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AOL Class-Action Settlement Suspended

Proposed settlement would benefit only a tiny minority of subscribers.

The proposed settlement of a class-action lawsuit against America Online by its subscribers may be on hold.

The settlement was hammered out in response to AOL%squots busy-signal and network-access troubles earlier this year. But at a fairness hearing in Chicago yesterday, attorneys representing some AOL members argued that the deal would benefit only a small number of the 8 million class members.

AOL hasn%squott revealed how much the settlement would cost the company, but lawyers opposed to it argued that it reaches only 1 percent of the class.

The judge who approved the original settlement did not rule on yesterday%squots request, nor did he say when he would issue a decision on the fairness of the proposed settlement.

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