RBGG’s Jenny Yelin was quoted extensively in a Law360 article on February 14, 2024, ‘Cy Pres’ Awards Remain Tool In Wage Deals Despite Skeptics. A cy pres award is a distribution of funds left over from a class action settlement is cases where the administrator is not able to locate all class members or some class members do not claim their share.
Commenting on the use of these awards in cases involving the Gig Economy, Yelin says “Cy pres is a really good tool in that case to be able to at least make sure that the money is going to organizations that are doing work that’s very much aligned with the purpose of the lawsuit and the issues of the lawsuit.”
Yelin went on to talk in the article about the need to communicate about the potential cy pres recipient before settlement talks get too far along: “Make sure that you don’t get to the end of the road where everything else has been agreed to and then there is an issue. Also, it’s important to talk to your clients about what types of organizations they think would be appropriate, so that you have their input early on in the process.”
“Communicating directly with the organizations, as well, early on, to make sure that you understand exactly how the money is going to be used” is also important, she added, ensuring that “you’re prepared to defend that to the court.”