Fuhu Tablet Settlement

Attention to all purchasers of Nabi® tablets, your rights may be affected.

A court authorized this notice. This is not a solicitation from a lawyer.

UPDATE AS OF OCTOBER 2019: The Settlement has been approved, however bankruptcy distributions have not yet occurred and no disbursements of Settlement funds will be made until after the bankruptcy distributions have taken place.  Please check this website periodically for updates.  Thank you.

The notice concerns a bankruptcy proceeding involving the company Arctic Sentinel, Inc. formerly known as Fuhu, Inc. (“Fuhu”), which designed and sold the Nabi® brand children’s tablet computers.

In 2014, litigation was filed against Fuhu on behalf of a class of all consumer purchasers of the following Nabi® tablets: Nabi 2, Nabi 2S, Nabi XD, Nabi Jr. (including Nabi Jr. S) and Nabi DreamTab (the “Class”). The Class asserted that the Nabi® tablets were defective, in that they had a faulty charging system.

After Fuhu filed for bankruptcy on December 7, 2015, the Class filed a claim in the bankruptcy case. They asked the bankruptcy court (the “Court”) to give the purchasers a portion of Fuhu’s remaining assets, which are now part of a liquidating trust (the “Trust”) and under the administration and control of a liquidating trustee.

The purchasers also contend that they are entitled to recover money from Wistron Corporation (“Wistron”), which manufactured some of the tablets, and D&H Distributing Company (“D&H”), which distributed some of the tablets. Both companies deny liability.

Wistron and D&H each have submitted their own claims in the bankruptcy seeking a portion of Fuhu’s remaining assets, contending that they were not fully paid for their goods and services.

A settlement has been reached among the liquidating trustee, the Class, Wistron and D&H. The settlement assigns values to each of the asserted claims filed in the bankruptcy case by the Class, by Wistron and by D&H. The Class, Wistron and D&H have agreed that the money they receive from the bankruptcy will go to the Class until up to $3 million or more is paid to the Class. The liquidating trustee also has agreed to assign to the Class the Trust’s right to seek money from one of Fuhu’s former insurance companies.

Each Class member is permitted to file a claim under the settlement. Claimants who file valid claims will receive an equal share of the total recovered by the Class, for each Nabi® tablet they purchased that was not returned for a full refund or a non-defective replacement tablet. There will be a maximum distribution of $10 per tablet, or $30 per defective tablet, out of the first $3 million paid to the Class. The actual amount paid to each claimant will depend on whether the tablet is defective, the number of valid claims, and the total ultimately received by the Class from the Trust, as well as the amount (if any) recovered by the Class from the insurance company. These amounts are not yet known.

The purchasers who started and pursued the lawsuit (“Plaintiffs”) and their lawyers who brought the lawsuit will ask the Court to reimburse them for their out-of-pocket expenses, up to $1.5 million in attorneys’ fees and $75,000 in incentive awards, out of the first $3 million to be distributed to the Class.

Your legal rights are affected whether you act or don’t act. Read the notice carefully.

The notice summarizes the proposed settlement. For the precise terms and conditions of the settlement, please see the settlement agreement available on the Case Documents tab of this website. Alternatively, you can contact the claim administrator at Fuhu Tablet Settlement Claim Administrator, P.O. Box 404002, Louisville, KY 40233-4002 or Class counsel at Gutride Safier LLP, 100 Pine Street, Suite 1250, San Francisco, CA 94111.

PLEASE DO NOT TELEPHONE THE COURT OR THE COURT CLERK’S OFFICE TO INQUIRE ABOUT THIS SETTLEMENT OR THE CLAIM PROCESS.

YOUR RIGHTS AND OPTIONS IN THIS SETTLEMENT
SUBMIT A CLAIM FORM BY AUGUST 20, 2019 This is the only way to receive payment under the settlement for your Nabi tablet purchase(s).
EXCLUDE YOURSELF BY AUGUST 20, 2019 You can get out of the settlement. This is the only option that allows you to ever bring or join another lawsuit against D&H or Wistron or other Released Parties that raises the same legal claims released by this settlement. You will receive no payment. (Excluding yourself will not allow you to make separate claims in the bankruptcy proceeding to obtain a portion of the remaining assets of Fuhu held by the Trust, as the deadline to file such claims in the bankruptcy case has passed.)
OBJECT BY AUGUST 20, 2019 You can write to the Court about why you do not like any aspect of the settlement, the amount of attorneys’ fees, costs, or the payment to the Plaintiffs.
GO TO A HEARING ON SEPTEMBER 10, 2019 You can speak in Court about the settlement. (If you object to any aspect of the settlement, you must submit a written objection by the Objection Deadline.)
DO NOTHING If you do nothing, you will receive no payment and have no right to sue later for the claims released by the settlement, and you will be deemed to have consented to the Court’s jurisdiction and authority to enter a final order on the settlement.