Who is a Class Member
Anyone who was a retail electricity customer of the Los Angeles Department of Water and Power for any length of time during the class period between (and including) January 29, 2012 and September 14, 2017.
Settlement Amount
$295,650,000
- Eight percent deduction of amounts charged following the 2016 Electric Rate Ordinance. Estimate: $243,000,000.
- Settlement fund of $52,000,000 for case expenses and customer distributions.
- Payment of $650,000 to the Alliance for Children’s Rights and Westwood Recreation Complex, d.b.a. Friends of Los Angeles
Proof of Purchase
Any retail electricity customer of the Los Angeles Department of Water and Power is included in the class. No additional actions of verification is necessary.
Claim Form
No claim form required
Potential Settlement Payment
According to the Arbor Hills settlement notice, Class Members may expect to receive any share of the pool after all legal and administrative expenses have been paid via a kilowatt-hour credit to electric rates.
The four-pronged settlement will be satisfied in the following ways:
- There will be an eight percent deduction to all retail electricity customers beginning on July 1, 2017 for three years. The estimated result will be $243,000,000 in savings to customers.
- A settlement fund will be created to the amount of $52,000,000. This funding will be used to settle administrative and counsel expenses/fess for the case. The resulting funds will be given back to class members as credits to their electric rates. If the final amount needed proves to be more than the amount used upon creation, members will receive a credit for their share of the excess.
- City of Los Angeles will not transfer any funds collected from the Department of Water and Power via the Electric Rate Ordinance.
- City of Los Angeles will make a $650,000 payment to the Alliance for Children’s Rights and Westwood Recreation Complex. This designation comes from the plaintiffs.
Important Dates
12/27/2017: Personal exclusion deadline. (Hard-copies must be market prior to)
12/27/2017: Deadline for objections.
02/14/2018: Final hearing.
Settlement Notes
- Patrick Eck, Tyler Chapman, Brendan Eisan, Justin Kristopher Le-Roy v. City of Los Angeles Department of Water and Power, Los Angeles Department of Water and Power Board of Commissioners
- Case No. BC577028 – consolidated with Case BS153395 and Case BC583788
- Pending in the Superior Court of California, County of Los Angeles
Class members in the Los Angeles Electricity Tax class action lawsuit claim the Los Angeles Department of Water and Power charged an eight percent surcharge to all retail customers as a tax used to fund the city Reserve. The tax would be a violation of the California Constitution as all taxes must be approved by the electorate.
Both entities in the defense deny all claims of the lawsuit. Without a court decision, the defendants have agreed to settle in an effort to avoid additional expenses and unnecessary litigation.
Any involved members will be represented by:
- Christopher P. Ridout (Zimmerman Reed, LLP)
- Robert Ahdoot (Ahdoot & Wolfson, PC)
- Tina Wolfson (Ahdoot & Wolfson, PC)
- Eric J. Benink (Krause Kalfayan Benink & Slavens, LLP)
Contact Information
Settlement Administrator
c/o Kurtzman Carson Consultants
P.O. Box 404007
Louisville, KY 40233-4007
Phone: 1-877-306-5238
Fax: 866-715-4512
Email: admin@lacitytransfersettlement.com
Settlement Website