Staton

Dissenting:

As they always do, my conscientious colleagues display a thorough and scholarly grasp of the issues that arise in the settlement of class lawsuits. With all respect, however, I see this settlement and the district court’s approval of it in a different light. Thus, I respectfully dissent.

Three main worries, each of which in my view is just an illusion, appear to be driving the majority’s decision to reverse the district court’s approval of this consent decree: (1) the “possibility” that class counsel could have betrayed their clients in favor of their own fees; (2) that the “large differential” in the distribution of monetary awards between class representatives and certain identified class members, on one hand, and unnamed class members on the other, indicates something rotten in *488 Denmark; and (3) that the district court inflated the $3.65 million value attached to the “largely precatory” injunctive relief. As I read this record, and as I shall attempt to demonstrate, these concerns have no foundation in fact or law.

Collusion

The Objectors correctly direct our attention to the rule that we have an obligation to police the settlement of class actions for…

This case involves a consent decree in an employment discrimination class lawsuit. *454 The action was brought in 1998 by a class of approximately 15,000 African-American employees of the Boeing Company (“Boeing” or “the Company”) against the Company. The decree requires Boeing to pay $7.8 million in monetary relief to the class, less reversions and an opt-out credit, 1 and releases Boeing from race discrimination-related and other claims. It further provides for certain injunctive relief, although much of this relief appears to be largely precatory in nature. Finally, the decree awards to the lawyers for the class (“class counsel”) $4.05 million in attorneys’ fees.

A group of class members objected to the proposed consent decree, arguing that the class fails to meet the certification requirements of Fed.R.Civ.P. 28(a) (“Rule 23(a)”) for class actions and that the settlement contained in the decree is unfair, inadequate and unreasonable under Fed. R.Civ.P. 23(e) (“Rule 23(e)”). The district court approved the decree despite the objections, and the objectors appealed to this court. After oral argument, we requested supplemental briefs from the parties concerning the…