Claiming Money Owed From A Class-Action Lawsuit
PITTSBURGH (KDKA) -- Companies accused of inconveniencing, misleading or injuring their customers often face a class-action lawsuits. But many times, most consumers don't even know they're part of those lawsuits or owed money when those suits are settled.
It's easy to see why Carol Mason doesn't like her outdoor deck.
"We have these brown boards that we bought and they're turning black," she said.
She soon could be seeing "green." Under the terms of a class action, she may be entitled to $400.
"I think consumers would be very surprised at just how many class action lawsuits they were a part of," Joe Ridout with Consumer Action said.
Ridout said hundreds of suits are filed each year to essentially punish companies for misleading customers. If you've ever purchased a product that's been a part of one of those suits, odds are, you have been entitled to class action cash.
But it's estimated that less than ten percent of eligible consumers actually claim their share of these settlements. So Consumer Action has created database to help consumers collect.
Ever buy Johnson & Johnson baby products? Or Seventh Generation cleaning products? You may be eligible for for $10 to $30, due to alleged misleading claims.
Ridout said often, proof of purchase isn't necessary.
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"Even for some of these very large amounts, it's not necessarily a high burden of proof," he said.
Current payouts range from 50 cents for some who bought a Starbucks breakfast sandwich last summer to thousands of dollars for those compromised by the 2014 Home Depot data breach.
"Consumers are never going to get rich off a class action," legal analyst Melissa Caen said.
Caen points out it's the lawyers who take home the biggest cut.
"But the bigger benefit to consumers is that the threat of the lawsuit keeps the companies honest," Ridout said.
Leftover funds are distributed to consumer organizations, like Ridout's. Though he'd prefer you get your cut.
"We want to get the word out before it's too late," he said.
Every settlement does have a deadline and filing a claim for something you never purchased is considered fraud. Companies often settle these suits, without admitting wrongdoing.
