Fusion Elite All Stars, et al. v. Varsity Brands, LLC, et al.

The notice explains the proposed Settlement in a class action lawsuit called Fusion Elite All Stars, et al. v. Varsity Brands, LLC, et al., Case No. 2:20-cv-02600-SHL-tmp, and the legal rights and options of the members of the Settlement Classes to participate in it, or not, before the Court decides whether to give final approval to the Settlement. This notice explains the Action, the proposed Settlement, your legal rights, the benefits available, eligibility for those benefits, and how to get them. The Honorable Sheryl H. Lipman in the United States District Court for the Western District of Tennessee is overseeing this Action.

The persons or entities who started this case are called the “Plaintiffs.” The Plaintiffs are Fusion Elite All Stars, Spirit Factor LLC d/b/a Fuel Athletics, Stars and Stripes Gymnastics Academy Inc. d/b/a Stars and Stripes Kids Activity Center, Janine Cherasaro, Lauren Hayes, and Kathryn Anne Radek.

The Court has certified the Gym Class and the Spectator Class for purposes of this Settlement. The Court has also approved Fusion Elite All Stars, Spirit Factor LLC d/b/a Fuel Athletics, and Stars and Stripes Gymnastics Academy Inc. d/b/a Stars and Stripes Kids Activity Center to act as Class Representatives on behalf of the Gym Class for purposes of this Settlement only. The Court has approved Janine Cherasaro, Lauren Hayes, and Kathryn Anne Radek to act as Class Representatives on behalf of the Spectator Class for purposes of this Settlement only.

The companies Plaintiffs sued and settled with in this Action are the “Defendants.” Defendants are Varsity and USASF.

Generally, Plaintiffs allege that Defendants engaged in an anticompetitive scheme in violation of the Sherman Antitrust Act, 15 U.S.C. Section 2. Specifically, Plaintiffs allege that Varsity engaged in a series of acts as a means to obtain and maintain monopoly power in the alleged market for All Star Cheer Events, including: (1) acquisitions of multiple rival All Star Event producers (“Event Producers” or “Eps”); (2) use of loyalty programs allegedly to impose penalty prices on All Star Gyms (“Gyms”) unless they competed almost exclusively in Varsity Events; and (3) collusion with the USASF allegedly to facilitate Varsity’s control of the All Star Events market. Plaintiffs allege that these acts, when taken together, injured members of the proposed Gym Class in the form of overcharges Gyms allegedly paid directly to Varsity to participate in Varsity All Star Events, and injured members of the proposed Spectator Class in the form of overcharges Spectators allegedly paid directly to Varsity to watch Varsity All Star Events during the Class Period.

Defendants believe that Plaintiffs’ claims lack merit, that Defendants conduct helped and did not harm competition, that Defendants have valid defenses to Plaintiffs’ claims, and that Plaintiffs’ claims would have been rejected prior to trial, at trial, or on appeal.

You may obtain more information regarding the specific allegations of the Action by reviewing the Consolidated Complaint.

In a class action, people or businesses sue not only for themselves but also on behalf of other people or businesses with similar legal claims and interests. Together all people or businesses with similar claims and interests form a specifically defined class and are class members.

For purposes of this Settlement, the Court has certified the Gym Class and the Spectator Class (discussed further below in FAQ 5). This means that if the Court approves this Settlement, it is applicable to all members of both Settlement Classes (except class members who exclude themselves).

Plaintiffs and Settlement Class Counsel believe that the members of the Gym and Spectator Classes have been damaged by Defendants’ conduct, as described in the Consolidated Complaint. Defendants believe that Plaintiffs’ claims lack merit and would have been rejected prior to trial, at trial, or on appeal. The Court has not decided which side was right or wrong or if any laws were violated. Instead, both sides agreed to settle the case and avoid the delays, cost, and risk of trial and appeals that would follow a trial.

This Settlement is the product of extensive negotiations, including mediation before an experienced mediator, chosen by the parties. Settling this case allows members of the Gym and Spectator Classes to receive cash payments (see Question 6 below). In addition, under the Settlement, the Defendants have agreed to certain changes to their conduct beginning on the date of final approval of the Settlement through and including December 31, 2028 (see FAQ 6 below).

The parties agreed to settle this case only after several years of extensive litigation and after the close of fact and expert discovery. During discovery, Plaintiffs reviewed and analyzed tens of thousands of pages of documents and conducted numerous fact witness depositions. The parties also completed expert discovery, which included the exchange of multiple expert reports and the depositions of all experts.

The Settlement allows members of the Gym Class and Spectator Class who submit valid and timely claims to receive some compensation, rather than risk ultimately receiving nothing. The Settlement also provides for Defendants to change some of their conduct that Plaintiffs alleged had injured them. Plaintiffs and Settlement Class Counsel believe the Settlement is best for all members of the Gym Class and Spectator Class.

If the Settlement is approved, Plaintiffs and the Gym Class and Spectator Class will dismiss and release their claims against Defendants and certain other Released Parties (identified in the Settlement Agreement).

In the Court’s Preliminary Approval Order of April 25, 2023, the Court defined the following Settlement Classes:

Gym Class. All entities that paid registration or related fees and expenses directly to Varsity to participate in Varsity All Star Events from May 26, 2016 through March 15, 2023.

Spectator Class. All persons who paid entrance (admission) or other fees and expenses directly to Varsity to observe Varsity All Star Events May 26, 2016 through March 15, 2023.

Excluded from the Settlement Classes are Defendants, their parent companies, subsidiaries, affiliates, franchisees, officers, executives, and employees; any entity that is or has been partially or wholly owned by one or more Defendants or their respective subsidiaries; States and their subdivisions, agencies and instrumentalities; and any judicial officer presiding over this matter and his or her staff, except that officers of USASF who are not employees of any of Defendants, their parent companies, subsidiaries, affiliates, or franchisees shall not be excluded from the Settlement Classes.

If you are not sure whether you are part of one of these Settlement Classes, contact the Claims Administrator at:

Call the toll-free number, 1-(888)-610-6050

Write to: All Star Cheer Antitrust, c/o Claim Administrator, 1650 Arch Street, Suite 2210, Philadelphia, PA 19103

Email: Info@AllStarCheerAntitrustSettlement.com

Varsity has agreed to provide $43,500,000 in cash to be paid over two years. The Settlement also provides that if members of the Gym Class and Spectator Class, collectively comprising more than a threshold share of the Settlement Classes’ direct purchasers from Varsity during the Class Period, exclude themselves, Varsity would be entitled to reimbursement of some of the Settlement Amount.

Every member of the Gym Class and Spectator Class that (a) does not exclude himself, herself, or itself from either Settlement Class by the deadline described below and (b) files a valid and timely claim during a process that will occur later (“Authorized Claimant”) will be paid from the monies provided by Varsity in this Settlement (the “Settlement Fund”). The money in this Settlement Fund (after any reduction for opt-outs) will be also used to pay:

• The cost of settlement administration and notice, and applicable taxes on the Settlement Fund and any other related tax expenses, as approved by the Court,
• Money awards for Representative Plaintiffs for their service on behalf of the Gym Class and Spectator Class, as approved by the Court, and
• Attorneys’ fees and reimbursement of expenses for Settlement Class Counsel, as approved by the Court (see FAQ 19 below for more information relating to attorneys’ fees and other costs).

The money in this Settlement Fund less the three categories of costs described just above is the Net Settlement Fund. The Net Settlement Fund will only be distributed to members of the Settlement Classes if the Court finally approves the Settlement and the plan for allocating the monies in the Settlement Fund to members of the Settlement Classes.

In addition, under the Settlement, the Defendants have agreed to the following business changes to begin on the date of final approval of the Settlement by the Court and run through December 31, 2028:

• Varsity will not offer contracts or programs with All Star Gyms relating in whole or part to fees or payments associated with registering for, or attending, All Star Events that:
  • If a contract, have a term longer than one year (except that existing contracts and programs will be permitted to run to their term); or
  • Require attendance at more than three cheerleading events during a single regular season as a condition of receiving Varsity’s lowest tier of rebates or discounts.
  • Notwithstanding the foregoing, if one or more All Star Event rivals propose rebate or discount programs regarding which Varsity would be prohibited from engaging by the terms of this Agreement (“Prohibited Programs”), Varsity shall be permitted to respond by matching the rebate and/or discount offerings of such competitors by only so long and insofar as one or more such competitors maintain(s) such Prohibited Programs.
• No person shall simultaneously serve on the boards of Varsity (or any Varsity entity) and USASF.
• Varsity may not, directly or indirectly, pay the salaries of any USASF employees or executives or provide other benefits to USASF employees or executives. For the avoidance of doubt, this would not include payments to USASF for services provided by USASF employees in the ordinary course of business, which are also available to other event producers, such as for roster verification or judge training, nor would it include payments to USASF employees to the extent they provide services as judges or legality officials as independent contractors.
• No more than 1/3 of the voting board seats on USASF’s Board of Directors may be occupied by any single Event Producer (whether through one entity or multiple affiliated entities with common/overlapping ownership or management). In the event that one or more voting seats on USASF’s Board becomes empty for any reason (including, e.g., death, resignation, termination, etc.), and as a result, a single Event Producer holds more than 1/3 of the voting board seats then filled, USASF shall take all reasonable measures to fill the empty voting board seat(s) such that the 1/3 limitation is satisfied within four (4) months of the event causing the vacancy. USASF may not, consistent with this agreement, intentionally distort its rules or procedures to cause a USASF board seat to become empty as a means to allow a single Event Producer to control more than 1/3 of the seats.
• No more than 40% of the seats on USASF’s Sanctioning Committee may be occupied by any single Event Producer (whether through one entity or multiple affiliated entities with common/overlapping ownership or management). The calculation shall take place on August 1 of each year, and if this limitation is satisfied as of that date, it shall be deemed satisfied for the next 12 months. In other words, in the event that after August 1 during a calendar year, an Event Producer terminates its USASF membership or loses its Worlds Bid, either of which would result in the Event Producer losing its seat on the Sanctioning Committee under currently existing USASF rules, USASF shall not be required to re-allocate seats on its Sanctioning Committee or remove other members of the Sanctioning Committee prior to August 1 of the following year. USASF may not, consistent with this agreement, intentionally distort its rules or procedures to cause a Sanctioning Committee seat to become empty as a means to allow a single Event Producer to control more than 40% of the seats.
• After implementing the changes set forth above with respect to USASF’s Board of Directors and Sanctioning Committee, USASF commits to continuing to evaluate proposals from its membership that are properly brought to its Board of Directors or an appropriate committee, in accordance with its policies and procedures. USASF may not, consistent with this agreement, adopt rules or procedures that would have the effect of prohibiting or deterring USASF members from making any proposals for consideration by the USASF board or appropriate USASF committees.

If you are a member of one of the Settlement Classes, you must submit a valid and timely claim to get money from the Settlement Fund during a process that will begin several months from now. If the Court finally approves the Settlement, as part of the Court approved distribution and allocation process, the Claims Administrator will distribute to all Gym Class members, who do not exclude themselves from the Gym Class, and for which there are valid addresses, a pre-populated Claim Form with all the relevant data. A Gym Class member making a claim will have the option of accepting the amounts on the pre-populated form or submitting its own data reflecting the monies it paid directly to Varsity to attend All Star Cheer Events. If you are a member of the Spectator Class, and do not exclude yourself from the Spectator Class, you will not be mailed or emailed a Claim Form and must get a Claim Form from the Important Documents page or by contacting the Claims Administrator toll-free number: 1-(888)-610-6050. Members of the Gym Class may also contact the Claims Administrator or visit the Settlement Website if they do not receive a Claim Form in the mail or by email. The Claim Form will include the deadline for timely submission and instructions on how to submit or approve the Claim Form. The Court will approve the plan of allocating the Settlement Fund amongst members of the Settlement Classes, and will set the schedule for that process, at the time that it decides whether or not to approve the Settlement.

At this time, it is not known precisely how much each member of the Gym Class and Spectator Class will receive from the net Settlement Fund or when payments will be made. The amount of your payment, if any, will be determined by the Plan of Allocation to be approved by the Court. The Plan of Allocation can be summarized as follows:

First, the Net Settlement Fund will be broken into two tranches: one for the Gym Class (“Gym Class Tranche”) and one for the Spectator Class (“Spectator Class Tranche”) proportional to the alleged damages each Class suffered as determined by Plaintiffs’ expert economist. As such, the Gym Class will receive 85% of the Net Settlement Fund and the Spectator Class will receive 15% of the Net Settlement Fund.

Second, as to the Gym Class Tranche, the monies will be distributed to Gym Class members who make timely and valid claims in proportion to each such Gym Class member’s payments of registration or related fees and expenses directly to Varsity to participate in Varsity All Star Events during the Class Period. Distributions from the Gym Class Tranche to each such Gym Class member will be on a pro rata basis, dividing each such Gym Class member’s qualifying spending by the total qualifying spending of all Gym Class Members who submit valid and timely claims and multiplying that ratio by the total funds in the Gym Class Tranche. The Claims Administrator will distribute to all Gym Class members for which there are valid addresses a pre-populated Claim Form with all the relevant data and information. A Gym Class member making a claim will have the option of accepting the amounts on the pre-populated form or submitting its own data and information.

Third, as to the Spectator Class Tranche, each Spectator Class member who timely submits a valid claim will receive monies from the Spectator Class Tranche as follows: (a) $10 for each admission ticket to attend a Varsity All Star Event a Spectator Class member claimant (“Spectator Claimant”) directly paid Varsity (on behalf of herself, himself or others) during the Class Period, (b) with a cap of $200 total per Spectator Class member claimant. Each Spectator Claimant must submit a declaration affirming under penalty of perjury that she or he paid for each ticket for which such Spectator Claimant is seeking recompense, and for each such ticket, provide as much information as possible to verify attendance and payment, including one or more of the following: the name of the Event, date of the Event, location of the Event, name of the athlete the Spectator was paying to see, the Gym with which the athlete was associated at the time of the Event, the method of payment, the amount paid per Spectator, and (if available) any receipts or documentation proof of payment. Should there be monies left over from the Spectator Class Tranche after all timely and valid claims are paid, the remaining funds will be added to the Gym Class Tranche. Should there be insufficient funds in the Spectator Class Tranche to pay all timely and valid claims, each claim will be reduced pro rata.

The Claims Administrator will make decisions regarding claim submissions, including regarding their validity and amounts, with input from Settlement Class Counsel and Settlement Class Counsel’s consulting economic expert.

The complete Plan of Allocation will be available on the Important Documents page.

If the Court approves the Settlement (see “The Court’s Fairness Hearing” below), the Court will at that time approve a Claim Form and set a deadline for members of the Settlement Classes to submit or approve claims. At that time, to receive a payment, you must submit or approve a Claim Form. The Claim Form for Gym Class members and Spectator Class members will be posted on the Settlement Website and available by calling the toll-free number 1-(888)-610-6050. Members of the Settlement Classes will be able to submit or approve claims electronically using the Settlement Website or by email or through the mail. A Claim Form will also be mailed or emailed to members of the Gym Class for which the Claims Administrator has valid and current addresses but not members of the Spectator Class.

After receiving your timely-submitted Claim Form, the Court-appointed Claims Administrator will make decisions about the value and validity of claims with input from Settlement Class Counsel and Settlement Class Counsel’s consulting economic expert.

For the Gym Class, the Claims Administrator will have data from Varsity setting forth payments you made directly to Varsity to register your All Star Teams for Varsity All Star Events during the Class Period. Your payment amount will be used to determine your pro rata share of the Gym Class Tranche of the Net Settlement Fund.

For the Spectator Class, you must submit a declaration affirming under penalty of perjury that you paid for each ticket for which you are seeking recompense, and for each such ticket, provide as much information as possible to verify attendance and payment, including one or more of the following: the name of the Event, date of the Event, location of the Event, name of the athlete the Spectator was paying to see, the Gym with which the athlete was associated at the time of the Event, the method of payment, the amount paid per Spectator, and (if available) any receipts or documentation proof of payment.

Some companies may offer to help you file your Claim Form in exchange for a portion of your recovery from the Settlement. While you may choose to use such companies, you should know that you can file with the Claims Administrator on your own, free of charge. Additionally, you are entitled to contact the Claims Administrator or Settlement Class Counsel for assistance with understanding and filing your Claim Form—again, at no cost to you.

If you are a member of either the Gym Class or Spectator Class and do not exclude yourself, you cannot sue, continue to sue, or be part of any other lawsuit seeking recover for the claims asserted in the Action against any of the Defendants or Releasees (defined below), even if you do not file a Claim Form. More specifically, staying in the Settlement Classes means you have agreed to be bound by the Settlement Agreement and its terms including the release of claims contained therein. The Settlement Agreement is available on the Settlement Website, www.AllStarCheerAntitrustSettlement.com. The claims released in the Settlement are described below.

Specifically, the Settlement Agreement provides that the Releasees shall be completely released, acquitted, and forever discharged from any and all claims, demands, actions, suits, causes of action, whether class, individual, or otherwise in nature (whether or not any Settlement Class Member has objected to the settlement or makes a claim upon or participates in distribution of the Settlement Fund, whether directly, representatively, derivatively or in any other capacity) under any federal, state or local law of any jurisdiction in the United States, that Releasors, or each of them, ever had, now have, or hereafter can, shall, or may ever have, that now exist or may exist in the future, on account of, or in any way arising out of, any and all known and unknown, foreseen and unforeseen, suspected or unsuspected, actual or contingent, liquidated or unliquidated claims, injuries, damages, and the consequences thereof relating in any way to the nucleus of operative facts alleged in the complaint in the Action prior to the Execution Date that were made or could have been made in the Action by Direct Purchaser Plaintiffs or Settlement Class Members against the Releasees, including all direct purchaser claims relating to Varsity and/or USASF’s involvement in the cheerleading industry based in any way on conduct or events arising out of the nucleus of operative facts alleged in the consolidated complaint in the Action, that occurred through the Execution Date. Notwithstanding the foregoing, any claims based on indirect purchases by Settlement Class Members or Releasors that may exist under the law of one or more U.S. states will not be released. In addition, and notwithstanding the foregoing, claims arising in the ordinary course between (a) any of the Releasees, on the one hand, and (b) Direct Purchaser Plaintiffs, Settlement Class Members or Releasors, on the other, and arising under Article 2 of the Uniform Commercial Code (pertaining to sales) or similar state laws, the laws of negligence or product liability, strict liability, or implied warranty, breach of contract, breach of express warranty, or personal injury, will also not be released. The claims described as being released in this paragraph are referred to herein as the “Released Claims.”

Releasors hereby expressly waive and release, solely with respect to the Released Claims, upon this Agreement becoming final, any and all provisions, rights, and benefits conferred by § 1542 of the California Civil Code, which states:

A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS THAT THE CREDITOR OR RELEASING PARTY DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE AND THAT, IF KNOWN BY HIM OR HER, WOULD HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR OR RELEASED PARTY;

or by any law of any state or territory of the United States or other jurisdiction, or principle of common law, which is similar, comparable, or equivalent to § 1542 of the California Civil Code. Each Releasor may hereafter discover facts other than or different from those which he, she, or it knows or believes to be true with respect to the claims that are released pursuant to the provisions of this Agreement, but each Releasor hereby expressly waives and fully, finally, and forever settles and releases, upon this Agreement becoming final, any known or unknown, suspected or unsuspected, contingent or non-contingent claim that Direct Purchaser Plaintiffs have agreed to release, whether or not concealed or hidden, without regard to the subsequent discovery or existence of such different or additional facts.

“Releasees” shall refer jointly and severally, individually and collectively, to Defendants, their respective past and present, direct and indirect, parents, subsidiaries, affiliates, divisions, predecessors, successors, and insurers, and their respective past and present officers, directors and employees. “Releasees” shall also include any direct or indirect majority or minority investor in any Releasee, as well as their respective past and present, direct and indirect, parents, subsidiaries, affiliates, divisions, predecessors, successors, indemnitors, and insurers, and their respective past and present officers, directors, advisors, independent consultants, partners, and employees, and any entity that managed, manages, advised, or advises any fund or managed account that made a direct or indirect investment in any Releasee at any time and, as to each such entity, its past and present, direct and indirect, parents, subsidiaries, affiliates, divisions, predecessors, successors, indemnitors, and insurers, and their respective past and present officers, directors , advisors, independent consultants, partners, and employees. Without in any way limiting the foregoing, Releasees shall include all of the entities listed in Appendix A to the Settlement Agreement as well as their respective past and present, direct and indirect, parents, subsidiaries, affiliates, divisions, predecessors, successors, and insurers, and their respective past and present officers, directors, advisors, independent consultants, partners, and employees.

“Releasors” shall refer to Settlement Class Members, as well as each of their respective past and present parents, subsidiaries, affiliates, divisions, predecessors, successors, and their respective past and present officers, directors, and employees.

The Scope and Effect of the Release: Upon the Effective Date of the Settlement, members of the Gym Class and Spectator Class who do not exclude themselves from the Settlement: (1) shall be deemed to have, and by operation of the Final Judgment and Order of Dismissal, shall have, fully, finally, and forever waived, released, relinquished, and discharged (a) all Released Claims against the Releasees, regardless of whether such Releasor executes and delivers a proof of claim and release form, and (b) any rights to the protections afforded under California Civil Code § 1542 and/or any other similar, comparable, or equivalent laws; (2) shall forever be enjoined from prosecuting in any forum any Released Claim against any of the Releasees; (3) agrees and covenants not to sue, either directly, representatively, or in any other capacity, any of the Releasees on the basis of any Released Claims; and (4) agrees not to seek to establish liability against any Releasee as to, in whole or in part, any of the Released Claims, except to the extent required to comply with a court order or subpoena issued by a court of competent jurisdiction.

If you are a member of either the Gym Class or the Spectator Class, do not want to remain in either class, and do not want a payment from the Settlement, then you must take steps to exclude yourself from the Settlement. This is sometimes referred to as “opting out” of a class. The Court will exclude from the Settlement all members of the Gym Class and the Spectator Class who submit valid and timely requests for exclusion.

If you exclude yourself, you will not be able to receive any payments from this Settlement. However, this is the only way you will retain your rights to sue the Defendants and the Releasees on your own based on the claims asserted in this Action.

You can exclude yourself by sending a written “Request for Exclusion” to the Claims Administrator. To be valid, your Request for Exclusion must be postmarked or received by the Claims Administrator no later than August 3, 2023 to: All Star Cheer Antitrust, c/o Claim Administrator, 1650 Arch Street, Suite 2210, Philadelphia, PA 19103.

The request for exclusion must include: (1) the name of the case (Fusion Elite All Stars, et al. v. Varsity Brands, LLC, et al., No. 2:20-cv-02600-SHL-tmp); (2) the individual or entity’s name, address, and telephone number; and (3) proof of membership in the proposed Gym Class or Spectator Class, which for the latter would include a sworn statement with supporting details indicating that the individual is a member of the proposed Spectator Class.

No. Unless you exclude yourself, you give up any right to sue Defendants and the Releasees for the claims that the Settlement resolves. If you decide to exclude yourself, your decision will apply only to Defendants and the other Releasees.

No. You will not get any money from the Settlement if you exclude yourself.

No. If you exclude yourself, you are no longer a member of a Settlement Class and may not object to any aspect of the Settlement.

If you are a member of either the Gym Class or Spectator Class (and don’t exclude yourself from that class), you can object to any part of the Settlement, the summary of the Plan of Allocation, and/or the request for attorneys’ fees and litigation costs and expenses and/or the service awards request.

To object, you must timely submit a written request for objection that includes the following: (1) the name of the case (Fusion Elite All Stars, et al. v. Varsity Brands, LLC, et al., No. 2:20-02600-SHL-tmp); (2) the individual or entity’s name and address and, if represented by counsel, the name, address, and telephone number of counsel; (3) proof of membership in the proposed Gym Class or a sworn statement with supporting details indicating that the individual is a member of the Spectator Class; (4) a statement detailing all objections to the Settlement; and (5) a statement of whether the individual or entity will appear at the Fairness Hearing, either with or without counsel. The request for objection must be postmarked or received by the Clerk of the Court for the Western District of Tennessee, as well as Settlement Class Counsel and Counsel for Defendants at the below addresses below by August 3, 2023:

Court
United States District Court for the Western District of Tennessee
Clerk of Court
167 N. Main Street
Memphis, TN 38103

You must also send a copy of your Statement of Objections to Settlement Class Counsel and Counsel for the Defendants at the following addresses:

Settlement Class Counsel
Eric L. Cramer
Berger Montague PC
1818 Market St., Suite 3600
Philadelphia, PA 19103

Defendant Varsity
Steven J. Kaiser
CLEARY GOTTLIEB STEEN & HAMILTON LLP
2112 Pennsylvania Avenue, NW
Washington, DC 20037

Defendant USASF
Nicole Berkowitz Riccio
BAKER DONELSON
165 Madison Avenue
Suite 2000
Memphis, TN 38103

If you don’t timely and validly submit your objection, your view will not be considered by the Court or any court on appeal. You cannot make an objection by telephone or email.

Objecting is simply telling the Court that you don’t like something about the Settlement. You can object to the Settlement only if you don’t exclude yourself from the Gym Class or Spectator Class. Objecting does not change your ability to claim money from the Net Settlement Fund if the Court approves the Settlement. If you exclude yourself, you cannot object because the Settlement no longer affects your rights, and you cannot claim money from the Net Settlement Fund.

The Court has appointed the lawyers listed below to represent you. These lawyers are called Settlement Class Counsel. Other lawyers have also worked with Settlement Class Counsel to represent you in this case. Because you are a class member, you do not have to pay any of these lawyers. They will be paid from the Settlement Fund upon making an application to the Court.

Eric L. Cramer
BERGER MONTAGUE PC
1818 Market Street, Suite 3600
Philadelphia, PA 19106
Telephone: (215) 875-3000

Karin E. Garvey
DICELLO LEVITT LLC
485 Lexington Avenue, Suite 1001
New York, NY 10017
Telephone: (646) 933-1000

Victoria Sims
CUNEO GILBERT & LADUCA, LLP
4725 Wisconsin Avenue NW, Suite 200
Washington, DC 20016
Telephone: (202) 789-3960

If you have any questions about the notice or the Action, you can contact the above-listed Settlement Class Counsel.

Should I hire my own lawyer?

You do not have to hire your own lawyer. But you can if you want to, at your own cost.

If you hire your own lawyer to appear in this case, you must tell the Court and send a copy of your notice to Settlement Class Counsel at any of the addresses above.

To date, Settlement Class Counsel have not been paid any attorneys’ fees or reimbursed for any out-of-pocket costs or expenses that Settlement Class Counsel expended to litigate this case. Any attorneys’ fees and costs and expenses will be awarded only as approved by the Court in amounts determined to be fair and reasonable. By July 10, 2023, Settlement Class Counsel will move for an award of attorneys’ fees not to exceed 1/3 of the Settlement Fund, plus any accrued interest, reimbursement of litigation costs and expenses not to exceed $2,250,000, and service awards of up to $20,000 for each of the 3 Gym Class Representatives and up to $5,000 for each of the 3 Spectator Class Representatives ($75,000 total) to be paid out of the Settlement Fund. If the Court grants Settlement Class Counsel’s requests, these amounts would be deducted from the Settlement Fund. You will not have to pay these fees, expenses, and costs out of your own pocket.

Any motions in support of the above requests will be available on the Settlement Website after they are filed on July 10, 2023. After that time, if you wish to review the motion papers, you may do so by viewing them on the Important Documents page.

The Court will consider the motion for attorneys’ fees and litigation costs and expenses, service awards at or after the Fairness Hearing.

There will be a Fairness Hearing at 1:00 p.m. on September 26, 2023. The hearing will take place at the United States District Court for the Western District of Tennessee, Odell Horton Federal Building, Courtroom 1, 11th Floor, 167 North Main Street, Memphis, TN 38103.

Important! The time and date of the Fairness Hearing may change without additional mailed or published notice. For updated information on the hearing, check this website.

At the Fairness Hearing the Court will consider whether the Settlement is fair, adequate, and reasonable and should be approved. The Court will also decide whether it should give its final approval of the Plaintiffs’ requests for attorneys’ fees and expenses, service awards to the Class Plaintiffs, and other costs. The Court will consider any objections and listen to members of the Gym Class and Spectator Class who have asked to speak at the Fairness Hearing.

No. You do not have to go to the Fairness Hearing, even if you sent the Court an objection. But you can go to the hearing or hire a lawyer to go the Fairness Hearing if you want to, at your own expense.

You must file a Notice of Intention to Appear with the Court at this address:

United States District Court for the Western District of Tennessee
Clerk of Court
167 N. Main Street
Memphis, TN 38103

Your Notice of Intention to Appear must be filed by August 3, 2023. You must also mail a copy of your letter to Settlement Class Counsel and Counsel for the Defendants at the addresses listed in FAQ 16.

Your Notice of Intention to Appear must be signed and: (i) state the name, address, and phone number of the Gym/Person and if applicable, the name, address, and telephone number of your attorney (who must file a Notice of Appearance with the Court); and (ii) state that you (or if applicable, your lawyer) intends to appear at the Fairness Hearing for the Settlement in Fusion Elite All Stars, et al. v. Varsity Brands, LLC, et al., Case No. 2:20-cv-02600-SHL-tmp.

If you do nothing, and if you fit either Settlement Class description, you will be automatically a member of either the Gym Class or Spectator Class. However, if you do not timely file a Claim Form, you will not receive any payment from the Settlement. You will be bound by past and future rulings, including rulings on the Settlement, Released Claims, and Releasees.

The Notice summarizes the Action, the terms of the Settlement, and your rights and options in connection with the Settlement. More details are in the Settlement Agreement. The Important Documents page also has the Consolidated Complaint and other documents relating to the Settlement. You may also call toll-free 1-(888)-610-6050 or write the Claim Administrator at: All Star Cheer Antitrust, c/o Claim Administrator, 1650 Arch Street, Suite 2210, Philadelphia, PA 19103.

Please Do Not Attempt to Contact Chief Judge Lipman or the Clerk of Court with Any Questions