By Emily Field
Two members of a settled class action accusing Bank of America NA of accusing the bank of overcharging homeowners for forceplaced insurance told the Eleventh Circuit on Tuesday that the $228 million deal shouldn’t have been approved because the settlement amount is illusory.
Appellants Michael and Jill Trapasso told the Eleventh Circuit that a Florida federal judge shouldn’t have signed off on the settlement last year and the class counsel’s $16 million fees because there’s no common fund and no minimum payout. The Trapassos say that the $228 million valuation is “fiction,” only a small percentage of class members had filed claims before the deal was approved and there’s no evidence how many of those are valid claims.
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