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Individuals who held Fifth Wall Acquisition Corp. Class A common stock as of Aug. 19, 2021, and chose not to redeem all or some of their shares may be eligible to claim a cash payment from an $11.38 million class action settlement.
Fifth Wall Acquisition Sponsor LLC and Fifth Wall Asset Management LLC, along with several individual defendants, agreed to pay $11,375,000 to resolve a class action lawsuit alleging they did not provide FWAA stockholders with all material information needed to make an informed decision about whether to redeem their shares in connection with the company's merger with SmartRent.com Inc.
Who can file a claim?
Class members must meet all of the following criteria:
- They held FWAA Class A common stock as of Aug. 19, 2021.
- They elected not to redeem all or some of their FWAA Class A common stock in connection with the merger.
- They are a successor-in-interest who obtained shares by operation of law (such as inheritance).
The class includes both record and beneficial holders of FWAA Class A common stock who retained their shares after the redemption deadline. The class also covers those who acquired shares by operation of law from someone who met these criteria.
How much can class members get?
Pro rata payment: The total settlement fund is $11,375,000, which the settlement administrator will distribute to eligible class members after deductions for court-approved attorneys' fees, expenses, administration costs and taxes. The amount each class member receives depends on the number of valid claims and the specific loss calculation for each claimant.
The settlement administrator will determine each eligible share using a detailed plan of allocation:
- For shares sold before Feb. 9, 2024, for less than $10, the loss is calculated as $10 (the redemption price) minus the sale price plus $0.10 per share (nominal damages).
- For shares sold before Feb. 9, 2024, at $10 or more, only nominal damages of $0.10 per share apply.
- For shares held as of the close of trading on Feb. 9, 2024, the loss is $6.98 per share (calculated as $10 minus $3.02, the closing price of SmartRent on Feb. 9, 2024) plus $0.10 per share.
- No loss is calculated for shares redeemed in connection with the merger.
Each eligible class member's total loss is the sum of the above calculations for all their shares. The settlement administrator distributes the net settlement fund on a pro rata basis, meaning each class member's payment is their share of total losses compared to all claimants.
If a class member's calculated payment is less than $10, they will not receive a distribution.
If $50,000 or more remains in the net settlement fund after the initial distribution (due to uncashed checks), the settlement administrator may conduct another payment distribution(s) until the remaining balance is less than $50,000. It will then distribute the remaining funds to the Combined Campaign for Justice.
How to claim a class action rebate
Class members can file a claim online or download a PDF claim form to print, complete and mail to the settlement administrator. The claim deadline is Dec. 4, 2025.
Settlement administrator's mailing address: FWAA Stockholder Litigation, c/o A.B. Data Ltd., P.O. Box 170700 Milwaukee, WI 53217
Is proof or documentation required to submit a claim?
Yes. All claimants must provide the following information:
- Number of shares purchased, acquired or sold
- Dates of purchase, acquisition or sale
- Purchase, acquisition or sale price per share
- Total purchase, acquisition or sale price
Claimants must also provide documentation to support their claim, such as:
- Copies of stockbroker confirmation slips
- Stockbroker statements
- Other documents showing holdings of FWAA Class A common stock as of Aug. 19, 2021
- Records of purchases, sales or holdings of SmartRent common stock through Feb. 9, 2024
If a representative, such as an executor or trustee, submits a claim, they must provide proof of authority.
To file an online claim, class members must provide the last four digits of their Social Security number or taxpayer identification number.
Payout options
- Paper check
- Electronic payment
$11.38 million settlement fund breakdown
The $11,375,000 settlement fund covers:
- Settlement administration costs: Up to $500,000
- Attorneys' fees: Up to $2,843,750
- Attorneys' expenses: To be determined
- Service award to class representative: Up to $2,000 (paid from the attorneys' fees and expenses)
- Payments to eligible class members: Remainder of the fund
Important dates
- Fairness hearing: Nov. 20, 2025
- Deadline to file a claim: Dec. 4, 2025
When is the FWAA stockholder litigation payout date?
The settlement administrator will issue payments to eligible class members after it resolves appeals and the court grants final approval of the settlement.
Why is there a class action settlement?
The class action lawsuit alleged Fifth Wall, its directors and sponsors failed to provide all material information to stockholders about its merger with SmartRent.com Inc., impairing their ability to make an informed redemption decision. The plaintiff claimed misleading statements and omissions led some stockholders to retain shares they otherwise might have redeemed, causing financial harm.
The defendants denied any wrongdoing or liability but agreed to settle to avoid the uncertainty and expense of continued litigation.
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