YOUR LEGAL RIGHTS AND OPTIONS IN THIS SETTLEMENT:
DO NOTHING
If you do nothing, you will receive a payment from the Settlement and you will release the claims summarized in Paragraph 8.
EXCLUDE YOURSELF
If you wish to exclude yourself (“opt out”) from the Settlement, you must follow the directions outlined in Paragraph 9 below. If you request exclusion, you will receive no money from the Settlement, but also will not release any claims against Pharmacann Inc. (“Pharmacann”). Your exclusion request must be postmarked no later than March 17, 2025.
OBJECT
If you think the Arbitrator should not approve the Settlement for any reason, you may object to the settlement, following the directions outlined in Paragraph 10 below. You must object in writing in order to appear at the Fairness Hearing to speak to the Arbitrator about the fairness of the Settlement. Your written Objection must be postmarked no later than March 17, 2025.
Basic Information
- Why did I receive this Notice, and what is this case about?
You are receiving this Notice because Pharmacann’s records indicate that you were one of the Sixty-six individuals subject to a background check for employment purposes in Maryland by Pharmacann or a company it acquired, that are the subject of this settlement.
Claimant alleged that during this time period, Pharmacann violated the disclosure and authorization provisions of the Fair Credit Reporting Act (“FCRA”), as to the running of background checks on potential employees. Pharmacann denies these allegations. This Notice has been sent because members of the Class have a right to know about the proposed Settlement of the class action lawsuit in which they are putative class members, and about all of their options, before the Arbitrator decides whether to approve the Settlement.
- Why is there a Settlement?
The Arbitrator did not decide in favor of Claimant or in favor of Pharmacann. Both sides believe they would have prevailed, but there was no final ruling in favor of either party. Instead, both sides agreed to a settlement. The parties engaged in lengthy and arm’s length negotiations to reach this Settlement. That way, they avoid the delays and uncertainties associated with a trial.
WHO IS IN THE SETTLEMENT
- How do I know if I am part of the Settlement?
You are part of the Settlement if, based on Pharmacann’s records, at some time between September 7, 2021 and January 15, 2025, you were subject to a background check for employment purposes in Maryland by Pharmacann or a company it acquired, and were one of the sixty-six individuals identified by Pharmacann as impacted. If you are not sure about whether you are a member of the Class, you can contact the Settlement Administrator as identified in Paragraph 16 of this Notice.
WHAT YOU GET
- What does the Settlement provide?
Pharmacann has agreed to pay $115,000, which will be used to cover payments to Class Members, Class Counsel’s attorneys’ fees and costs, the costs of administering the Settlement, and a service payment not to exceed $5,000 to the Claimant who brought the lawsuit and assisted with it.
5. How much will my payment be?
The amount of money you individually receive will depend both on the amounts the Arbitrator approves for attorneys’ fees and costs, service award, and settlement administration costs, and on how many Class Members elect to opt-out of the Settlement. Each Class Member will receive one share of the Net Settlement Fund. The value of each share will be determined by dividing the total amount of the Net Settlement Fund by the total number of shares, which is defined as the total number of Class Members who have not opted out.
HOW YOU GET A PAYMENT
6. How can I get my payment?
In order to receive a payment, you do not need to do anything at this time. The Settlement Administrator will mail you a check after final approval of the settlement. If you choose to exclude yourself (as explained in Paragraph 9 below), then you will not receive a payment and will not be part of the Settlement.
7. How will my payment be taxed?
Your payment will be allocated as non-wage income and may be reported on an IRS Form 1099 depending on the amount. Neither Class Counsel nor Pharmacann makes any representations concerning the tax consequences of this Settlement and you are advised to seek your own personal tax advice regarding the tax implications of the Settlement.
8. What claims will I be releasing?
If the Arbitrator grants final approval of the Settlement, then all Class Members who did not opt out are giving up (also called “releasing”) all claims that arise out of or are related in any way to Pharmacann’s disclosure and compliance with 15 U.S.C. §§1681b(b)(2)(A)(i)-(ii), and any other analogous state or federal statutory or common law claim (including, but not limited to, for invasion of privacy) arising out of the application for employment. The full Settlement Agreement, including the full release language, can be accessed on this webpage.
EXCLUDING YOURSELF FROM THE SETTLEMENT
If you want to be able to file suit against Pharmacann on your own, then you must exclude yourself from the Class. This process is sometimes also referred to as “opting out.”
- How do I opt out of the Settlement?
To exclude yourself from the Settlement, you must complete and sign a written request to the Settlement Administrator at the contact information provided in Paragraph 16. Exclusion requests must: (a) be personally signed by you; (b) include your full name and address; and (c) include the following statement: “I/we request to be excluded from the Settlement in the Kemal Hameed v. Pharmacann Inc. action.” No request for exclusion will be valid unless all of the information described above is included.
Your exclusion request must be postmarked no later than March 17, 2025, and sent to the Settlement Administrator at the contact information provided in Paragraph 16.
OBJECTING TO THE SETTLEMENT
- How do I tell the Arbitrator that I do not like the Settlement?
You can object to the Settlement if you do not like any part of it. To object, you must make any objection in writing and submit to Settlement Administrator at the contact information provided in Paragraph 16. The objection must also be mailed to each of the following, postmarked no later than the last day to file the objection: (a) Class Counsel – Christopher M. McNerney, Outten & Golden LLP, 685 Third Avenue, 25th Floor, New York, NY 10017, and (b) Pharmacann’s Counsel – Jennifer Monrose Moore, Ogletree, Deakins, Nash, Smoak & Stewart, P.C., 100 N. Tampa Street, Suite 3600, Tampa, Florida 33602. An objection must: (a) attach documents establishing, or provide information sufficient to allow the Parties to confirm, that you are a Class Member; (b) include a statement of your specific objection; (c) state the grounds for your objection, including that you are objecting to the Settlement, as well as identify any documents which you want the Arbitrator to consider; and (d) if you are represented by an attorney, list the attorney representative and list all other cases in which you have filed an objection.
Your objection quest must be postmarked no later than April 15, 2025.
If you choose to object, you have the right to appear at the Fairness Hearing either on your own behalf or through counsel, should you retain your own counsel. You do not need to be represented by an attorney to object. However, if you choose to retain your own counsel, you will be solely responsible for any attorneys’ fees and costs incurred. If you wish to appear at the Fairness Hearing, you must state your intention to do so in writing in your Objection.
THE LAWYERS REPRESENTING YOU
- Do I have a lawyer in this case?
The Arbitrator has appointed Claimant Kemal Hameed as Class Representative. The Arbitrator has appointed Outten & Golden, LLP to represent you and all Class Members. These lawyers are called “Class Counsel.” Unless you elect to exclude yourself from the Settlement, you will continue to be represented by Class Counsel in connection with the implementation of the Settlement throughout the duration of the terms of the Settlement at no cost to you. Class Counsel may be contacted here:
| Christopher M. McNerney Outten & Golden, LLP 685 Third Avenue, 25th Floor New York, New York 10071 Telephone: (212) 245-1000 PharmacannClassSettlement@outtengolden.com |
- How will the lawyers be paid?
Class Counsel will ask the Arbitrator to approve payment of up to 1/3rd of the Settlement Fund for their attorneys’ fees, plus reimbursement of actual litigation expenses and costs and reimbursement of settlement administration costs.
13. How will the Claimant be paid?
Class Counsel will seek a $5,000 Service Award for Claimant Kemal Hameed, for his work representing the Class.
THE ARBITRATOR’S FAIRNESS HEARING
- Where and when will the Arbitrator decide whether to approve the Settlement?
The Arbitrator is currently scheduled to conduct a Final Approval Hearing regarding the proposed Settlement on June 3, 2025, at 9:00 a.m., via zoom. You do not need to attend the hearing, but you may attend if you would like at your own expense. You may ask the Arbitrator for permission to speak at Final Approval Hearing.
At this hearing, the Arbitrator will consider the fairness, reasonableness, and adequacy of the Settlement. If there are objections, the Arbitrator will consider them. After the hearing, the Arbitrator will decide whether to approve the Settlement. We do not know how long the Arbitrator’s decision will take. Please also note that the Arbitrator can continue the Final Approval Hearing to another date without further notice. Information to access the zoom hearing will be placed in the settlement website at least one week before the hearing.
- Are there more details about the Settlement?
The full Settlement Agreement and certain pleadings filed are available on this website. You can also contact the Settlement Administrator at:
Apex Class Action, LLC
P.O. Box 54668
Irvine, CA 92619
Email: claims@apexclassaction.com
Fax: (949) 989-4428
Office: (800) 355-0700
