DOJ Class Action Review "Heartening," ILR SVP Says

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February 08, 2019

The U.S. Department of Justice’s (DOJ) action on unfair class action settlements is “heartening,” Matt Webb, the U.S. Chamber Institute for Legal Reform (ILR) senior vice president of legal reform policy, told Law360.

One year ago, former Associate Attorney General Rachel Brand announced the Department’s intention to police class action settlements that it deemed unfair. A Vanderbilt law professor said the class action litigation industry “knows the Department of Justice is watching.” The more action the DOJ takes, Webb says, “the more notice everyone’s going to take.”

“We’ve long said that the plaintiffs’ [counsel’s] business model is really designed to benefit themselves and not the class members,” Webb said. “The fact that the Department of Justice are actually starting to look at that, we find that heartening.”