costs to Class Counsel, and service awards of up to $2,500 for the Lyons, jointly, and to Sheila Heard, individually, for their service to the Settlement Class. Any attorneys' fees and expenses and service awards approved by the Court will be paid from the Settlement Fund.
You or your lawyer may ask to appear and speak at the hearing at your own expense, but you do not have to appear.
The Final Approval Hearing may be moved to a different date or time. Any changes to the date or time of the Final Approval hearing will be posted at www.LyonsFPIsettlement.com.
This Notice provides only a summary of the terms of the Settlement. A more detailed description of the Settlement is available at www.LyonsFPIsettlement.com. You may also contact the Settlement Administrator at 1-866-302-3560 to request a detailed Class Notice.
Contact: Class Counsel
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/the-law-firms-of-kessler-topaz-meltzer--check-llp-berger--montague-pc-and-lowey-dannenberg-cohen--hart-pc-announce-a-class-action-settlement-in-the-action-lyons-et-al-v-litton-loan-servicing-lp-300276363.html
SOURCE Kessler Topaz Meltzer & Check, LLP, Berger & Montague, P.C., and Lowey Dannenberg Cohen & Hart, P.C.