Should I cash it?
Gosh, golly, wow... I got my $2.41 check from a settlement (that I didn't even want to participate in) today.
Seems that Anderson v. The Money Store (civil action 6-03-3608-13) sent me a "settlement", which I neither needed nor wanted. I don't recall receiving any mail denoting that I was in this class-action suit.
Should I even bother to cash it? Isn't that (tacit or otherwise) acceptance of the results of the lawsuit? Two bucks and change ain't gonna make or break me, I just don't want to even *imply* that I agree with the lawyers' actions...
What say you? -- Steve Egan, Spokane, Wash.
We can't speak to the merits of this settlement (according to news reports, numerous class actions have been filed against The Money Store, which once was a big "subprime" lender but eventually closed most of its operations, the remnants winding up as part of Wachovia). Assuming you've considered the allegations made in the suit and don't find them sympathetic, it still isn't easy to advise what you should do with the check, one reason being that not all settlements are structured in the same way. In some cases, unclaimed funds effectively revert to the defendant, which means that, if you have no quarrel with this particular company and believe the class action served only to drive up its cost of doing business, you can effectively return the unwanted gift by not cashing the check. In other cases, some or all of unclaimed funds goes to other parties -- sometimes to other claimants, sometimes to uncontroversial charities, but in some instances to lawyer-allied advocacy groups which promote litigation. And how do the lawyers themselves make out, or the other middlemen who administer the deal? Depending on how the settlement is structured, they may pocket more money if you refuse to cash your check, or less money, or their take may be unaffected. In other words, read the fine print. -- W.O.
Comments
Re: "Should I Cash It"
I read your patron's letter with more than a little frustration. I had a similar incident occur in December of 2003, when I received a settlement check in the amount of $0.17. I did not feel right cashing it. Instead, I have it posted on my wall at work as a reminder of the outrageous nature of our tort system.
I have yet to contact the settlement fund address to inquire by whom I was "represented", and what their reimbursement was for winning me this windfall. I am unclear if that information is accessible by me, even though I was identified as a member of the "class".
I've only just visited your web-site today, and I thank you for your efforts.
Posted by: Steve | August 12, 2004 5:50 PM