FAQs
SECOND DISTRIBUTION
The second check you received represents your second pro rata distribution from class common funds in the Norman Gundel, et al. v. Avatar Properties Inc., Case No. 2017-CA-001446 (Fla. 10th. Cir. Polk Co.) class action lawsuit.
The second distribution is funded by additional settlement proceeds resulting from the resolution of the final pending appeal, uncashed payments from the initial 2025 first distribution, and other funds remaining in the Class Common Fund. The Court approved the distribution of these funds on July 8, 2026.
The amount shown in your 2025 letter represents the total Club Membership Fees and sales tax thereon you paid beginning in April 2013 until Club Membership Fee collection ended in November 2023. This was not the final amount you would receive. Instead, it was the starting point used to calculate your payments.
To calculate your payment, interest was first added to your verified Club Membership Fees and sales tax amount you paid as shown in your 2025 letter. This combined amount is called your “Recognized Loss”.
This case was litigated as a common fund class action under Florida law. In a common fund case, the total recovery obtained for the Class is held as a single fund, and the costs of obtaining that recovery including legal expenses, attorneys' fees, settlement administration costs, and awards to the Class Representatives are paid from the fund. These expenses were deducted before the remaining funds were distributed to eligible Class Members.
The court then ordered distribution of these remaining funds to the Class on a pro-rata basis, meaning every eligible Class Member received the same percentage of their Recognized Loss. The expense deductions were applied evenly across the entire Class, not to any individual claim. The difference between your Recognized Loss and the total payments you received is your pro-rata share of those court-ordered expense deductions.
Pro-rata means each eligible Class Member receives the same percentage of their Recognized Loss. The court-ordered deductions were applied evenly across the entire Class. Your payments reflect your full pro-rata share of the funds remaining after those deductions.
Yes. Interest was included in the calculation of both your payments. The interest accrued on your claim was added to your Club Membership Fees and sales tax to determine your total Recognized Loss. That total was then used to calculate your share of the funds available for distribution. Interest was not paid separately or shown as a separate amount on your check. It was included in the calculation of your payments and distributed in the second distribution check.
Your 2025 first distribution check included 60.07% of your Recognized Loss. Your 2026 second distribution check included 29.16% of your Recognized Loss. Thus, the total of both of your distribution checks is 89.23% of your Recognized Loss. These percentages are the same for everyone.
Your payment may be different from your neighbor’s because each eligible Class Member paid different amounts in Club Membership Fees and sales tax. Although most Solivita neighborhoods paid the same Club Membership Fee every month, the oldest neighborhoods paid a smaller Club Membership Fee every month.
The interest added to those payment amounts may also be different. Interest was calculated on each payment beginning on the date each payment was received. Thus, payments made in earlier years incur more interest than payments made in later year. People making a greater number of payments incur more interest. This means that even if you and your neighbor paid similar fees, your total payments may be different.
Everyone’s payment was calculated using the same method. The differences in payment amounts are based on each eligible Class Member’s fees and sales taxes paid, and interest thereon.
We are reviewing the distribution amounts and interest calculations to determine whether Forms 1099 are required. If a Form 1099 is required for your payment, it will be mailed to your address on file within the applicable reporting deadline. We will update this FAQ once our review is complete.
You may have tax obligations even if you do not receive a Form 1099. Please consult your tax adviser regarding your individual circumstances.
You may receive more than one 2026 second distribution check because you owned multiple properties during the class period or because the Class Action Administrator was unable to link together all your records for a single property.
Please return this 2026 second distribution check with copies of documentation verifying the change in name to Avatar Class Action, c/o A.B. Data, Ltd., P.O. Box 170500, Milwaukee, WI 53217 by return receipt certified mail to insure delivery.
Once your reissue request has been processed, please allow 6–8 weeks for your replacement 2026 second distribution check to arrive by mail.
BASIC INFORMATION
The lawsuit alleges that the Defendant, Avatar Properties, Inc. (the “Defendant” or “Avatar”), violated Florida Statutes by requiring Solivita Homeowners to pay certain fees in excess of expenses for mandatory membership in the Solivita Club (the “Club Membership Fee”). Avatar denied these claims and allegations.
The Court entered Final Judgment for the Plaintiffs and Class Members and against Avatar. The Final Judgment was upheld on appeal and the Florida Supreme Court denied further review. All Court proceedings are now complete. Avatar has paid the required funds into the class common fund.
The Court decided that everyone who fits this description is a Class Member:
All persons who currently own or previously owned a home in Solivita and who have paid a Club Membership Fee under the Club Plan on or after April 26, 2013, and who have not opted out of this class.
The Court has appointed attorney J. Daniel Clark, Esq., of the law firm of Clark, P.A., 3407 W. Kennedy Blvd., Tampa, Florida 33609 to represent you and other Class Members. You will not be charged for this attorney. If you want to be represented by your own lawyer, you may hire one at your own expense.
The Court awarded Class Counsel $36 million in attorney fees, and costs and expenses.
Any questions you have concerning the matters contained in the notice, including any corrections or changes of name and/or address, should NOT be directed to the Court, but should be directed in writing to:
AVATAR CLASS ACTION
C/O A.B. DATA, LTD.
P.O. BOX 170500
MILWAUKEE, WI 53217
info@SolivitaClassAction.com