Second H&R Block Tax Refund Class Action Lawsuit Filed
By Kimberly Mirando
H&R Block Inc. has been hit with a second class action lawsuit from customers who say errors in the firm’s software led to certain 2012 tax return refunds being delayed by over a month.
The class action lawsuits follow a March announcement by the IRS that nearly 600,000 taxpayers who filed their returns before February 22 were affected by a software glitch that caused certain areas of the form to be filled out incorrectly. The glitches were caused by the IRS changing the way it processes some “Yes” or “No” questions relating to educational credits, and affected other tax preparation services besides H&R Block.
H&R Block CEO Bill Cobb said in a March 16 statement that the company’s software failed to fill out a mandatory field on Form 8863 due to this change in how the questions were presented. Other companies, including Intuit Inc. and Jackson Hewitt Tax Service Inc., said their programs were not affected by the glitch.
The crux of the class action lawsuits will be whether H&R’s “100% accuracy guarantee” — despite using faulty software to process the tax forms — amounts to a violation of state consumer protection laws and breach of contract.
“Defendants owed a duty to plaintiffs and the class to perform professional tax preparation services in accordance with the prevailing standard of care in the tax preparation and accounting industry,” according to the most recent complaint.
Plaintiffs in the first class action lawsuit, Green v. H&R Block, claim this guarantee makes H&R Block liable and that despite issuing an apology, the company hasn’t offered compensation to customers affected by the error.
Plaintiffs in the second H&R Block class action lawsuit are seeking at least $5 million damages for a proposed nationwide class of H&R Block customers whose tax refunds were delayed due to the software glitch.
The case is Maighan O. Perry Dreyling, et al. v. H&R Block Inc. et al., Case No. 13-cv-2011, U.S. District Court for the Northern District of California.
Updated May 3rd, 2013
All class action and lawsuit news updates are listed in the Lawsuit News section of Top Class Actions
7 thoughts onSecond H&R Block Tax Refund Class Action Lawsuit Filed
How can I be added to the class action lawsuits. Where do I sighn up. I’ve used both h and r block and turbo tax for years we don’t even make $50,000.00 a year and we’re charged a rediculus fee to have our taxes done I have uses h and r block since 2002.
Please point me in the correct direction. Thank you
H & R block has been charging my mom for the past four years to do her taxes and she has no taxable income. They take advantage of the elderly . They were gonna charge her this year again until I insisted my mom get a second opinion.
Filed 2012 tax return with hr block on April 15 2013. Today is January 23, 2015. I still have not received federal or state refund. Called offices during off season and got no responses. Went to the same office that filed them for me and they have no explanation of where my refund is. Thank God I have my preparation packet. Waiting on answers.
Did you ever get this resolved? We are having the same issue. Still no return on 2012 taxes. Dealing with irs and tax advocate, but no answers. Irs has us filing extensions through 2015 and claim we will be penalized if we file the remaining years. This is holding our lives up as we are unable to purchase a home now!!!!
Got a letter from the irs and i took it to H&R Block and they called the irs and there was no infor on my return from 2011 i didn’t get the money from my return so i went to someone else and got my 2012 taxes back. They have been having problems for a long time. never use H & R Block again
Taxes was filed Feb. 1, 2013 with HR block. Have not received state tax. Rec’d letter from state 5-29-13. Had letter reviewed by HR block and was told a FTB did not receive everything that should have been received through the system. Had additions papers faxed. June 1st, still waiting for refund.
Still have not received my state tax. Hr. block still not sent. Taxes done in January but state revenue still has not received form.