Welcome to the Polaroid ERISA Settlement website.
This website is designed to keep class members informed about the In
re Polaroid ERISA Litigation Class Action Settlement.
Beginning on October 22, 2003, three putative
class action lawsuits were brought on behalf of a purported class of
individuals who were participants in or beneficiaries of the Plan
(Employee Stock Ownership Plan and/or 401k Plan accounts) during the
Class Period, alleging breaches of fiduciary duties in violation of
ERISA (the “ERISA Actions”). By Order dated March 8, 2004, the Court
consolidated the ERISA Actions under Master File No. 03-8335. Named
Plaintiffs (Robert Correia, Bradford W. Pires and Otis D. Powers)
allege that the Individual Defendants (Andra Bolotin, Judith Boynton,
Benjamin Byrd, Janet Cramer, Gary DiCamillo, Deirdre Evens, William
Flaherty, Neal Goldman, Harvey Greenberg, Donald Halsted, William
Hubert, John Jenkins, Warren Kantrowitz, Carl Leuders, Jeffrey Miller,
Ralph Norwood, Philip Ruddick, and Patricia Weller) and Defendant State
Street Bank & Trust Co. (“State Street”) knew or should have
known that Polaroid stock was not a prudent retirement investment
during the Class Period and that the Defendants acted imprudently by
not preventing further investment in Polaroid stock and not liquidating
the Plans’ Polaroid common stock holdings. Named Plaintiffs also assert
that certain Defendants violated their alleged fiduciary duties by
failing to provide Plan participants with complete and accurate
information about Polaroid Corporation.
On September 29, 2006, the Court certified the
All persons who were participants in or
beneficiaries of the Plan at any time between October 1, 1999 and
January 15, 2003 (the “Class Period”) and whose accounts included
investments in Polaroid stock.
For purposes of settlement, the Class shall not
include any of the Individual Defendants, or any of their immediate
family members, beneficiaries, alternate payees, Representatives, or
Successors-in-Interest, except for spouses and immediate family members
who themselves were participants in the Plan, who shall be considered
members of the Class with respect to their own Plan accounts.
Judge William H. Pauley of the United States
District Court for the Southern District of New York (the “Court”) has
not decided in favor of Plaintiffs or Defendants. Instead, both sides
agreed to the Settlement to ensure a timely and fair resolution of
Plaintiffs’ claims and avoid the cost and risk of further litigation.
The Named Plaintiffs and the Defendants, through their counsel, have
conducted an extensive investigation of the allegations in the Action
and evaluated its merits. With the assistance of counsel and an
independent mediator, the Parties have also engaged in substantial
arm’s-length negotiations to attempt to resolve all claims that have
been or could have been asserted in the Action against the Defendants.
As part of the Settlement, Individual Defendants
agree to pay twelve million dollars, and Defendant State Street agrees
to pay three million dollars into a Settlement Fund. The net amount in
the Settlement Fund, including interest, and after payment of and
establishment of reserves for any taxes and Court-approved costs,
attorneys’ fees, and expenses, including any Court-approved
compensation to be paid to the Named Plaintiffs, will be paid to the
Plan and, after payment of implementation expenses, the remaining
amount will be allocated to the members of the Settlement Class according to the Plan of Allocation approved by the Court.
On May 4, 2007, the Court issued an order granting
preliminary approval of the Settlement. At the Final Fairness Hearing,
held on June 22, 2007, the Court approved the Settlement, and the Plan
of Allocation. On July 19, 2007, the Court issued an order granting
Plaintiffs’ motion for attorneys’ fees, costs and class representative
Settlement Distribution Complete
We are pleased to announce that the Settlement has been calculated and distributed to eligible Class Members according to the Court-approved Plan of Allocation. If you are an eligible Class Member, a check representing your pro rata share of the Settlement from the Net Proceeds was mailed to you beginning on June 16, 2008.
If you have any questions about the In re Polaroid ERISA Class Action Settlement, or if you would like to submit a change of address or request a check re-issue, please contact Class Counsel at:
Topaz & Kessler, LLP
280 King of Prussia Road
Radnor, PA 19087
Keller Rohrback L.L.P.
1201 Third Avenue
Seattle, WA 98101
Co-Lead Counsel for Plaintiffs