In class action litigation, under the cy pres doctrine, unallocated, unclaimed or undeliverable funds are directed to the next best use. California Code of Civil Procedure § 384(b) authorizes the trial court to direct residual funds to nonprofit organizations providing civil legal services to the indigent, or nonprofit organizations to support projects that will benefit the class or similarly situated persons.
Because Inland Counties Legal Services combats harms similar to those litigated in class action lawsuits, ICLS is an appropriate recipient of cy pres funds. In our region, there is a huge unmet need for the kind of services ICLS offers. Many of our clients are low-income consumers who are victims of unfair, deceptive, discriminatory or predatory practices in consumer issues, insurance and health care, and banking and credit.
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