Miller Shah LLP Announces Proposed Class Action Settlement on Behalf of Former Participants in the Novitex Enterprise Solutions Retirement Savings Plan

HARTFORD, Conn., June 25, 2021 /PRNewswire/ -- Miller Shah LLP announces that the United States District Court for the District of Connecticut has approved the following announcement of a proposed class action settlement that would benefit former participants in the Novitex Enterprise Solutions Retirement Savings Plan:

IN THE UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF CONNECTICUT

RIGOBERTO SANDOVAL,                                                            Civil Action
individually and as a representative of a class of                           No. 3:17-cv-1573 (MPS) 
similarly situated plan participants and                               
beneficiaries, on behalf of the                                             
EXELA 401(k) PLAN,                                                         
the successor-in-interest of the                                          
NOVITEX ENTERPRISE SOLUTIONS                              
RETIREMENT SAVINGS PLAN,                                        

                                                Plaintiff,                                        

                        vs.                                                                

EXELA ENTERPRISE SOLUTIONS, INC.,                         
NOVITEX ENTERPRISE SOLUTIONS                               
EMPLOYEE BENEFITS COMMITTEE                               
and DOES NO. 1-10, Whose Names Are                            
Currently Unknown,                                                              

            Defendants.                                                                        

__________________________________________

SUMMARY NOTICE OF PROPOSED SETTLEMENT OF CLASS ACTION AND SETTLEMENT FAIRNESS HEARING

TO: ALL FORMER PARTICIPANTS IN THE NOVITEX ENTERPRISE SOLUTIONS RETIREMENT SAVINGS PLAN, (THE "NOVITEX PLAN") WHO WERE PARTICIPANTS IN THE PLAN BETWEEN JANUARY 1, 2014 AND DECEMBER 31, 2018 (THE "SETTLEMENT CLASS PERIOD").

PLEASE READ THIS NOTICE CAREFULLY.
A FEDERAL COURT AUTHORIZED THIS NOTICE.
THIS IS NOT A SOLICITATION.
YOU ARE NOT BEING SUED.

A settlement has been preliminarily approved by a federal court in a class action lawsuit by Plaintiff, Rigoberto Sandoval ("Plaintiff"), on behalf of himself and on behalf of the Settlement Class against Exela Enterprise Solutions, Inc. ("Exela") and the Novitex Enterprise Solutions Employee Benefits Committee ("Committee"), alleging breaches of fiduciary duties under the Employee Retirement Income Security Act of 1974 ("ERISA"). This Settlement will provide for a payment of $750,000, less any Court-approved fees and expenses, and administrative costs, to the Exela 401(k) Plan ("Exela Plan"), the successor-in-interest to the Novitex Enterprise Solutions Retirement Savings Plan (the "Novitex Plan"), which money will then be allocated to the accounts of former participants of the Novitex Plan who had accounts in the Novitex Plan during the Settlement Class Period. All capitalized terms not otherwise defined in this Summary Notice of Class Action Settlement have the meaning provided in the Settlement Agreement (the "Agreement") available on the Settlement website (provided below). If you currently have an active account in the Exela Plan, you will receive an allocation without taking any further action. You do not need to send in a claim or take any other action to participate in the Settlement. If you do not have an active account with the Exela Plan, you need to file a Claim Form to obtain a payment. YOU SHOULD READ THIS NOTICE CAREFULLY AS THE PROPOSED SETTLEMENT AFFECTS YOUR LEGAL RIGHTS.  IF YOU DO NOTHING, YOU WILL BE BOUND BY THE JUDGMENT AND THE SETTLEMENT AGREEMENT, INCLUDING THE RELEASE CONTAINED IN THE SETTLEMENT AGREEMENT. The United States District Court for the District of Connecticut authorized this Notice.

WHO IS INCLUDED IN THE SETTLEMENT?

If you were a participant in the Novitex Plan at any time during the period from January 1, 2014 to December 31, 2018, inclusive, or you were a beneficiary or alternate payee of any such participant, then you are a member of the Settlement Class (a "Settlement Class Member").

WHAT IS THIS CASE ABOUT?

Plaintiff claims that Defendants breached their fiduciary duties under ERISA. Plaintiff's allegations are described in more detail in the Second Amended Complaint ("Complaint") available on the Settlement website. All Defendants deny any wrongdoing, and do not, by agreeing to the Settlement, admit any fault or liability arising from the allegations and claims set forth in the Complaint. Both sides agreed to the Settlement to avoid the cost and risk of further litigation.

WHAT DOES THE SETTLEMENT PROVIDE?

Defendants have agreed to create a Settlement Fund totaling $750,000 to be divided among eligible Settlement Class Members after payment of attorneys' fees and expenses to Class Counsel, a Case Contribution Award to Class Representative Rigoberto Sandoval, and payment of other costs and expenses of the Settlement, including notice and claims administration, as the Court may allow. The Agreement, other related documentation, and a list of Frequently Asked Questions, available at the Settlement website identified below, describes the details of the proposed Settlement. Your share (if any) of the Settlement Fund will depend upon the amount and value of your Novitex Plan account(s) during the Settlement Class Period. This Settlement releases certain claims against Defendants relating to the investment of the Novitex Plan's assets and the expenses of the Novitex Plan during the Settlement Class Period and releases all claims that were or could have been brought in the lawsuit based upon the allegations in the Complaint.

HOW DO I RECEIVE A PAYMENT?

If you are a Settlement Class Member, are a current participant in the Exela Plan, or you are a beneficiary or alternate payee of a Novitex Plan participant who has an active account in the Exela Plan, and you are entitled to a share of the Settlement Fund according to the Agreement, you are not required to do anything to receive a payment. The payment will be made directly to your Exela Plan account(s). If you are a Settlement Class Member and you do not have an active account in the Exela Plan, or you are a beneficiary or alternate payee of a Novitex Plan participant who does not have an active account in the Exela Plan, you will need to file a Former Participant Claim Form in order to receive a payment from the Settlement Fund. If your address has changed since you closed your Plan account(s), please contact the Settlement Administrator toll-free at 866-274-4004 or by email to [email protected] to advise of the change of address.

CAN I OBJECT TO OR OPT OUT OF THE SETTLEMENT?

You do not have the right to exclude yourself from the Settlement in this case, but you do have the right to object by writing to the Court, including objecting to the amount of attorneys' fees and expenses requested by Class Counsel and the amount of the Case Contribution Award requested for the Class Representative. You will be bound by any judgments or orders that are entered in this Action, and if the Settlement is approved, you will be deemed to have released all of the Defendants from all claims that were or could have been asserted in this case, including all Claims as defined under the Agreement, other than your right to obtain the relief provided to you, if any, by the Settlement.

The Court will hold a hearing in this case on September 14, 2021 at 10:00 a.m., in the courtroom of the Honorable Michael P. Shea, in the United States District Court for the District of Connecticut, Abraham Ribicoff Federal Building, United States Courthouse, 450 Main Street, Hartford, Connecticut 06103, to consider whether to approve the Settlement and a request by the lawyers representing all Settlement Class Members, Class Counsel, for attorneys' fees and expenses, for a Case Contribution Award to the Class Representative, and for other case-related expenses. If approved, these amounts will be paid from the Settlement Fund. You may ask to speak at the hearing by filing a Notice of Intention to Appear by August 15, 2021, but you are not required to do so.

Although you cannot opt out of the Settlement, you may object to all or any part of the Settlement and/or the Motion for Attorneys' Fees filed by Class Counsel and request for award of a Case Contribution Award in accordance with the instructions included in the long-form Notice of Proposed Settlement of Class Action and Settlement Fairness Hearing available at the Settlement website below. Objections must be postmarked, or if not sent by United States Postal Service received by the Court, by August 15, 2021. Please note that the time, place and date of the hearing may change without a further mailing. Class Counsel will update the Settlement website below if the hearing time or location is changed. The Settlement Fairness Hearing also may be held by video or teleconference. Please check the website or contact Class Counsel if you wish to confirm that the hearing time has not been changed and to determine if it is occurring in person or by video or teleconference.  

HOW DO I GET MORE INFORMATION?

If you are a Settlement Class Member and would like to receive additional information or to receive a copy of the long-form Notice of Proposed Settlement of Class Action and Settlement Fairness Hearing, you can obtain such information by (a) sending a letter to Sandoval 401k Settlement Administrator, c/o Strategic Claims Services, 600 N Jackson St #205, Media, PA 19063; (b) sending an e-mail to [email protected]; (c) visiting the Settlement website at www.strategicclaims.net/sandoval401k; or (d) calling toll-free at 866-274-4004.

SOURCE Miller Shah LLP