City of Los Angeles Embedded Electric Surcharge Class Action Settlement

Who is a Class Member?

Anyone who was a retail electricity customer of the Los Angeles Department of Water and Power (“LADWP”) from January 29, 2012 to September 14th, 2017.

Settlement Amount


Proof of Purchase

No. Los Angeles Department of Water and Power’s records indicate who is included as a Settlement Class Member.

Opt Out Form

Link here.

Important Dates

12/27/2017: Last day to opt out of the settlement

12/27/2017: Deadline to object to the settlement

2/14/2018: Settlement Fairness Hearing

Settlement Notes


  • Eck, et al. v. City of Los Angeles, et al. Settlement
  • A settlement has been reached with the Superior Court of California for the County of Los Angeles


Class members claim that LADWP embedded an 8% surcharge in its power (electric) rates in order to fund transfers to the City of Los Angeles’ Reserve Fund. The 8% surcharge is claimed to be a tax not approved by the electorate, violating California Constitution article XIII-C, section 2, subdivision (b) and/or (d), and Government Code sections 53722 and/or 53723.

Defendants in the settlement include the City of Los Angeles (the “City”), the Los Angeles Department of Water and Power (“LADWP”), and the LADWP Board of Water and Power Commissioners. The Defendants deny the allegations and the parties have agreed to a settlement.

The agreed-upon Settlement Fund of $52,000,000 is subject to administrative expenses and attorney’s fees of up to 29% as well as $5,000 service awards to each of the four Class Representatives and a payment of $650,000 to non-profit charitable organization(s). The remaining balance will be distributed as a per kilowatt-hour credit to the electric rates of LADWP retail customers. 8% of the funds will also be deducted from the amounts charged to the LADWP customers per its 2016 Electric Rate Ordinance.

Settlement Class Members will be represented by Christopher P. Ridout (Zimmerman Reed, LLP), Robert Ahdoot and Tina Wolfson (Ahdoot & Wolfson, CP), and Eric J. Benink (Krause Kalfayan Benink & Slavens, LLP).

The Settlement Fairness Hearing will take place on February 14, 2018 at 9:00am in Department 308 of the Superior Court of California, County of Los Angeles, Central Civil West, 600 South Commonwealth Avenue, Los Angeles, California 90005. At the hearing, the Court will consider whether the settlement is fair, reasonable, and adequate. The Court will also consider any objections and afterward decide whether to grant final approval to the settlement.  

Contact Information

Mail: LADWP Electric Rate Case – Settlement Administrator

P.O. Box 404007, Louisville, KY 40233-4007

Phone: 1-877-306-5238

Email:, or fill out an online contact form

Settlement Website

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