Top Class Actions’s website and social media posts use affiliate links. If you make a purchase using such links, we may receive a commission, but it will not result in any additional charges to you. Please review our Affiliate Link Disclosure for more information.
A federal judge has granted final approval to a $35.5 million class action settlement resolving claims of racial discrimination at Wells Fargo.
After nearly four years of litigation, U.S. District Judge Harry D. Leinenweber signed off on the Wells Fargo class action settlement. The agreement requires defendant Wells Fargo Advisors LLC to make changes in its policies and procedures to prevent discriminatory treatment of its African-American financial advisers.
Plaintiffs Lance W. Slaughter, Michael Smith, Erika Williams, Lucien Philippe, Katarina Everett, and Keith Spelmon brought this Wells Fargo discrimination class action lawsuit in 2013. They accused defendant Wells Fargo Advisors LLC of maintaining employment policies that systemically and intentionally excluded African-American financial advisors from the company’s best-paying work opportunities.
These policies effectively segregated Wells Fargo’s employees, and disparately impacted African-American advisors, the plaintiffs alleged.
Plaintiffs won a preliminary victory in August 2014, after Wells Fargo tried to have their claims deferred to arbitration. Judge Leinenweber denied the bank’s motion. An appeals court upheld the denial, holding that arbitration agreements that require individualized arbitration of class action claims are unenforceable under the National Labor Relations Act.
The total value of the Wells Fargo class action settlement is $35.5 million. Under terms of the settlement, a Class of at least 360 African-American Wells Fargo employees will be eligible for settlement payments. Judge Leinenweber also approved the requested service awards for the Class representatives, each of whom will receive $175,000.
In addition to the monetary payments, Wells Fargo will implement policy changes designed to prevent racial discrimination within the company.
Class Members working in the bank’s private client and wealth brokerage groups can benefit from a $500,000 business development fund. Bank executives will be required to create specific job opportunities for African-American advisors and to pair them with designated coaches.
The defendant has also agreed to drop its policy of requiring claims of racial discrimination to be decided via private arbitration.
To make a claim, Class Members can sign up for an individualized hearing before designated claims administrators. Judge Leinenweber has appointed Special Master Lynn P. Cohn to oversee the claims resolution process.
The settlement earned Judge Leinenweber’s preliminary approval in January 2017. A total of 542 Class Members and potential Class Members were sent notice of the Wells Fargo class action settlement, according to the plaintiffs. Six of those Class Members opted out of the monetary part of the settlement, and none raised objections.
As approved by the court, the settlement Class will cover all African-Americans currently or formerly employed in the U.S. by Wells Fargo Advisors as Financial Advisors or licensed Financial Advisor Trainees, and who worked in the Private Client Group or the WFA bank brokerage channel between Sept. 4, 2009 and Dec. 31, 2016.
Top Class Actions will post updates to this class action settlement as they become available. For the latest updates, keep checking TopClassActions.com or sign up for our free newsletter. You can also receive notifications when this article is updated by using your free Top Class Actions account and clicking the “Follow Article” button at the top of the post.
Counsel for the plaintiffs and the Class include attorneys Linda D. Friedman, Suzanne E. Bish, George S. Robot and Patricia A. Bronte of Stowell & Friedman LTD.
The Wells Fargo Employment Discrimination Class Action Lawsuit is Lance W. Slaughter, et al. v. Wells Fargo Advisors LLC, Case No. 1:13-cv-06368, in the U.S. District Court for the Northern District of Illinois.
UPDATE: The Wells Fargo Financial Advisor Race Discrimination Class Action Settlement is now open. Click here to file a claim.
ATTORNEY ADVERTISING
Top Class Actions is a Proud Member of the American Bar Association
LEGAL INFORMATION IS NOT LEGAL ADVICE
Top Class Actions Legal Statement
©2008 – 2024 Top Class Actions® LLC
Various Trademarks held by their respective owners
This website is not intended for viewing or usage by European Union citizens.
19 thoughts onWells Fargo Will Pay $35.5M to Settle Race Discrimination Class Action
let me say this… Not only am I aware that wells fargo has cameras. surely i told them about the cashiers check and they followed up about some bull###@#$$ investigation into the matter…. when they finally reached out to me they had the gall to say they reviewed the tape and it showed that i walked into the bank with $17,000 and had not opened an account with a wells fargo cashiers check in the amount of 30,000. i contacted the rep/ who opened the accounts thank god he remembered me and gave me a copy of the check before he was unexpectantly let go .after giving them the proof and expecting an apology; they said that they were not going to give me money back and told me to sue them
UPDATE: The Wells Fargo Financial Advisor Race Discrimination Class Action Settlement is now open. Click here to file a claim.
Just to clarify, African American label does not truly identify the people of color that are born and raised here! That label is reserved for the sisters and brothers that come to the US and become citizens! And that label “black” has been termed by white society! And that term white is more like the color of silly putty! It is, either you are American or non-American. Simple. All the unnecessary labels extend disrespect to cultures & put up barriers that prevents us from pursuing the opportunities in sharing growth and becoming super earthlings! Our earth needs attention and we require intelligent beings to find answers to those needs! Stop the hidden hate covered by your fears! Stop feeding shallow thoughts! We are only as Superior as all great deeds have been done, not the amount in your bank account!
If Wells Fargo discriminate against their employees. They should be fixing the descrimation to lend African American loans. in 2009 . wells Fargo refused to refinance mortgage at the same time they were refinancing White Americans with no hesitation.
The Smiths
wells Fargo took some 17,000 dollars from me after i opened two accounts with a 30,000 dollar cashiers check from their bank. they only deposited 13,000.00 in my account then said that i opened each account with cash and there was no record of me ever having opened an account with a cashiers check. they did an investigation and said that they had reviewed the tape and that my claim was closed . i was so irrate i went to the rep who opened my account and he remembered me and my cashiers check after tracking it down they finally admitted that i did have a 30,000.00 check but now says that i took that money out in cash. impossible. what should i do ? please someone help this has caused my financial down fall
They use cameras all day long! Everything is recorded and archived! And if they say cash was withdrawn – that was recorded and had to be proven on that day’s “daily proof” by all tellers matching customer’s withdrawals and deposits! You have your receipt – but did not check the recorded transaction is their proof and that is probably the strong evidence being used against you! Or maybe one of the tellers needed vacation money?! But proving that will take a strong Constitution from you! Pursue a higher authority to assist you! Never take no for an answer! People saying no only means – they don’t know, or do not have the authority to say yes! Go get your money!!!
Something else, usually they have two tellers witnessing such a large amount to be counted out to the customer. What is the written procedure for a large transaction? Find it and maybe you can establish negligence. Talk to an attorney about Discovery. What you have received from the bank’s response thus far, sounds like standard procedures. I know from experience that the truth is your power! Make them pursue stronger avenues to take to find your money. You do not require law education to do this, you do need to believe that you are important to be heard!
Can you say African American any more times than you did.? Where is European American.? Someone ought to sue your sight for racial bias.! They are black no matter how hard you suck on it.
People are not really Black. More correctly brown. Same is true for no White people.
It is American or non-American. Check this out..we are all a shade of brown..either lighter or darker..just another shade of brown! We love tanning too! We also spend billions on managing smooth – healthy skin! I always heard on the Eastern seaboard that a tan represents a vacation in beautiful places around the world, and only someone with the cash flow can get this! And, more recently, someone reminded me that the Chinese scowl on tans because this represents lower echelon, less income having to work in the fields causing you to tan! I don’t care where you work, you are still a slave to someone’s time, and china’s air is polluted and you need to run inside! So, in my opinion, wherever you lived from birth to 5 years, you were indoctrinated with those cultural values! And when speaking to share, we really don’t recognize how much emphasis is put on our feelings! We actually just go “auto pilot” and not notice what we are actually saying! When we say black, brown or white we are describing our feelings- partially. We cut our conversation down, always rushing to get to the next thing! We forget to say what we mean. And how about that American history? We still have not righted the wrongs to our Native Americans! No way would you speak of them as white! Right?! Or you better not even think about it!
I have been waiting for almost 3 yrs to be compensated for the fraudulent account that they opened in my name. Why is it taking so long when they know that they donot have one signature of mine anywhere in any branch authorizing them to open an account in my name.
I’m surprised you allowed the wait! Everybody has a boss, a sponsor or an overseer! Did you pursue theirs within the federal government? You should have a deadline that they must adhere to. That’s business!
I briefly work and bank, with West Fargo but did not receive any notification, can you please help check why?
This “bank” has issues. They re deposited my husband’s paycheck INTO his employer’s Wells Fargo account instead of depositing it into our Wells Fargo account !!!!!! If we hadn’t of caught it ASAP at the teller window it would have been a cat fight down to the ground.
It would be nice if people stopped doing business with proven corrupt businesses, seeing how the banking business owners don’t go to jail like anyone else.
I think what caused the error warrants another check over! You don’t want this to happen again! If the accounts are so similar– then have an alert put on your account to help prevent future mistakes!
Have them put an alert on your account for future transactions! At least you can sue in a court of law when you have written evidence and you can establish negligence! Just saying.
Asked for a loan back in 2014 and we had asked for a small loan and had assets but cuz I was disabled they said No they cant help us.
Don’t fret over that. They just couldn’t make enough cash flow from the amount you were asking! And more importantly, there are much better entities that could offer you more and ask for less! And here’s a tidbit: should you ask to borrow, go for the higher numbers rather than the low! Should you get turned down you’ll be able to say well– I did ask for an exorbitant amount!?