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Prospective injunctive relief and class settlements
In 2012 the District of Kansas approved the settlement of a class action against Costco brought on behalf of its gasoline customers. Gasoline, like most liquids, is sold by volume, rather than weight. And, like most liquids, gasoline is subject to the laws of physics that dictate that it will expand...
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Published in: | Harvard journal of law and public policy 2016-06, Vol.39 (3), p.769 |
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Main Authors: | , |
Format: | Article |
Language: | English |
Subjects: | |
Online Access: | Get full text |
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Summary: | In 2012 the District of Kansas approved the settlement of a class action against Costco brought on behalf of its gasoline customers. Gasoline, like most liquids, is sold by volume, rather than weight. And, like most liquids, gasoline is subject to the laws of physics that dictate that it will expand as the temperature increases if pressure is held constant. As part of the settlement -- which paid zero dollars to the millions of absent class members, while the plaintiffs' attorneys filed a still-pending fee request for $10 million -- Costco agreed to convert its motor fuel dispensers in states where it purchases fuel on a temperature-adjusted basis to automatic temperature compensation (ATC) dispensers and to install ATC dispensers at any new retail stations it opens. Furthermore, the parties to a class action settlement have no incentive to achieve -- and courts have no institutional competence to evaluate -- the public deterrence benefits that purportedly justify the absence of compensation. |
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ISSN: | 0193-4872 2374-6572 |