McKee Litigation Settlement

FREQUENTLY ASKED QUESTIONS

  1. Am I being sued?
  2. What are the lawsuits about?
  3. Has the Court decided who is right?
  4. What makes me a class member?
  5. Do I need to do anything to participate in the Settlement?
  6. How will I know that the Settlement was finally approved?
  7. How will Audible determine how many free audiobooks I am entitled to select?
  8. How will I redeem the one or more audiobooks I am entitled to under the Settlement?
  9. Am I giving up potential claims against Audible and Amazon if I participate in the Settlement?
  10. Am I a Class Representative?
  11. Am I entitled to receive $5,000?
  12. Why is Class Counsel asking for $1.5 million in attorneys’ fees and costs?
  13. Do I have to come to the Fairness Hearing?
  14. How do I submit an objection to the settlement?
  15. Will the Settlement be finally approved in July 2019?

    Here are some answers to frequently asked questions received from class members.  We also recommend that you review all of the terms of the Stipulation of Settlement and the other documents posted on the Settlement Website before deciding whether to (1) “do nothing” and participate in the settlement, (2) submit a written opt out by following the instructions provided in the Notice of Settlement and exclude yourself from the settlement, or (3) submit a written objection to all or part of the settlement by following the instructions provided in the Notice of Settlement.

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  1. Am I being sued?

    No, you are not being sued. Six consumers who are or were Audible customers filed several lawsuits against Audible and Amazon in 2017. You received a “Notice of Settlement” email because you are or were a customer of Audible and you qualify as a class member in one or more of the lawsuits.

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  2. What are the lawsuits about?

    The lawsuits, which include Grant McKee et al. v. Audible, Inc., Case No. 2:17-cv-01941 (C.D. Cal.), (the “McKee case”) and Eric Weber and Bryan Rees v. Amazon.com, Inc.and Amazon Services LLC, Case No. 2:17-cv-08868 (C.D. Cal.), challenge the sufficiency of information provided to Audible customers about how membership credits work. The lawsuits claim that customers may not understand that unredeemed credits are lost upon cancellation of a membership plan or upon reaching rollover limits and, for gift memberships, that credits expire following the end of the gift membership term. The lawsuits also challenge the adequacy of information provided to Audible customers related to Audible’s practice of charging other credit or debit cards on file with a customer’s Amazon account if a customer’s primary card is declined. Audible and its parent company, Amazon, dispute the claims by the Plaintiffs in each of the lawsuits and believe that their business practices, and the information provided about them, are clear and understandable to customers and comply with all applicable laws.

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  3. Has the Court decided who is right?

    No. The Court has decided that you should get a copy of the Notice so that you can review the Settlement and determine whether you want to participate in the Settlement, object to it, or exclude yourself from the Settlement.

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  4. What makes me a class member?

    You are included as a class member if:

    • You are a consumer of Audible in the United States who, between March 10, 2013 and August 17, 2018, lost any unredeemed Paid Membership Credits based on rollover or cancellation. A “Paid Membership Credit” means any credit received as part of a paid Audible membership but does not include a credit received for free, as part of a gift membership, or as a part of any action taken by Audible or Amazon customer service units in the ordinary course of business to address one or more customer complaints.

     

    • You are a consumer of Audible in the United States who, between August 11, 2011 and August 17, 2018, purchased or redeemed an Audible Gift Membership that resulted in unredeemed Audible gift membership credits being lost.
    • You are a consumer of Audible in the United States who, between March 10, 2013 and August 17, 2018, incurred charges from Audible to a credit or debit card other than the card originally designated as the primary payment card for the customer’s Audible membership.

    If you received the Notice of Settlement by email from Audible, Audible’s records show you fit into one or more of the categories described above.

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  5. Do I need to do anything to participate in the Settlement?

    No, if you received the email from Audible with the subject line “Notice of Settlement,” you are a class member and if the Court grants final approval of the settlement, you will automatically participate in the Settlement unless you submit a written “opt out.”  To submit a written “opt out,” you must follow the instructions provided in the Notice of Settlement stating that you wish to be excluded from the settlement. You do not need to submit any information or take any further action (such as attending the Fair Hearing) in order to participate in the Settlement.

    If you “do nothing,” you will automatically participate in the Settlement if the Court grants final approval of the settlement. At that time, Audible will send you another email explaining what happens next and how to select free audiobook(s) you may be eligible to receive, and/or how to submit a claim for reimbursement of overdraft or similar fees, if the Court grants final approval of the Settlement.

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  6. How will I know that the Settlement was finally approved?

    If the Court grants final approval of the Settlement, Audible will send you another email informing you of the final approval. Audible will describe what steps payment card class members need to take and types of documentation to submit in order to receive reimbursement of any overdraft or similar fees they may have incurred as a result of Audible charging a payment card they did not initially designate. Class members eligible to select one or more free audiobooks will receive another email with instructions on how to select their free audiobook(s). 

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  7. How will Audible determine how many free audiobooks I am entitled to select?

    If the Court grants final approval of the Settlement, eligible class members will get to select between one and four audiobooks from a settlement catalog as described below: 

     

    • If you lost one or more Paid Membership Credits from March 10, 2013 through August 17, 2018 due to rollover limits, you will be eligible to select one audiobook; 

     

    • If you lost one or more Paid Membership Credits from March 10, 2013 through August 17, 2018 upon the cancellation of your membership, you will be eligible to select one audiobook; and

     

    • If you redeemed an Audible gift membership and lost one or more credits from August 11, 2011 through August 17, 2018 from a gift membership, you will be eligible to select one audiobook.

     

    In addition, if you lost five or more credits in the aggregate under any of the circumstances identified above, you will be eligible to select one additional audiobook, for a total of up to four audiobooks.

     

    Here is a chart that provides examples of how Audible will determine how many free audiobooks participating class members will be entitled to select:

    How Credits Were Lost

    What the Class Member Gets

    Lost 1 credit from rollover 1 free audiobook selection
    Lost 3 credits from rollover and 1 credit from cancellation 2 free audiobook selection
    Lost 1 credit from rollover, 1 credit from cancellation, and 1 credit as a Gift Member

    3 free audiobook selections

    Lost 5 credits from cancellation

    2 free audiobook selections
    Lost 3 credits from rollover and 2 credits from cancellation 3 free audiobook selections
    Lost 1 credit from rollover, 3 credits from cancellation, and 1 credit as Gift Member 4 free audiobook selections

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  8. How will I redeem the one or more audiobooks I am entitled to under the Settlement?

    If the Court grants final approval of the Settlement and you are eligible to receive one or more audiobooks, Audible will email you with information about what steps you need to take to select free audiobook(s) under the settlement terms.  Audible will also send you a reminder email 15-30 days before the end of the one-year selection period to remind you to make all of your free audiobook selections if you have not already done so. You do not need to submit a claim for reimbursement or pay any money to select your free audiobook(s), and you do not need to be a paying Audible member now or in the future.

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  9. Am I giving up potential claims against Audible and Amazon if I participate in the Settlement?

    If you participate in the Settlement, you are giving up potential legal claims against Audible that are related to the advertisement, purchase, receipt, charges for, or loss of an Audible membership, Audible gift membership, Audible credits or other Audible membership benefits, or the use of an alternative payment method in connection with Audible services through August 17, 2018.  You are not giving up any other potential claims.

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  10. Am I a Class Representative?

    No, you are not a Class Representative. You have been identified as a class member who is eligible for benefits from the Settlement.  The Court has appointed the six individuals that brought the lawsuits in 2017 as Class Representatives.

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  11. Am I entitled to receive $5,000?

    No. The six court-approved Class Representatives each have a right to ask the Court to approve a request for a $5,000 “service award” that courts sometimes award to consumers who filed cases and sought relief on behalf of a class. Defendants have agreed not to oppose service awards to the six court-approved Class Representatives of up to $5,000 each.  There is no guarantee that the six Class Representatives will be awarded $5,000 each; that decision is up to the Court.

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  12. Why is Class Counsel asking for $1.5 million in attorneys’ fees and costs?

    The Court appointed Soderstrom Law PC as Class Counsel because that law firm is the firm that represented each of the six Class Representatives in the lawsuits against Audible and Amazon since 2016.

    Class Counsel is not guaranteed payment of $1.5 million. Class Counsel will file a motion at the end of April describing the reasons why it is asking the Court to approve payment of $1.5 million from Audible and Amazon for the attorneys’ fees and costs spent in connection with the lawsuits. The Court will decide what amount to award Class Counsel, up to a maximum of $1.5 million. The payment of attorneys’ fees and costs will be made by Audible and Amazon. You will not have to pay anything to Class Counsel.

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  13. Do I have to come to the Fairness Hearing?

    No. Class Counsel will answer questions the Court may have about the proposed Settlement. However, you are welcome to come to the hearing, or to have your lawyer attend, at your expense.  If you submitted an objection, you do not have to appear in Court to talk about it. As long as you mailed your written objection on time, signed it, and provided all of the required information the Court will consider it. If you wish to appear at the Fairness Hearing, you must file with the Court a written notice of your intent to appear at the Fairness Hearing. 

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  14. How do I submit an objection to the settlement?

    Any objection and supporting papers must be submitted to the Court (not just to counsel) no later than May 23, 2019, either by (1) mailing them to the Clerk of the United States District Court for the Central District of California and sending a copy by fax, U.S. mail, or email to Class Counsel and Defense Counsel at the addresses listed below; or (2) by filing them in person at any location of the United States District Court for the Central District of California, except that if you are represented by counsel you must file your objection through the Court’s Case Management/Electronic Case Filing (CM/ECF) system under the case number for the McKee Case as set forth above. The objection must include your name, address, telephone number, signature, and the reasons you object to the settlement. If you fail to object in the manner specified above you will be deemed to have waived any objections and will be prohibited from later making any objection (whether by appeal or otherwise) to the Settlement.   

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  15. Will the Settlement be finally approved in July 2019?

    The Court will decide at a hearing—called a “Fairness Hearing”—that is scheduled for July 8, 2019 at 8:30 a.m. whether to grant final approval of the Settlement. The six Class Representatives as well as the Defendants Audible, Inc., Amazon.com, Inc., and Amazon Services LLC all believe the Settlement is fair, reasonable, and adequate and intend to ask the Court to grant final approval.

    You do not need to attend the Fairness Hearing or submit any information prior to the Fairness Hearing if you want to participate in the Settlement or if you support final approval of the settlement.

    If you have any additional questions, please review the documents posted on the Settlement Website.

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