Official Court recognized class action notice experts: Hilsoft Notifications

Judge John Speroni, Avery v. State Farm, February 25, 1998, No. 97-L-114, "Auto Parts Litigation" (Cir. Ct. Ill.) ():

"…challenge to the Plaintiffs’ reach statistics is further undercut by evidence presented at the notice hearing based upon United States Postal Service Household Diary Studies that a large portion of mail sent by state and local governments is neither read nor responded to and by additional survey data presented at the hearing. Having carefully considered the various affidavits on the issue, this court finds that the figures as to the reach of Plaintiffs’ proposed Notice Plan are conservative and verifiable. Plaintiffs’ proposed Notice Plan is carefully tailored to the particular circumstances of this case."

The notice program in Avery v. State Farm, was one of the most extensive, successful litigation class certification (non-settlement) notice programs. The notice issues were also affirmed by the Appellate Court of Illinois for the 5th District, 321 Ill. App. 3d 269 (5th Dist. 2001). It may have been the most cost-efficient nationwide audience-documented notice program to such a large customer base ever. In this case, in the face of mailing lists for 35 million policyholders that would either be over inclusive or under inclusive as to class membership, Hilsoft Notifications designed and implemented a notice program that consisted of consumer magazines supported by earned media and Internet banner notices as well as a website. Hilsoft proved by showing a strong reach of the notices among class members how it would be as effective, if not more so, than mailings. Our notice effort included an orchestrated neutral news article effort that resulted in some 6,050 radio broadcasts 89 newspaper and other print stories, and 120 TV broadcasts.

The notice plan was challenged to the Illinois Supreme Court and the U.S. Supreme Court, but the petition for certiorari on issues including the notice issues was declined. Today, it serves as a landmark case in proving the effectiveness and efficiency of consumer publications in reaching large nationwide classes.

Recently, the Illinois Supreme Court overturned the class action judgment entered against State Farm and ruled that it was wrong for the case to be certified as a nationwide class action, Avery v. State Farm Mutual Auto. Ins. Co., 2005 WL 1981444 (Ill.). The Court’s decision did not mention notice.