Cy Pres Awards

Cy Pres Awards

The MCVLP strongly believes that cy pres awards are an invaluable way to honor and advance the interests of class members when complete dispersal of an award or settlement is not feasible. Through cy pres awards, parties can provide a collective, continuous service to the public interest

What is a cy pres award?

When a class action is tried or settled, it is sometimes impossible to distribute all of the award money. Sometimes it is because class members cannot be reached or identified. Other times it is not economically feasible to distribute the money to the entire class, like when the cash distribution is less than the cost of mailing the check. When an award cannot be distributed to some or all of the class members, the law permits the money to be given to a charitable organization. This allows the money to indirectly benefit the class members by advancing the public interest.

Who can receive a cy pres award?

A cy pres award must be distributed to a charitable organization which has some positive connection to the case itself or the class members. Legal aid organizations are often appropriate recipients for cy pres awards because we serve members of disadvantaged groups.

Why should I ask for cy pres funds to be directed to the MCVLP?

MCVLP is an appropriate beneficiary of cy pres funds in a variety of cases. We provide legal representation to, and protect the rights of, consumers and other individuals who would otherwise not have access to justice.

The MCVLP works to protect Madison County residents’ livelihoods, homes, health, and families, and cy pres awards can make a substantial contribution toward that effort.

How can I support the MCVLP through cy pres giving?

  • Include in any class action settlement agreement, class action settlement order, or class action judgment, a provision which directs that residual class action funds be paid to the MCVLP.
  • Share with your colleagues information about cy pres awards and let them know that the Alabama courts have the authority to award residual class action funds to the MCVLP.

Who should I contact with questions?

For more information, please contact Nicole Schroer, Executive Director, nschroer@vlpmadisoncounty.com, 256-539-2275, ext. 101.

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