Keller Rohrback: Plaintiffs in Wells Fargo Account Scandal Seek Court Approval for $142 Million Settlement
April 20, 2017
Today the plaintiffs who filed the first class action lawsuit against Wells Fargo related to unauthorized accounts asked a federal court in San Francisco to preliminarily approve a $142 million settlement with the bank designed to compensate customers nationwide. Keller Rohrback L.L.P., which represent the plaintiffs, filed the settlement papers in the case captioned Jabbari, et. al. v. Wells Fargo & Company and Wells Fargo Bank, N.A., Case No. 3:15-cv-02159-VC, in the United States District Court for the Northern District of California.
The filing shows that Wells Fargo agreed to increase the $110 million settlement announced on March 28, 2017 by $32 million, and to extend the Class Period back to May 1, 2002.
“Wells Fargo abused the trust of its customers, and the proposed $142 million settlement aims to reimburse Wells Fargo customers for the damage caused by the bank’s conduct,” said Derek Loeser, a partner at Keller Rohrback L.L.P. and attorney for the plaintiffs.
The settlement—if approved—compensates customers for fees charged on unauthorized accounts, products, and services, compensates them for damage to their credit resulting from Wells Fargo unauthorized accounts, and provides additional compensation to all Class Members based on the number of unauthorized accounts, products or services opened in their names.
“The settlement is the result of hard-fought negotiations and our refusal to accept Wells Fargo’s position that its victims had to arbitrate their claims individually with the bank,” Loeser said.
Key points about the preliminary approval process for the settlement:
- The plaintiffs are asking the court to preliminarily approve the settlement and to certify a settlement class so that court-approved notices can be mailed and publicized.
- The proposed class consists of people for whom Wells Fargo opened an account in their name, enrolled them in a product or service, or submitted an application for a product or service in their name without consent during the period from May 1, 2002 through April 20, 2017.
- The Hon. Vince Chhabria, the federal judge overseeing the case, has scheduled a hearing on the plaintiffs’ motion to preliminarily approve the settlement on May 18. If the court preliminarily approves the settlement, information will be sent to class members about the settlement benefits before the court holds a final fairness hearing to decide whether to grant final approval to the settlement.
Plaintiffs are represented by:
Derek W. LoeserGretchen Freeman CappioDaniel P. MensherMatthew J. PreuschJeffrey Lewis
About Keller Rohrback
Keller Rohrback L.L.P. is a consumer-rights class-action law firm with offices in 6 locations. Our Complex Litigation Group is proud to offer its expertise to clients nationwide, and our trial lawyers have obtained judgments and settlements on behalf of clients in excess of 18 billion dollars.
The firm’s record of success includes settlements with numerous Fortune 500 companies accused of cheating their employees and customers. Recently, managing partner Lynn Sarko was appointed to the Plaintiffs’ Steering Committee in the landmark Volkswagen “Clean Diesel” litigation. More about the law firm and its successes can be found at www.krcomplexlit.com. or connect with us on Facebook, Twitter or LinkedIn.