1. All Settlement Class members who have open accounts and who, in the last billing cycle prior to the Date of Implementation, receive a statement from Defendant (as of October 31, 1997 approximately 882,000 class members) will receive credits to their accounts in the amounts of $5.50 for Contract Class Members and $2.26 for Solicitation class Members minus, for all class members, their pro rata share of attorneys' fees and class plaintiffs' costs, and incentive payments (collectively the "Settlement Amounts"). They will be informed of the credit by language on their periodic statements acceptable to class Plaintiffs' Counsel, First USA and the Trial Lawyers for Public Justice ("TLPJ").
2. All Settlement Class Members who have open accounts and who have a balance on their account at the Date of Implementaiton that is due and owing to Defendant, but are no longer receiving statements from Defendant (as of October 31, 1997 approximately 107,000 class members) will automatically receive credits in the Settlement Amounts. They will not be specially informed of the credit.
3. All Settlement Class Members who have open accounts and who do not have a balance on their account for the billing cycle prior to the Date of Implementation and therefore do not receive a statement during that billing cycle (as of October 31, 1997 approximately 340,000 class members) will be sent a notice in a form and envelope acceptable to Class Plaintiffs' Counsel, First USA and TLPJ, stating that their accounts will be credited with the appropriate Settlement Amount if they incur charges on their account in the following six month period.
4. Terminated Account Class Members who have outstanding balances (as of October 31, 1997 approximately 3000 class members) will receive automatic credits in the Settlement Amounts without special notice during the first billing cycle after the Date of Implementation.
5. Terminated Account Class Members who do not have outstanding balances (as of October 31, 1997 approximately 297,000 class members) will receive rebate certificates, with return postage prepaid, entitling them to receive checks for the Settlement Amounts. The rebate certificates must be returned within 60 days, but the checks will be good for as long as applicable state law permits. The form and content of the rebate certificates, and the envelope they are enclosed in, must be acceptable to TLPJ, First USA, and Class Counsel.
6. The Court will be provided with an Amended and Restated Settlement Agreement and Release setting forth all of the terms in one document.
7. Within an appropriate time after the Date of Implementation, First USA will file a report with the Court (with copies to Class Counsel and TLPJ) setting forth the amounts distributed to each group, the amounts distributed to each group, and the total amount distributed. Upon a showing of good cause by Defendant, the period in which the final report must be filed, may be extended. The report will be used, inter alia, to determine whether the $6 million minimum payment requirements set forth below has been satisfied.
8. The Date of Implementation shall be the date selected by Defendant which is within the first ninety (90) days after the Effective Date.
9. First USA will pay a minimum of $6 million for (a) credits applied and checks mailed to class members; (b) incentive payments, costs, and attorneys' fees; and return postage on the rebate certificates actually returned. If those payments do not total at least $6 million, then the difference between that total and $6 million will be paid by First USA for the indirect benefit of the class, in accordance with cy pres principles, to an appropriate charitable group (or groups) agreed to by First USA, Class Counsel, and TLPJ, or, if no agreement can be reached, an appropriate charitable group (or groups) selected by the Court.
10. On the first available date after the Implementation Date, First USA will credit $1000 to the accounts of Jane Tucker, Libby Spears and Catherine M. Ross and send care of her counsel a check in the amount of $1000 payable to Laura Davies. The amounts payable to Jane Tucker and Laura Davies will not be deducted from the class members' share of the recovery.
11. First USA will pay TLPJ's documented litigation costs and expert witness costs and fees up to $35,000. These payments will not be deducted from the class members' share of the recovery.
12. TLPJ and its cooperating counsel will seek an award of attorneys' fees not to exceed $300,000. First USA will not oppose any fee request by TLPJ up to $300,000. Any attorneys' fees awarded to TLPJ or its cooperating counsel will be deducted from the class members' share of the recovery.
13. Class Counsel will seek and First USA will not oppose an award of attorneys' fees not to exceed $1.24 million. Any attorneys' fees awarded to Class Counsel (like any costs and incentive payments awarded to the class representatives) will be deducted from the class members' share of the recovery.
14. TLPJ will withdraw its objections and affirmatively urge approval of the settlement on the terms stated herein. If the settlement is approved, TLPJ will not appeal.