DRAM settlement notice for California school boards
From the California Attorney General’s Office
Published: April 1, 2014
On March 5, 2014, California Attorney General Kamala D. Harris announced a $310 million multistate settlement with major manufacturers of Dynamic Random Access Memory computer chips over price-fixing allegations. The settlements will pay individuals, businesses and government entities that purchased DRAM or devices containing DRAM from someone other than the manufacturer of DRAM in the United States or any of its territories from Jan. 1, 1998, through Dec. 31, 2002. In addition, the defendants have agreed not to engage in the conduct that is the subject of the lawsuits, and have also agreed to compliance training and cooperation.
California K-12 school districts that purchased computers, printers, or other electronic devices with DRAM memory between 1998 and 2002 are eligible to make a claim before Aug. 1, 2014, and could receive money from the settlements. Under the settlements, school districts have the following options:
- File a claim and, if qualified, receive a payment.
- Ask to be excluded from the settlements. Under this option, a school district will retain any rights it currently has to separately sue the defendants for the conduct that is the subject of these lawsuits.
- Object to the settlements. School districts can write to the court explaining why they do not like the settlements.
- Attend the hearing and ask to speak in court about the settlements.
- Do nothing and give up any rights they currently have to separately sue the defendants for the conduct that is the subject of the lawsuit. However, school districts may still receive a payment.
The lawsuits stem from an investigation that was completed in 2006. In that year, California, with other states, filed an antitrust suit alleging that consumers overpaid for electronic devices containing DRAM chips for purchases made from 1998 to 2002. DRAM is a common form of memory chip found in computers and other information technology devices and home entertainment systems.
The settlement, reached in conjunction with class actions, pays individuals, businesses and state and local governments that purchased these chips or devices containing these chips in the United States between 1998 and 2002 from someone other than a DRAM manufacturer, such as retailers like Best Buy or Staples. The settlement also requires that these DRAM manufacturers implement antitrust compliance programs and enjoins them from certain conduct related to the sale of DRAM that would violate antitrust laws.
For more information about the settlements, please visit the
California Attorney General Office website.