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Intuit Inc. has reached a $6.55 million class action lawsuit settlement over claims it charged deceptive fees to TurboTax Online customers. If you used TurboTax Online and opted to have your TurboTax fees, including your tax preparation fees or e-filing fees, deducted from your tax return, you may be eligible to claim a cash award from the proposed class action settlement.
The TurboTax settlement will resolve a class action lawsuit (Smith v. Intuit Inc.) filed in February that claims Intuit violated California and federal consumer protection laws in connection with TurboTax.com’s Refund Processing Service. The service, sometimes referred to as a Refund Processing Option or Refund Transfer, allows TurboTax customers to choose to pay their TurboTax fees by deducting the amount owed from their tax refunds for a fee (typically $29.95).
The class action lawsuit alleges, among other things, that Intuit failed to properly disclose the fee for the Refund Processing Service as a finance charge, and failed to properly disclose the Annual Percentage Rate (“APR”) of what plaintiffs allege is a loan.
Intuit denies any wrongdoing but has agreed to refund consumers through a class action lawsuit settlement fund to resolve the litigation.
Class Members of the TurboTax class action settlement include all Intuit customers in the U.S. who used Intuit’s TurboTax Online and utilized the Refund Processing Service from and including January 12, 2008 through May 28, 2013.
The amount of money you can claim from the TurboTax class action settlement will be based on the number of times you purchased the Refund Processing Service during the Class Period divided by the total number of times that all Class Members who submit a valid Claim Form purchased the service. It is anticipated, on average, that Class Members who submit Claim Forms will receive more than $10. Actual payment could be more or less, depending on how many people file valid claims.
The only way to receive a cash award from the TurboTax settlement is to submit a valid Claim Form either online at www.TurboTaxClassAction.com or mailed to the Settlement Administrator so that it is postmarked or received on or before October 28, 2013.
Claim Forms and more information on your rights in the TurboTax Class Action Lawsuit Settlement can be found at www.TurboTaxClassAction.com.
The case is Smith, et al. v. Intuit Inc., Case No. 12-cv-00222, U.S. District Court, Northern District of California
How to File a Claim for the Intuit TurboTax Class Action Lawsuit Settlement
Website of the Class Action Lawsuit Settlement Administrator: www.TurboTaxClassAction.com
Address to submit a claim form (REQUIRED):
The only way to receive a cash payment from the TurboTax class action settlement is to submit a valid Claim Form online at www.TurboTaxClassAction.com or to the following address. Claims must be postmarked or received on or before October 28, 2013.
TurboTax Class Action
c/o Heffler Claims Group
P.O. Box 220
Philadelphia, PA 19105-0220
Phone Number to call for assistance: 888-980-9394
Purchased Between: January 12, 2008 through May 28, 2013
Claims must be postmarked by: 10/28/13
Settlement Administrator: Heffler Claims Group
CARNEY BATES & PULLIAM PLLC
GOLOMB & HONIK PC
KU & MUSSMAN, PA
MILSTEIN ADELMAN LLP
GIBSON, DUNN & CRUTCHER LLP
UPDATE: A federal judge granted final approval to the Intuit TurboTax Class Action Lawsuit Settlement on October 1, 2013.
Update 4/24/14: Some Top Class Actions viewers have reported they received the following update from Heffler Claims Group, the Settlement Administrator for the TurboTax class action settlement: “We are currently in the process of reviewing over 360,000 filed claims. Your patience during this process is appreciated. Checks will be mailed out upon completion of the claims review process.The amount that each claim will receive via the settlement fund has not yet been determined. This determination usually occurs once all claims have been finalized. At this time, we have no set date for fund disbursement, but we are anticipating checks to go out soon after the claims review process is completed. Please feel free to get back to us in the future.” More info: www.turbotaxclassaction.com
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Categorized in: Closed Settlements