This page provides the answers to class members’ most frequently asked questions.
The information provided is in summary form and is not intended as a complete explanation of your rights. For full and complete information, you are directed to review carefully the Notice of Class Action Settlement and Fairness Hearing.
A lawsuit was filed in the United States District Court for the Northern District of Texas (the “Court”) against Kimberly Clark Corporation (“Kimberly-Clark”) and the Kimberly-Clark Benefits Administration Committee. The lawsuit alleges that Defendants violated the Employee Retirement Income Security Act (“ERISA”) with respect to the Plan. The individuals who are pursuing the lawsuit (the “Plaintiffs”) claim, among other things, that the Defendants authorized the Plan to pay unreasonably high fees for administrative services. This is just a summary of the allegations in the lawsuit.
Defendants deny the allegations in the lawsuit and contend that their conduct was entirely lawful and proper. Defendants have asserted, and would assert should the litigation continue, a number of defenses to Plaintiffs’ claims.
The Parties have agreed to the Settlement after extensive negotiations. By agreeing to the Settlement, the Parties avoid the costs and risks of further litigation, and Plaintiffs and the other Settlement Class Members will receive a Settlement payment. Counsel for the Settlement Class (“Class Counsel”) has conducted a review of the evidence in the case and the potential risks and benefits of continued litigation and believes that the Settlement is in the best interest of the Settlement Class. The Court has not made any finding that Defendants have done anything wrong or violated any law or regulation.
Plaintiffs and Defendants have agreed to a settlement that involves monetary payments to Settlement Class Members. These and other terms of the Settlement are set forth in the Class Action Settlement Agreement and Release dated December 2, 2024 (“Settlement Agreement”), and described briefly below.
As part of the Settlement, Defendants have agreed to make a one-time payment of $2,250,000 (the “Settlement Amount”). After deduction from the Settlement Amount for any amounts that the Court approves for settlement-related expenses (including “Class Representative Service Award” to Plaintiffs, “Attorneys’ Fees and Costs” to Class Counsel, certain “Administrative Costs,” and “Taxes” and “Tax-Related Costs” (all as defined in the Settlement Agreement)), the remainder of the Settlement Amount (known as the “Distributable Settlement Amount”) will be distributed to Settlement Class Members. Monies will be distributed in accordance with the Plan of Allocation set forth in Exhibit C to the Settlement Agreement.
You may be eligible to receive a portion of the Distributable Settlement Amount if you are a Settlement Class Member. Whether or not a person qualifies as a Settlement Class Member and is eligible for a portion of the Distributable Settlement Amount will be based on the Plan’s records. Current Participants will have their share of the Settlement proceeds deposited in their Plan account, provided that they still have one when the Settlement proceeds are distributed. Former Participants who are entitled to a distribution will receive their Settlement proceeds by check.
To avoid disproportionate expenses, the Parties have agreed that no distribution will be made to any Settlement Class Member who would otherwise be entitled to an amount of less than $25 from the Distributable Settlement Amount. As a result, it is possible that you are a Settlement Class Member but will receive no share of the Settlement proceeds.
Class members do not need to do anything to receive a settlement share. Current participants eligible for a settlement share will have their distribution applied to their plan. Former participants will receive distributions by check.
The timing of the distribution of the Distributable Settlement Amount is conditioned on several factors, including the Court’s final approval of the Settlement and the expiration of any period to appeal the final approval. If one is filed, an appeal of the final approval order may take many months or even years. If the Settlement is approved by the Court, and there are no appeals, the Settlement distribution likely will occur within six months of the Court’s Final Approval Order.
There will be no payments under the Settlement if the Settlement Agreement is terminated.
There will be no payments to Participants who would otherwise be entitled to an amount of less than $25 from the Distributable Settlement Amount.
The Settlement does not allow any Settlement Class Members to exclude themselves from the Settlement or decide not to be a part of the Settlement. While some class action settlements allow class members to “opt out” of a settlement, because of the nature of the claims Plaintiffs have asserted in this lawsuit, Settlement Class Members do not have any right to opt out.
Following the deadline for objecting to the Settlement, the Court will hold a Final Approval Hearing on July 18, 2025, to consider any objections. The Final Approval Hearing will take place at 9:00 a.m. at the United States District Court for the Northern District of Texas, 1100 Commerce Street, Room 1546, Dallas, TX 75242. The date and location of the Final Approval Hearing is subject to change by Order of the Court.