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EXHIBIT E

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3.

I am the managing partner at the law firm of Edelson McGuire LLC (“EM”), which

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has been appointed lead counsel in this matter. A true and accurate copy of EM’s firm resume is

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attached as Exhibit 1.

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History of the Litigation and Settlement

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4.

While Class Counsel explored a settlement structure that provided direct cash

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payments to the Class, such a settlement structure was impossible given the Class size of 62 million

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individuals. As set forth in the Affidavit of Tiffaney A. Janowicz, with a class size of over 60 million

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individuals, a cash distribution program would have exhausted the settlement fund approximately

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three times over, at a cost of between $23 million and $28 million. (See Exhibit F to Plaintiffs’ Reply

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Memorandum in Support of Motion for Final Approval of Class Action Settlement and Award of

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Attorneys’ Fees, Expenses, and Incentive Award (“Mot. Ex. F”), ¶ 6.)

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5.

Furthermore, if the Settlement Class were limited to only former subscribers, the

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Settlement Fund would still be depleted by the expenses of the claims distribution process, assuming

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an equal per-Class member distribution cost. (Cf. Mot. Ex. F, ¶ 6.)

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The Cy Pres Selection Process in This Litigation

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6.

Given the infeasibility of distributing a cash payment to Class members, the Parties

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agreed that a cy pres distribution would provide the greatest benefit to the Class. The Parties then

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looked to the cy pres selection process required by Judge Ware in the Google Buzz litigation as a

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model for achieving the greatest benefit possible for the Class. Specifically, Class Counsel: solicited

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proposals from potential Cy Pres Recipients regarding their proposed uses of the distribution,

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responded to and considered Class member feedback regarding the cy pres distribution, conferred

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with Netflix to select the best Cy Pres Recipients and the appropriate distribution amounts, and

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submitted the proposed recipient and distribution list to the Court, both in the Final Approval Brief,

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(see Mot. Fin. App. at 20–23), and as a stand-alone Notice (see Dkt. 193). Contemporaneous with

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the filing of the Final Approval Motion, Class Counsel caused the proposed cy pres distribution to be

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posted to the Settlement Website on October 31, 2012.

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7.

As part of the Settlement of this litigation, potential Cy Pres Recipients were asked to

submit formal proposals containing information about their respective organizations and how the
DECLARATION OF JAY EDELSON

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Case No. 5:11-cv-00379-EJD

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