California Codes, Code of Civil Procedure - CCP, Part 2 — Of Civil Actions, Title 3 — Of the Parties to Civil Actions, Chapter 5 — Permissive Joinder, Section 382.4

If a proposed settlement in a class action established pursuant to Section 382, including a consent judgment, decree, or settlement agreement, provides for the distribution of money or any other thing of value to a person or entity that is not a party to the action, an attorney for a party to the action shall, in connection with the hearing for preliminary approval pursuant to subdivision (c) of Rule 3.769 of the California Rules of Court, notify the court if the attorney has a connection to or a relationship with a nonparty recipient of the distribution that could reasonably create the appearance of impropriety as between the selection of the recipient of the money or thing of value and the interests of the class.

Notes

Requires a party’s attorney, during preliminary approval of a class-action settlement distributing money or value to a nonparty, to notify the court of any connection or relationship with that recipient that could reasonably create an appearance of impropriety between the recipient’s selection and the class’s interests. The disclosure duty includes consent judgments, decrees, and settlement agreements.

Use as reference

Lexinter.net | California Code, Code of Civil Procedure - CCP § 382.4 | https://laws.lexinter.net/codes/california/code-of-civil-procedure/part-2/title-3/chapter-5/section-382-4

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