Court To Notify Those Affected By Flooding From Hurricanes Katrina And Rita -- About A Class Action Settlement

NEW ORLEANS, Jan. 5 /PRNewswire/ -- A notification program about a proposed partial settlement began today as ordered by Judge Stanwood R. Duval, Jr., in the United States District Court, Eastern District of Louisiana to alert those affected by flooding due to any failures or overtopping of levees that occurred within the Parishes of Jefferson, Orleans, Plaquemines and St. Bernard, Louisiana resulting from Hurricane Katrina and/or Hurricane Rita.

The Settling Defendants include: the Orleans Levee District, the Board of Commissioners of the Orleans Levee District, the Lake Borgne Basin Levee District, the Board of Commissioners of the Lake Borgne Basin Levee District, the East Jefferson Levee District, the Board of Commissioners of the East Jefferson Levee District, their insurer, and all related people. The Released Parties include the Settling Defendants, as well as the Board of Commissioners of the Southeast Louisiana Flood Protection Authority-East, the Southeast Louisiana Flood Protection Authority-East, and their insurers, and all related people.

The lawsuit alleges levees and other flood and water control structures failed and/or were overtopped as a result of Hurricanes Katrina and Rita because they were not properly designed, inspected, or maintained, and that this failure caused property loss, property damage and personal injury. The Settling Defendants say that the levees failed for reasons beyond their control and that they did not do anything wrong.

The Class includes anyone who (a) at the time of Hurricane Katrina and/or Rita: (1) lived or was located in the Parishes of Jefferson, Orleans, Plaquemines, or St. Bernard, Louisiana ("Hurricane Affected Geographic Area") or (2) owned, leased, possessed, used or had an interest in any homes, businesses or other property in the Hurricane Affected Geographic Area; and (b) had any losses, damages, and/or injuries from Hurricane Katrina and/or Hurricane Rita that were a result of any alleged levee failure and/or waters that originated from or that came over, under or through the levees that were under the authority or control of the Settling Defendants.

The Class has been divided into separate Subclasses. Those affected may be included in one or more Subclass. The Subclasses include anyone who has or may have claims against: Subclass 1 - the Lake Borgne Basin Levee District, the Lake Borgne Basin Levee District Board of Commissioners, and/or their insurer; Subclass 2 - the East Jefferson Levee District, the East Jefferson Levee District Board of Commissioners, and/or their insurer; and Subclass 3 - the Orleans Levee District, the Orleans Levee District Board of Commissioners, and/or their insurer.

Under the settlement, a settlement fund worth approximately $20.8 million will be established for the benefit of the Settlement Class, as well as to cover costs and expenses. Under the settlement, the Court will confirm that this settlement fund represents all insurance money available to the Settling Defendants. Under law, the Settlement Class can get no additional money or property in this settlement because the Settling Defendants are governmental bodies.

Notices informing Settlement Class members about their legal rights will be mailed, and are scheduled to appear in local newspapers leading up to hearings on April 2, 2009, when the Court will decide whether to approve or certify the Settlement Class and, if so, whether to grant final approval to the settlement. The hearings may be moved to a different date or time without additional notice, so it is a good idea to check www.LeveeBreachClass.com.

If the settlement is approved, the Court will appoint an independent "Special Master" to oversee the settlement fund. The Special Master will recommend to the Court how to administer the settlement fund for the benefit of the Settlement Class. The Court may request that a second notice be issued to Settlement Class members explaining how the settlement fund will be used or administered.

The Court has appointed Joseph M. Bruno of The Law Offices of Joseph M. Bruno of New Orleans, Louisiana; James P. Roy of Domengeaux Wright Roy and Edwards of Lafayette, Louisiana; and Gerald E. Meunier of Gainsburgh, Benjamin, David, Meunier & Warshauer, L.L.C., of New Orleans, Louisiana to represent the Settlement Class as "Class Counsel."

Those affected by the settlement cannot exclude themselves from the settlement, but they can object to the approval (or certification) of the Settlement Class and/or to the approval of the settlement. The deadline for objections is March 13, 2009.

A toll-free number, 1-888-287-5893, has been established in this case (called In Re: Katrina Canal Breaches Consolidated Litigation, No. 05-4182), along with a website, www.LeveeBreachClass.com, where notices, the settlement agreement, and the Court's preliminary approval order may be obtained. Those affected may also write to Levee Breach Settlement, PO Box 5053, Portland, OR 97208-5053 for more information.