Former Blue Ridge Power workers from the Fayetteville, North Carolina worksite do not have to file anything to share in a proposed $3,072,482 WARN Act settlement — and the one form in the mail packet, the opt-out form, is the one most of them should leave alone. Because Blue Ridge Power’s case runs through a Chapter 11 bankruptcy, the notice warns that a worker who opts out is barred from recovering on these claims unless an individual Class Proof of Claim was filed in the bankruptcy by January 9, 2026. That date passed nearly nine months ago.
Status: Preliminarily approved, final approval pending | No claim form — checks are automatic | Opt-out postmark deadline October 5, 2026 | Objections received by November 2, 2026
The Layoff Behind the Case
The lawsuit is James Mathes v. Blue Ridge Power, LLC, Adversary No. 25-03828, pending in the U.S. Bankruptcy Court for the Southern District of Texas, Houston Division. It is tied to the Chapter 11 cases of In re Pine Gate Renewables, LLC, et al., Case No. 25-90669 (CML).
The federal Worker Adjustment and Retraining Notification (WARN) Act generally requires covered employers to give 60 days of advance written notice before certain mass layoffs. The plaintiffs allege that Blue Ridge Power let employees go without that notice. Blue Ridge denies liability, and the court has made no finding that it broke the law. The Bankruptcy Court granted preliminary approval on August 17, 2026, and the class notice is dated September 4, 2026.
Who Is in the Class
The class is not “everyone who ever worked for Blue Ridge Power.” To be included, a worker must meet all of these conditions:
- worked at, or took assignments from, facilities at Blue Ridge’s Fayetteville, North Carolina worksite;
- was laid off, as Blue Ridge defines the term, on or around October 17, 2025;
- is an “affected employee” within the meaning of 29 U.S.C. § 2101(a)(5); and
- does not send in a timely opt-out request.
People who received the notice have already been identified as eligible class members. Someone who worked for the company at another time or another site is not covered just because of that employment.
Why Opting Out Is Different Here
In most class settlements, opting out simply means giving up the settlement payment in exchange for the right to sue on your own. This one adds a bankruptcy layer. According to the notice, a worker who opts out is barred from recovering on the allegations unless that worker filed an individual Class Proof of Claim in the Chapter 11 cases by January 9, 2026, at 11:59 p.m. prevailing Central Time.
That deadline is long gone. So for a worker who did not file that proof of claim, opting out does not keep a separate path to money open; it closes the settlement path and leaves nothing in its place. Opt-outs also receive no settlement payment and lose the right to object.
For anyone who still wants out, the official opt-out form must be filled in with your name, address, telephone number and the date you sign it, signed, and mailed to Kroll Settlement Administration at the address printed on the form, postmarked by October 5, 2026. The opt-out form is not a payment application, and mailing it removes you from the payment pool.
What Staying In Means
Doing nothing keeps you in the class. Checks go out automatically to class members who remain, and you will be bound by the settlement’s release of the covered claims once it takes effect. The notice also describes the disallowance of individual Class Proofs of Claim for workers who participate in the settlement.
The only practical task for most workers is making sure Kroll has the right name and mailing address, since payment arrives as a paper check. Corrections go to Kroll through the official Blue Ridge WARN Act settlement website. Signing up for alerts from a news site does not update your information with the administrator.
How the $3,072,482 Gets Divided
The headline figure is a starting point. The fund is $3,072,482, less specified priority claims attributable to workers who opt out, and several court-approved costs come out of it before workers are paid:
| Class counsel fees and costs | Up to $1,028,383, plus reasonable actual expenses, if the court approves |
| Service payment | A proposed $2,000 for James Mathes, the named plaintiff |
| Administration | Kroll’s costs of running the settlement |
There is no flat amount per worker. Each personalized notice shows an estimated recovery that already reflects the service payment, counsel fees and administration costs, but not taxes and withholding. Final figures depend on what the court approves, how many workers opt out and how much goes unclaimed. Payments are treated as wages, reported on Form W-2, and are subject to applicable taxes and withholding, so the check is likely to be smaller than the pre-tax estimate printed on the notice.
Certain class members will also hold an allowed general unsecured claim under the bankruptcy plan. That is not a promised second cash payment of any set amount.
When the Checks Come, and How Long They Last
Kroll must mail checks as soon as reasonably practicable and no later than 30 days after the settlement’s effective date. The effective date turns on final approval and on the end of any appeal period, so it is not the same as the hearing date. The notice gives no fixed payment date.
| First checks | Must be cashed within 120 calendar days of issuance |
| Second distribution | Only if unclaimed money exceeds 10% of the total settlement award amount; goes to workers who cashed their first check |
| Second checks | 60-day cashing period |
Cashing the first check within its 120 days is what keeps a worker eligible for any second round.
Key Dates
| October 5, 2026 | Opt-out forms must be postmarked |
| November 2, 2026 | Written objections must be received by the Bankruptcy Court |
| November 9, 2026, 10:00 a.m. Central | Final fairness hearing, Courtroom 404, 515 Rusk Street, Houston, Texas |
None of these is a deadline to claim money, because there is no claim to file. Written objections must state the case name and number, your name, address and telephone number and your reasons, and must reach the U.S. Bankruptcy Court for the Southern District of Texas by November 2, 2026. The notice directs general settlement questions to the administrator or class counsel, not to the court. Hearing and attorney-appearance procedures are in the full notice on the settlement documents page, and our sister site’s Blue Ridge Power WARN Act settlement page embeds the September 4 notice.
Frequently Asked Questions
Do I need to file a claim in the Blue Ridge Power WARN Act settlement?
No. Eligible workers who stay in the settlement receive checks automatically after it becomes effective. The only thing to do is make sure Kroll Settlement Administration has your correct name and mailing address.
Is October 5, 2026 the deadline to get paid?
No. October 5, 2026 is the postmark deadline to opt out, which removes you from the settlement. Objections must be received by the Bankruptcy Court by November 2, 2026. There is no claim deadline.
What happens if I opt out?
You receive no settlement money and cannot object. The notice says workers who opt out are barred from recovering on these allegations unless they filed an individual Class Proof of Claim in the Chapter 11 cases by January 9, 2026, a date that has already passed.
How much will I receive?
Amounts vary by worker. Your personalized notice shows an estimate that already accounts for counsel fees, the service payment and administration costs, but not taxes and withholding. Payments are reported as wages on Form W-2.
When will checks be mailed?
No later than 30 days after the settlement’s effective date, which depends on final approval and the end of any appeal period. The final fairness hearing is November 9, 2026, and no fixed payment date has been set.
How long do I have to cash the check?
First checks must be cashed within 120 calendar days of issuance. If unclaimed funds exceed 10% of the total award, a second distribution goes to workers who cashed their first check, and those checks must be cashed within 60 days.
Sources
- Official settlement website and documents page — BlueRidgeWarnActSettlement.com, administered by Kroll Settlement Administration LLC.
- Class notice dated September 4, 2026, in James Mathes v. Blue Ridge Power, LLC, Adversary No. 25-03828, U.S. Bankruptcy Court, Southern District of Texas, Houston Division.
- OpenClassActions.com — Blue Ridge Power $3.07 Million WARN Act Settlement.
Source and credit: the settlement terms, deadlines and benefit details described above are drawn from our sister site’s reporting — OpenClassActions.com: Blue Ridge Power $3.07 Million WARN Act Settlement — Automatic Payments for Eligible Workers — which tracks this case against the court-approved notice and the official settlement website and is updated as the court rules.
Legal Disclaimer
This article is for informational purposes only and is not legal advice. OpenClassActions.org is a consumer news site, not a law firm and not the settlement administrator, and is not affiliated with any party to the case described. The allegations are allegations; unless a court has ruled, the defendants deny wrongdoing and no court has decided the merits. Deadlines, benefit amounts and payment timing can change as the court and the administrator act, so confirm current status on the official settlement website. You never need to pay anyone to file a claim or to receive a settlement payment.