Bounceback Bad Check Class Action Lawsuit Settlement

A preliminary settlement has been reached in two class action lawsuits against Bounceback Inc., Stone Fence Holdings Inc., Check Connection Inc. and Gale Krieg that allege the defendants attempted to collect debts by using district attorney or county prosecutor letterhead.

According to the class action lawsuit filed in July 2014, the plaintiffs allege that Bounceback, a prominent nationwide debt collection agency, sent debt collection notices in the name of the country prosecutor or district attorney. Using false, deceptive and misleading communication to collect debts in violation of state and federal laws, according to the claim.

In addition to sending notices under the county prosecutor letterhead, the plaintiffs allege that the defendants improperly demanded fees for a “Check Enforcement Program.”

In this settlement, the court did not rule in favor of the plaintiffs or defendants, but rather, both sides entered into an agreement. The defendants deny any wrongdoing and claim they entered into a settlement to avoid the cost and risk associated with continued litigation.

The total settlement amount in the class action lawsuit is $530,000 and the attorneys’ fees will be up to $234,186. Eligible Class Members will receive at least 14 percent of the program fees that Class Members paid to the defendants. If Class Members paid no fees, they will receive $5.

The settlement administrator for the class action settlement will receive $28,000 for its service. Additionally, Class Counsel will seek a supplemental award for attorneys’ fees and costs once the eligible Class Members have been paid if there is any balance remaining.

Those who wish to object or exclude themselves from the settlement must do so by July 23, 2016.

Who’s Eligible

“You are in the Settlement Class if:

1. From July 18, 2010 to November 30, 2015, you received a collection demand on Washington county prosecutor letterhead stating that to avoid prosecution for writing a dishonored check, you had to pay for a ‘Check Enforcement Program,’ and you paid any fees to Defendants; or
2. From July 18, 2013 to November 30, 2015, you received a collection demand on Washington county prosecutor letterhead stating that to avoid prosecution for writing a dishonored check, you had to pay for a ‘Check Enforcement Program’; or
3. From August 3, 2011 to November 30, 2015, you received a collection demand on Lake, Mendocino, Plumas, San Benito, Sutter, or Yuba County district attorney letterhead stating that to avoid prosecution for writing a dishonored check, you had to pay for a ‘Check Enforcement Program,’ and you paid any fees to Defendants; or
4. From August 3, 2014 to November 30, 2015, you received a collection demand on Lake, Mendocino, Plumas, San Benito, Sutter, or Yuba County district attorney letterhead stating that to avoid prosecution for writing a dishonored check, you had to pay for a ‘Check Enforcement Program.’”

Potential Award

Varies.

Eligible Class Members will receive at least 14 percent of the program fees they paid to the defendants.

Class Members who paid no fees will receive an award of $5.

Proof of Purchase

N/A

Class Members who received a postcard Notice will automatically get a payment.

If you believe you’re eligible but did not receive a Notice, call the Settlement Administrator at 1-855-349-7023.

Frequently Asked Questions

FREQUENTLY ASKED QUESTIONS »

Exclusion Deadline

07/23/2016

Case Name

Wodena Cavnar, et al. v. Bounceback Inc., et al., Case No. 2:14-cv-00235-RMP, in the U.S. District Court for the Eastern District of Washington and Freitas, et al. v Bounceback Inc. et al, Case No. 3:15-cv-03560-RS, in the U.S. District Court for the Northern District of California

Final Hearing

09/15/2016

Settlement Website

www.BouncebackSettlement.com

Claims Administrator

Bounceback Settlement Administrator
P.O. Box 40007
College Station, TX 77842-4007

admin@bouncebacksettlement.com

1-855-349-7023

Class Counsel

Beth E. Terrell
Erica L. Nusser
Blythe H. Chandler
TERRELL MARSHALL LAW GROUP PLLC

Deepak Gupta
GUPTA WESSLER PLLC

Paul Arons
LAW OFFICE OF PAUL ARONS

Kirk D. Miller
KIRK D.MILLER, P.S.

Michael F. Ram
Karl Olson
Susan S. Brown
RAM, OLSON, CEREGHINO & KOPCZYNSKI

Defense Counsel

Scott C. Cifrese
David L. Broom
PAINE HAMBLEN LLP