TeleCheck/TRS Recovery Services Class Action Settlement

A $3.4 million class action settlement was reached between collection agency TRS Recovery Services, Inc. and TeleCheck Services, Inc. with consumers who allege they were sent a misleading collection letter when they didn’t actually owe any money. If you were sent a collection letter from TRS Recovery Services or TeleCheck Services, you may qualify to participate in this class action settlement.

This TRS Recovery Services class action lawsuit was filed in March 2011 by plaintiff Jean LaRocque of Maine along with her daughter and power of attorney Deidre J. Spang, alleging that TeleCheck and TRS sent LaRocque a collection letter saying that a check she wrote had bounced. However, LaRocque claimed that the check at issue had already cleared in her bank account.

The collection letter demanded that LaRocque pay for the amount of the check plus a $25.00 returned check fee. TRS and TeleCheck took liberty and deducted the check amount allegedly owed plus the returned check fee from her checking account without LaRocque’s permission, the TeleCheck class action lawsuit said.

Spang says she tried to follow up with TeleCheck on her mother’s behalf but they refused to refund the amount that they deducted from LaRocque’s checking account.

The TRS Recovery Services class action lawsuit alleged that the collection agencies had violated federal law as well as Maine laws regarding the practices of collection agencies.

This TeleCheck class action settlement includes three classes: one for those who received the collection letter from TRS, one for those who had the alleged debt and/or the returned check fee deducted from their checking account within 30 days of receiving the letter, and one for Maine residents who were forced to pay a returned check fee in connection with the alleged debt.

These classes are for those who received letters from TRS or TeleCheck and/or had the deductions take place from March 11, 2010 through July 30, 2015.

TRS and TeleCheck deny any wrongdoing but agreed to the class action settlement to avoid the cost and risk of trial. U.S. District Judge D. Brock Hornby granted preliminary approval to the class action settlement on July 30.

UPDATE: On May 16, 2016, Top Class Actions readers started receiving settlement checks worth as much as $59.69! Congratulations to our viewers who filed a claim and got PAID!

Who’s Eligible

This class action settlement includes the following classes:

• Settlement Class 1: All U.S. residents who TRS sent its RECR3 collection letter between March 11, 2010 and July 30, 2015.
• Settlement Class 1 Subclass: All U.S. residents TRS sent its RECR3 collection letter between March 11, 2010 and July 30, 2015, and from whom one or both defendants collected in whole or in part, within 30 days of the RECR3 letter, the debt or returned check fee referenced in that RECR3 letter.
• Settlement Class 2: All natural persons who have paid a returned check fee of $25.00 to at least one of the defendants by way of a TRS demand draft in connection with an underlying check transaction that occurred in the State of Maine between March 11, 2005 and July 30, 2015.

   

Potential Award

The amount Class Members will receive will depend on how many valid claims are filed.

Here is how the settlement fund will be divided once attorneys’ fees and other costs are taken into account:

• People who received a RECR3 letter from TRS Recovery Services will receive payment equally from 40% of the earmarked Settlement Fund (approximately $825,000).
• People who paid money to TRS Recovery Services or TeleCheck Services will receive payment equally from 60% of the earmarked Settlement Fund (about $1,220,000).
• If you both paid money to TRS Recovery Services or TeleCheck Services and received a RECR3 letter from TRS, you are eligible to receive payment twice.

Proof of Purchase

Class Members should have received a Postcard Notice in the mail verifying that they can participate in this class action settlement. However, if someone believes they should be a part of this class action settlement but did not receive a notice, they should contact the Claims Administrator.

Claim Form

CLICK HERE TO FILE A CLAIM »

Claim Form Deadline

12/22/2015

Case Name

The TeleCheck/TRS Recovery Systems Class Action Lawsuit is LaRocque v. TRS Recovery Services, Inc. et al., Case No. 2:11-cv-91-DBH and In Re: TRS Recovery Services, Inc. and TeleCheck Services, Inc., Fair Debt Collection Practices Act (FDCPA) Litigation, No. 2:13-md-2426-DBH in the U.S. District Court for the District of Maine.

Final Hearing

01/21/2016

Settlement Website

www.TRSClassActionSettlement.com

Claims Administrator

Class Counsel

FRANCIS & MAILMAN, P.C.
LEWIS SAUL & ASSOCIATES, P.C.
(877) 735-8600
info@consumerlawfirm.com

Defense Counsel

Donald R. Frederico
PIERCE ATWOOD, LLP