Plaintiffs Push for Refrigerator Defect Settlement Approval

A proposed Class representative of a refrigerator defect class action lawsuit has asked the presiding California federal judge to approve a $36 million settlement, a deal that is $3 million more than the previous proposed refrigerator defect settlement, which the court found to be inadequate. If this class action settlement is approved, it will resolve claims that Dyson-Kissner-Moran Corp. knowingly sold defective, fire-prone fridges commonly used in boats.

On June 15, U.S. District Judge Josephine Stanton rejected the original refrigerator defect class action settlement. Since then, the plaintiffs who have decided to settle with Dyson-Kissner-Moran, the defending company, and its subsidiaries have renewed negotiations efforts in order to address the courts concerns with the original settlement.

The most recent negotiations resulted in an increase in the refrigerator defect settlement fund; furthermore, an increase for Class Members who bought specific refrigerator units was also agreed upon by the settling parties, according to the renewed motion for preliminary approval.

This is the second time this refrigerator defect class action settlement has been revised and Judge Stanton has previously voiced her concerns regarding the deal, stating the proposed refrigerator defect class action settlements failed to adequately compensate consumers who bought certain fridge models. The judge was also worried that the settling plaintiffs were being paid off by Dyson-Kissner-Moran to support the proposed class action settlement, and the previous amendments did nothing to alleviate the court’s concerns.

Finally, the judge was not convinced that the defending companies couldn’t afford a pricier refrigerator defect class action settlement.

According to the motion seeking preliminary approval of the revised refrigerator defect class action settlement, “[C]ounsel for both Settling Plaintiffs and Defendants have engaged in renewed arms-length negotiations aimed at improving the settlement and addressing the issues raised by the Court, including increasing the size of the settlement to the limit of what Defendants confirm they can pay before they execute on other options they have to resolve the claims.”

This refrigerator defect class action lawsuit was originally filed in 2012, alleging that model N1200, N6 and N8 Dyson-Kissner-Moran fridges meant to be used in boats and RV motor homes featured a defect that made the products prone to corroding, overheating, and catching fire. Back in October of last year, Judge Stanton denied the settlement motion, and requested that the plaintiffs acting as class representatives clarify what they expect as a representative award and even questioned the plaintiffs’ ability to represent the Class.

Following this first settlement denial, some potential Class Members objected to the class action settlement, claiming it was too small to fully compensate the consumers and that the companies were financially stable enough to afford a bigger payout.

Under the most recently submitted refrigerator defect class action settlement, the defending companies will pay over $11 million a year for the next three years, though the third year will include the additional $3 million.

The objecting plaintiffs are represented by Terrence A. Beard of the Law Offices of Terrence A. Beard.

The settling plaintiffs are represented by Hart L. Robinovich and Bradley C. Buhrow of Zimmerman Reed PLLP and Christopher P. Ridout and Caleb Marker of Ridout Lyon & Ottoson LLP.

The Refrigerator Defect Class Action Lawsuit is Jeffrey Etter, et al., v. Thetford Corp., et al., Case No. 8:13-cv-00081, in the U.S. District Court for the Central District of California.

UPDATE: On July 21, 2017, Top Class Actions viewers started receiving the first of four checks in the mail from the Norcold RV refrigerator defect class action settlement. 

UPDATE 2: On July 5, 2018, Top Class Actions viewers started receiving the second of four checks in the mail from the Norcold class action settlement worth as much as $307.52!