Defective Razor Scooter Lawsuit Settlement
MANUFACTURER FAILED TO WARN CONSUMERS OF DEFECT ADEQUATELY
On July 7, 2005, the Honorable Carl J. West of the Los Angeles Superior Court preliminarily approved a nationwide class action settlement on behalf of all persons in the United States who are or were owners of Razor E200, E200S, E300, E300S electric scooters with a manufacture date of February 2004 or earlier. Judge West also appointed Girard, Gibbs as co-lead counsel for the settlement class. Girard Gibbs filed the class action suit in June 2004 alleging that Razor E series electric scooters are defective in that the scooters accelerate when the speed controller is in the off position causing the scooter to propel forward without warning. The suit also alleged that once Razor learned of the defect it failed to adequately warn consumers of it and failed to recall the defective scooters. The settlement provides for repair or replacement of the scooters through a separate CPSC recall, as well as reimbursement of money paid to Razor for a replacement speed controller to fix the run-on problem. Razor has also notified retailers to return any of the affected scooters. Class notice will be provided by July 22, 2005. Judge West set a final settlement approval hearing for October 20, 2005.
Frequently Asked Questions about the Razor Settlement:
1. What Is This "Notice" Letter Talking About?
2. Are You Suing Me?
3. What Is A Class Action?
4. How Do I Know If I Am Part Of The Settlement?
5. Who Was Mailed The Notice Of The Proposed Settlement?
6. What Relief Is Available Under The Settlement?
7. How Do I know Whether I Have An E200, E200S, E300, or E300S Razor Electric Scooter?
8. How Can I Determine When My Scooter Was Manufactured?
9. Do I Need Proof of Payment To File A Claim For A Replacement Speed Controller?
10. When Will I Receive My Reimbursement For The Money I Paid Razor For A Replacement Speed Controller?
11. If I Want To Participate In The Settlement, What Do I Do?
12. If I Do Not Do Anything, What Happens?
13. How Do I Receive a Repaired Or Replacement Scooter?
14. What If I Already Participated In The Recall?
15. What Is The Deadline For Receiving a Repaired or Replacement Scooter?
16. What Is The Deadline For Submitting A Claim For Reimbursement of Payment of Money To Razor?
17. What Address Do I Mail The Claim Form To?
18. How Do I Tell The Court What I Think Of The Settlement?
19. I Do Not Want To Participate In The Settlement. How Do I Opt-Out Of (Exclude Myself From)The Settlement?
20. What Happens If I Do Not Opt-Out (Exclude Myself) From The Settlement Class?
21. How Do I Get In Touch With The Attorneys For The Settlement Class?
22. Do I Have To Go To Court? I Do Not Want To Or Cannot Go To Court.
23. Do I Have To Pay An Attorney For Any Of This?
24. What Is The $1500 'Incentive Payment' To The Class Representative?
25. How Did You Get My Address/Other Personal Information?
26. The Person You Sent The Notice To Died. What Should I Do With This Notice?
27. What If I Did Not Receive A Class Notice And Claim Form, Or I Lost It, Or My Information Is Incorrect?
28. What If I Still Have Questions?
1. What Is This 'Notice' Letter Talking About?
The 'Notice' you received refers to the settlement of a class action lawsuit against Razor (discussed in the next paragraph). You received the Notice because you may be a member of the Class, and may be able entitled to certain settlement benefits, such as a new or repaired scooter and reimbursement for money paid to Razor for a new speed controller. YOU ARE NOT BEING SUED.
In June 2004, Girard Gibbs filed a class action lawsuit against Razor in California on behalf of all owners of E200/E300 Razor electric scooters. The lawsuit alleged that the scooters were defective in that they accelerate when the speed controller is in the off position causing the scooter to propel forward without warning ('the run-on problem'). The lawsuit also alleged that once Razor learned of the defect it failed to adequately warn consumers of it and failed to recall the defective scooters.
The parties to the action reached a Settlement and the letter you received is the 'Notice' required under the law to be given to each class member that can be identified with reasonable efforts. Under the terms of the proposed Settlement, if you are or were the owner of a Razor E200, E200S, E300, or E300S electric scooter manufactured in February 2004 or earlier, you are included in the Settlement Class, and you were mailed a Notice based on records maintained by Razor.
The Notice is provided to you so that you can decide if you want to be included as part of the Settlement and receive the benefits under the Settlement, or if you want to opt-out (exclude yourself) from the Settlement Class, or if you want to comment about the settlement, as described below.
YOU ARE NOT BEING SUED. If Razor's records show that you are or were the owner of an E200, E200S, E300, or E300S electric scooter manufactured in February 2004 or earlier, then under the terms of the Settlement you are included in the Settlement Class and you should have been mailed a Notice.
In a class action, one or more people, called Class Representatives (in this case Sam Fantauzzo), sue on behalf of all other people, the 'Class,' who have similar claims. All of these people are called 'Class members.' One court resolves the issues in the case for all Class Members, except for those who exclude themselves from the Class. California Superior Court Judge Carl J. West of the Los Angeles Superior Court is the judge assigned to this class action.
4. How Do I Know If I Am Part Of The Settlement?
Membership in the Settlement Class depends on whether you own or owned a Razor E200, E200S, E300, or E300S electric scooter manufactured in February 2004 or earlier. The Settlement Class is defined as:
All Persons in the United States who are or were owners of Razor E200, E200S, E300, or E300S electric scooters with a manufacture date of February 2004 or earlier.
Please note: You are a member of the Settlement Class if you received your Razor scooter as a gift.
5. Who Was Mailed The Notice Of The Proposed Settlement?
If Razor's records show that you are or were the owner of one of the products identified, then you should have been mailed a Notice and an accompanying Claim Form. If you did not receive a mailed Notice and Claim Form, you may still be a member of the Settlement Class. Even if you did receive a mailed Notice and Claim Form you might not be a member of the Settlement Class.
6. What Relief Is Available Under The Settlement?
The Settlement provides for the following types of relief:
Scooter Repair Or Replacement:
In connection with the Consumer Product Safety Commission (CPSC) recall, which encompasses all scooters at issue in this lawsuit, Razor has agreed to repair or replace, at Razor's election, all E200, E200S, E300, E300S scooters manufactured on or before December 31, 2004. The repaired or replacement scooter will include an upgraded speed controller. To obtain relief, you should call the Razor USA Recall Hotline at (866) 664-1409 (toll free). You need do nothing further to receive this benefit.
Class Members Who Paid For A Replacement Speed Controller To Fix A Run-On Problem:
Class members who paid Razor for a replacement speed controller to fix a run-on problem, Razor will provide refunds of those payments upon submission of a reasonably documented Claim Form. To obtain relief, you must submit a timely and valid Claim Form which you may download on this website or by visiting www.razor.com.
7. How Do I know Whether I Have An E200, E200S, E300, or E300S Razor Electric Scooter?
First, be sure your scooter has the Razor logo on it. Second, the model numbers appear on the down tube attaching the handlebars to the deck. Third, the scooters are powered by battery motors, collapsible for storage, and are equipped with a stepping plate and kickstand attached to the base. The E200 and E200S models are silver and red. The E300 and E300S models are silver and green. Models E100 and E100S are not a part of this Class Action Settlement.
8. How Can I Determine When My Scooter Was Manufactured?
First, you need to locate your serial number. If you have trouble locating your serial number, visit the Razor website at www.razor.com and click on the safety recall notifications link. There you can view a picture of the E series scooter and the location of the serial number. Then call Razor at (866) 664-1409 and they will tell you whether or not your scooter is manufactured prior to December 31, 2004 and thus, part of the recall.
9. Do I Need Proof of Payment To File A Claim For A Replacement Speed Controller?
In order to receive reimbursement of money paid to Razor for the repair or replacement of a speed controller due to the run-on problem, you must sign and submit a claim form with either (1) receipts or other proof that the payment was actually made to Razor or (2) an identification of the approximate amount of the payment, the approximate date of the payment and a statement that the payment was made to Razor for a replacement speed controller. In either case, you must sign and return the claim form to Razor by December 31, 2005.
10. When Will I Receive My Reimbursement For The Money I Paid Razor For A Replacement Speed Controller?
Razor will begin issuing this benefit to people who submit timely and valid claims once the Court has reviewed the Settlement and has issued an order granting final approval of the Settlement and after the time has passed for anyone to appeal the settlement. The Court has scheduled the final approval hearing for October 20, 2005.
11. If I Want To Participate In The Settlement, What Do I Do?
If you want to receive a repaired or replacement scooter you need to participate in the recall by contacting the Razor recall hotline at (866) 664-1409. If you want to receive a reimbursement for money paid to Razor for a replacement speed controller to fix the run-on problem, you must submit a completed claim form within the time period identified in the Notice.
12. If I Do Not Do Anything, What Happens?
If you do not contact Razor to arrange for a repair or replacement scooter or if you do not submit a claim within the time period identified in the Notice, and you do not opt out, you will remain in the class, but you will not receive a settlement payment and you will release all of your rights relating to the legal claims in this case. There is no time limit on contacting Razor to arrange for a repair or replacement scooter, however, you should do so as soon as possible.
13. How Do I Receive a Repaired Or Replacement Scooter?
If you want to receive a repaired or replacement scooter you need to contact the Razor recall hotline at (866) 664-1409. You need not fill out a claim form to receive this benefit.
14. What If I Already Participated In The Recall?
If you already participated in the CPSC recall, and you are not making a claim for reimbursement of money paid to Razor for a replacement speed controller, then you do not need to do anything further.
15. What Is The Deadline For Receiving a Repaired or Replacement Scooter?
There is no deadline by which you must contact Razor to arrange for a repair or replacement scooter, however, you should do so as soon as possible. You should not ride the scooter if it is subject to the recall and you should not allow anyone else to ride the scooter if it is subject to the recall.
16. What Is The Deadline For Submitting A Claim For Reimbursement of Payment of Money To Razor?
For reimbursement of payment of money to Razor for a replacement speed controller due to the run-on problem, your claim form must be postmarked no later than December 31, 2005.
17. What Address Do I Mail The Claim Form To?
The address to where the claim form should be mailed is located at the top of the claim form and is as follows:
Razor USA LLC
P.O. Box 3610
Cerritos, CA 90703
18. How Do I Tell The Court What I Think Of The Settlement?
As a Class Member, you have the right to object to or comment in support of the proposed Settlement, the proposed award of attorneys' fees and expenses, or the proposed payment of incentive award to the class representative.
To object to or comment in support of the proposed Settlement, you must submit a signed written statement setting forth: (1) your name, address, and telephone number; (2) the reference 'Fantauzzo v. Razor USA LLC, Case No. BC 317078'; and (3) your objections, comments and any supporting arguments, to:
Clerk of the Court
Superior Court of California for Los Angeles County
Central Civil West Courthouse
600 South Commonwealth Avenue
Los Angeles, CA 90005
You must also mail copies of your entire written submission to Plaintiff's Counsel and Razor's counsel at the following addresses:
Plaintiff's Counsel:
Eric H. Gibbs
Girard Gibbs LLP
601 California Street, Suite 1400
San Francisco, CA 94108
Razor's Counsel:
Alexander F. MacKinnon
Kirkland & Ellis LLP
777 South Figueroa Street
Los Angeles, CA 90017
To be considered by the Court, your objections or supporting comments must be actually received by the Clerk of the Court, Plaintiff's Counsel, and Razor's counsel, and not merely postmarked, no later than September 16, 2005. You cannot both request exclusion and make an objection. Only those who remain in the Class may make an objection.
The Court will hold a hearing to decide whether to grant final approval of the proposed settlement. The hearing is scheduled for October 20, 2005, before the Honorable Carl J. West, Judge of the Superior Court, in Courtroom 311 of the Superior Court of California for Los Angeles, 600 South Commonwealth Avenue, Los Angeles, California 90005. Settlement Class Members will be permitted to speak at the hearing, but only if they follow the procedures above.
19. I Do Not Want To Participate In The Settlement. How Do I Opt-Out Of (Exclude Myself From) The Settlement?
The opt-out deadline is September 1, 2005. If you choose to opt-out (exclude yourself) from the Settlement Class, you will not receive the benefits of the Settlement, and your claims will not be released. You still may, however, return your scooter for repair or replacement by Razor in connection with the CPSC recall. If you wish to opt-out (exclude yourself) from the Settlement Class, you must send a written request for exclusion postmarked by September 1, 2005, to the following:
Plaintiff's Counsel:
Eric H. Gibbs
Girard Gibbs LLP
601 California Street, Suite 1400
San Francisco, CA 94108
Razor's Counsel:
Alexander F. MacKinnon
Kirkland & Ellis LLP
777 South Figueroa Street
Los Angeles, CA 90017
Your written request for exclusion must be signed and sent by First-Class mail, stating (1) your name, address, and telephone number; (2) the reference ' Fantauzzo v. Razor USA LLC, Case No. BC 317078'; and (3) include the following statement 'I am opting out of participation in the proposed class in Fantauzzo v. Razor USA LLC, Case No. BC 317078, and I hereby exclude myself from participation in any settlement approved in that action.' Requests for exclusion must be mailed to both Plaintiff's Counsel and Razor's Counsel at the addresses listed above, postmarked no later than September 1, 2005. If you submit a request for exclusion that does not comply with these requirements, your request will be deemed invalid, and you will not be excluded from the Class.
20. What Happens If I Do Not Opt-Out (Exclude Myself) From The Settlement Class?
If you meet the definition of the Settlement Class and do not opt-out, you will remain in the Settlement Class. This means you may be able to make a claim and receive relief. Also, the Court will enter a judgment dismissing the lawsuit against Razor with prejudice, and releasing all claims that you have or may have against Razor, its affiliates, officers, directors, shareholders, employees, agents, related entities, etc. related to the allegations that Razor failed to properly notify consumers of a potential defect in the speed controllers on E200, E200S, E300, and E300S scooters manufactured in February 2004 or earlier, misrepresented the nature of the potential defect, and failed to recall the potentially defective scooters. The proposed settlement does not release claims for personal injury or physical property damage, if any.
21. How Do I Get In Touch With The Attorneys For The Settlement Class?
You can contact Plaintiff's Counsel by sending an e-mail to www.razorsettlement@girardgibbs.com. Due to the high volume of e-mails, it may take up to three business days to respond to your e-mail. Please do not direct any questions to the Court.
22. Do I Have To Go To Court? I Do Not Want To Or Cannot Go To Court.
You do not have to go to court . To remain in the settlement, you do not have to do anything. To receive a repaired or replacement scooter all you have to do is call Razor at (866) 664-1409 (toll free). To receive a reimbursement for money paid to Razor for a replacement speed controller due to the run-on problem, all you have to do is complete and mail a Claim Form, provided with the Class Notice, by the deadline stated therein.
23. Do I Have To Pay An Attorney For Any Of This?
No. You are not responsible for paying any attorneys' fees or expenses out of your own pocket. Any fees and expenses of the Plaintiffs' attorneys in connection with this case will be paid by Razor in the amount approved by the Court.
This litigation began in June 2004. Plaintiffs' counsel in this lawsuit have worked on this case on an entirely contingent basis, which means they agreed to be paid only if they eventually recovered something for their clients. Thus, at this time, none of Plaintiffs' counsel have been paid for their services or received any reimbursement for out-of-pocket expenses. As a result of Plaintiffs' counsels' efforts in this litigation, they were able to successfully negotiate the present settlement. As part of the settlement, Plaintiffs' counsel will apply for attorneys' fees and expenses in an amount not to exceed $325,000.00.
Any award of attorneys' fees and expenses will not reduce the value of benefits provided to the class under the settlement, and will be paid separately by Razor. Under no circumstances will you be required to pay any attorneys' fees or costs as a consequence of your decision to participate in the settlement.
24. What Is The $1500 'Incentive Payment' To The Class Representative?
Plaintiffs' counsel will ask the Court to award a $1500 incentive payment to the Class Representative. The Class Representative is the individual who originally filed the lawsuit against Razor. The incentive award is sought in recognition of the time and effort the Class Representative expended in pursuing the lawsuit, in participating in discovery, in fulfilling his obligations and responsibilities as Class Representative, and of the benefits conferred on the Class by the settlement. Any incentive award to the named plaintiff that the Court approves will not reduce the value of benefits provided to the class members under the settlement, and will be paid separately by Razor.
25. How Did You Get My Address/Other Personal Information?
The list of addresses for mailing the settlement notice was taken from Razor's records. The mailing will not result in disclosure of your financial or other identifying information. Because of the way Razor maintains its records, this Notice may have been sent to persons who are not members of the class.
26. The Person You Sent The Notice To Died. What Should I Do With This Notice?
If you are the beneficiary of the deceased person's estate, you may recover under this Settlement on his or her behalf. To do so, submit a copy of the death certificate and power of attorney or other legal documentation to show that you are authorized to act on behalf of the estate.
27. What If I Did Not Receive A Class Notice And Claim Form, Or I Lost It, Or My Information Is Incorrect?
If you need a new Notice and/or Claim Form, you can access a pdf version of the documents and print them from this website or www.razorsettlement.com. Go to the home page and click on the appropriate link(s).
If you just need to provide updated information about yourself, your address, etc. simply write it on the Claim Form (or on your exclusion request or objection, if applicable) when you mail it in. If your address changes after you have submitted your Claim Form you must notify Razor in writing at Razor USA LLC, P.O. Box 3610, Cerritos, CA 90703.
28. What If I Still Have Questions?
If you still have questions, feel free to contact us at razorsettlement@girardgibbs.com.