SAMANTHA GOTTA v. STANTEC CONSULTING SERVICES INCORPORATED, et al.

You received a notice because you or someone in your family is or may have been a participant in or a beneficiary of the Plan at some time between September 24, 2014 and November 3, 2023.

The Court ordered this notice to be sent to you because you have a right to know about the Settlement and all of the options available to you regarding the Settlement before the Court decides whether to approve the Settlement. If the Court approves the Settlement, and after any objections and appeals are resolved, the Net Settlement Fund will be allocated among Members of the Settlement Class according to a Court-approved Plan of Allocation.

The Court in charge of this case is the United States District Court for the District of Arizona. The individuals who sued are called “Plaintiffs,” and the parties they sued are called the “Defendants.” The legal action that is the subject of this notice and the Settlement is titled Gotta v. Stantec Consulting Services, Inc., Case No. 2:20-cv-01865 (D. Ariz.).

The Action claims that the Defendants were fiduciaries to the Plan and violated fiduciary duties under ERISA that they owed to the Plan’s participants and beneficiaries. Plaintiffs allege Defendants breached certain fiduciary duties by causing the Plan to incur higher administrative fees and expenses than reasonable and necessary. Plaintiffs also allege Defendants breached certain fiduciary duties by selecting and continuing to offer certain allegedly imprudent investment options to Plan participants under the Plan’s investment lineup. In the Complaint, Plaintiffs have asserted causes of action for losses they contend were suffered by the Plan as the result of these alleged breaches of fiduciary duty by the Defendants.

Defendants vigorously deny each and every allegation of wrongdoing made in the Complaint and contend that they have no liability in the Action.  Defendants specifically deny the allegations that they breached any fiduciary duty or any other provisions of ERISA in connection with the administrative fees or expenses incurred by the Plan, or the investments in the Plan, and further deny that they in any way failed to act prudently or loyally to the Plan’s participants and beneficiaries.

In a class action, one or more plaintiffs called “Class Representatives” sue on behalf of a large number of people who have similar claims. All of the individuals on whose behalf the Class Representatives are suing are “Class Members.” One court resolves the issues for all Class Members. In its order setting the Fairness Hearing, the Court preliminarily certified the Settlement Class in the Action. The Class Representatives in this Action, Samantha Gotta and Michael De Sena, were participants in the Plan during the Class Period and are referred to as the “Plaintiffs.”

The Court has not reached any final decision in connection with Plaintiffs’ claims against the Defendant. Instead, Plaintiffs and Defendants have agreed to a Settlement. In reaching the Settlement, they have avoided the cost, risks, time, and disruption of prolonged litigation and trial.

Class Counsel believe that the Settlement is the best option for the Settlement Class Members, as described above in the section entitled “Statement of Potential Outcome of the Action.”

The Court has conditionally certified that this Settlement shall proceed on behalf of everyone who fits the following description:

All persons, except Defendants and their immediate family members, who were participants in or beneficiaries of the Plan at any time during the Class Period.

The “Class Period” is defined as September 24, 2014 through November 3, 2023. A person was a participant in or beneficiary of the Plan during the Class Period if they had an account balance in the Plan during such period.

The Settlement provides that Defendants will pay or cause their fiduciary insurance carrier to pay $2,000,000 (the “Settlement Amount”) into an account at a financial institution identified by Class Counsel, which shall constitute the Settlement Fund. The net amount of the Settlement Fund, after payment of Court-approved attorneys’ fees and expenses, awards to the Plaintiffs, excess fees and expenses incurred by the Independent Fiduciary, and any fees and expenses incurred by the Settlement Administrator, will be allocated to the Members of the Settlement Class according to a Plan of Allocation to be approved by the Court if and when the Court enters an order finally approving the Settlement.

If you qualify, you will receive a pro rata share of the Net Settlement Fund. The Settlement payment is a compromise.  It does not compensate participants for 100% of their claimed losses.

Class Counsel will file a detailed Plan of Allocation in advance of the Fairness Hearing. The Plan of Allocation will describe the manner in which the Net Settlement Fund will be distributed to Members of the Settlement Class. In general terms, the Plan of Allocation will provide that each Settlement Class Member’s share of the Net Settlement Fund will be calculated as follows:

The Settlement Administrator will calculate an average account balance for each Settlement Class member based on his or her total quarter-ending account balance invested in the Plan for the Class Period (“Average Account Balance”).

The Settlement Administrator will sum the Average Account Balances for all Settlement Class members.

The Settlement Administrator will then determine the total settlement payment available to each Settlement Class member by calculating each such individual’s pro-rata share of the Net Settlement Fund based on his or her Average Account Balance compared to the sum of the Average Account Balances for all Settlement Class members.

If the dollar amount of the settlement payment to a Settlement Class member is calculated by the Settlement Administrator to be less than $10.00, then that Settlement Class member’s payment or pro rata share shall be zero for all purposes.

The Settlement Administrator will perform all calculations and determine your pro rata amount. The Settlement Administrator will have access to all available records, so you do not need to be concerned if you no longer have your account statements. The Court will be asked to approve the Plan of Allocation, a copy of which will be available along with other settlement documents on the settlement website, www.StantecERISASettlement.com after it has been filed.

If the Settlement is given final approval, you will not have to do anything to get a payment from the Settlement if you are entitled to one under the Plan of Allocation.

The balance of the Net Settlement Fund will be allocated to Members of the Settlement Class pursuant to the Plan of Allocation as soon as possible after final approval has been obtained for the Settlement, including any appeals.  Any appeal of the final approval may take a year or more. Please be patient.

There will be no payments if the Settlement is terminated.

The Stipulation may be terminated on several grounds, which are described in the Stipulation.  In the event any of these conditions occur, there will be no settlement payment made, and the litigation will resume.

No. In some class actions, class members have the opportunity to exclude themselves from the Settlement. This is sometimes referred to as “opting out” of the Settlement. Because of the legal issues involved in the Action, however, the class of participants affected by this Settlement has been preliminarily certified as a mandatory class. This means you cannot opt out of the benefits of the Settlement in order to pursue your own claims or for any other reason. Therefore, you will be bound by any judgments or orders that are entered in this Action, and if the Settlement is approved, you will be deemed to have released Defendants from any and all claims that were or could have been asserted in this case on your behalf or on behalf of the Plan or that are otherwise included in the release in the Settlement, other than your right to obtain the relief provided to you, if any, by the Settlement.

Although you cannot opt out of the Settlement, you can object to the Settlement and ask the Court not to approve the Settlement, as described below.

The Court has preliminarily designated McKay Law, LLC and Edelson Lechtzin, LLP as Class Counsel for the Settlement Class. If you want to be represented by your own lawyer, you may hire one at your own expense.

Class Counsel will file a petition for the award of attorneys’ fees and expenses by February 9, 2024, after which a copy will be posted on the settlement website www.StantecERISASettlement.com. This petition will be considered at the Fairness Hearing. Defendants have agreed not to oppose the amount of attorneys’ fees, costs, or expenses or any award to the Plaintiffs to the extent such fees, costs, expenses, and awards are consistent with the terms of the Stipulation. Class Counsel have agreed to limit their application for an award of attorneys’ fees to not more than 1/3 of the Settlement Amount, plus out-of-pocket costs.

Plaintiffs will also request a case contribution award from the Settlement Fund to compensate them for the time and effort they spent assisting with the investigation and prosecution of the case. Class Counsel will request that the Court approve case contribution awards of $10,000 for each of the two Plaintiffs.

You have the right to object to this aspect of the Settlement even if you approve of the other aspects of the Settlement.

If you are a Member of the Settlement Class, you can object to the Settlement if you disagree with any part of it. You can give reasons why you think the Court should not approve the Settlement. The Court will consider your views. To object, you must send a letter or other written filing saying that you object to the Settlement. Be sure to include the following case caption and notation: “Gotta v. Stantec Consulting Services, Inc., Case No. 2:20-cv-01865 (D. Ariz.).” In addition, your objection must also include your name, address, telephone number, and signature and the reasons why you object to the Settlement. Any objection must be signed by the Settlement Class member even if an attorney is retained by the Settlement Class member.  Mail the objection to each of the addresses listed below, postmarked no later than February 23, 2024.  You must mail your objection by this date.  If you fail to do so, the Court will not consider your objections.  If you plan to speak at the Fairness Hearing, you must send a Notice of Intention to Appear along with your objection, as described below:

THE COURT’S FAIRNESS HEARING

The Court will hold a hearing to decide whether to approve the Settlement. You may attend and you may ask to speak, but it is not necessary.

The Court will hold a Fairness Hearing to decide whether to approve the Settlement as fair, reasonable, and adequate. You may attend the Fairness Hearing, and you may ask to speak, but you do not have to attend. The Court will hold the Fairness Hearing on March 8, 2024 at 10:00 a.m. at the Sandra Day O’Connor U.S. Courthouse, 401 West Washington Street, Phoenix, AZ 85003. At that hearing, the Court will consider whether the Settlement is fair, reasonable, and adequate. If there are objections, the Court will consider them. After the Fairness Hearing, the Court will decide whether to approve the Settlement. The Court will also rule on the motions for attorney’s fees and expenses and the request for Plaintiff incentive awards.

No, but you are welcome to come at your own expense. If you send an objection, you do not have to attend the Fairness Hearing and also voice your objection in person. As long as you mail your written objection on time, the Court will consider it when determining whether to approve the Settlement as fair, reasonable, and adequate. You also may pay your own lawyer to attend the Fairness Hearing, but attendance is not necessary.

Only if you have previously filed an objection to the Settlement may you ask the Court for permission to speak at the Fairness Hearing. To do so, you must send a letter or other paper called a “Notice of Intention to Appear at Fairness Hearing in Gotta v. Stantec Consulting Services, Inc., Case No. 2:20-cv-01865 (D. Ariz.).” Be sure to include your name, address, telephone number, and signature. Your Notice of Intention to Appear must be postmarked no later than February 23, 2024 and be sent to the Clerk of the Court, Class Counsel, and Defendant’s counsel at the addresses listed above.

Only if you have previously filed an objection to the Settlement may you ask the Court for permission to speak at the Fairness Hearing. To do so, you must send a letter or other paper called a “Notice of Intention to Appear at Fairness Hearing in Gotta v. Stantec Consulting Services, Inc., Case No. 2:20-cv-01865 (D. Ariz.).” Be sure to include your name, address, telephone number, and signature. Your Notice of Intention to Appear must be postmarked no later than February 23, 2024 and be sent to the Clerk of the Court, Class Counsel, and Defendant’s counsel at the addresses listed above.

The notice summarizes the proposed Settlement. The complete Settlement is set forth in the Stipulation of Settlement. You may obtain a copy of the Stipulation of Settlement on the Important Court Documents page of this website, or you may request one be sent to you by contacting the Settlement Administrator by email at: info@StantecERISASettlement.com.

Class Counsel may be reached at:

You may also contact the Settlement Administrator by email at: info@StantecERISASettlement.com

or at 800-564-4860.

Documents are also available at the office of the Clerk located at the Sandra Day O’Connor U.S. Courthouse, 401 West Washington Street, Phoenix, AZ 85003.

Name Change Due to Marriage, Divorce, or Court Order

To change your name for purposes of this settlement due to marriage, divorce, or court order, two documents are required. They are: (1) a copy of your marriage license, divorce decree, or court order; and (2) a copy of your state-issued ID with the current name and address.

Documents should be submitted to the settlement administrator by email at: info@stantecERISASettlement.com

In your email, please provide the name and address of the original payee located on the Notice or check you received, the Notice ID, a good contact telephone number, and the name and address of the new payee that you would like on the replacement Notice or replacement check.

If you do not have access to email, you may mail your request to: Gotta vs Stantec , c/o Settlement Administrator, P.O. Box 23369, Jacksonville, FL 32241.

Name Change Due to Death

If the Settlement Class Member has died, three documents are required for a name change for purposes of this settlement. They are: 1) A Copy of the death certificate, 2) Documentation providing evidence to show the new payee as legal beneficiary – which could be a will, estate documentation, etc., and 3) a completed W-9 which may be obtained from the IRS’s website (IRS.Gov).  The documentation will be reviewed when received and we may reach out to you with additional questions, if necessary.

Documents should be submitted to the settlement administrator by email at: info@stantecERISASettlement.com 

In your email, please provide the name and address of the original payee located on the Notice or check you received, the Notice ID, a good contact telephone number, and the name and address of the new payee that you would like on the replacement Notice or replacement check.

If you do not have access to email, you may mail your request to: Gotta vs Stantec , c/o Settlement Administrator, P.O. Box 23369, Jacksonville, FL 32241.

You can update your address for purposes of this settlement on this website using the Update Address button. You will need your NoticeID and PIN included with the notice sent to you.