There is a pending class action lawsuit (“the Lawsuit”) against JQD, LLC, which does business as Pro Solutions (“Pro Solutions” or “Defendant”). The lawsuit was brought by Plaintiff Gena Hanson (“Plaintiff” or “Class Representative” or “Named Plaintiff”), on behalf of herself and all others whose HOA accounts were transferred to Pro Solutions for debt collection and where Pro Solutions, between November 19, 2009 to the present, either:
(1) contacted the homeowner and stated a debt amount that included charges not incurred by the HOA;
(2) contacted the homeowner and stated a debt amount that included late fees in excess of those authorized under California law;
(3) contacted the homeowner and stated a debt amount that included interest in excess of the amount authorized under California law;
(4) threatened or initiated non-judicial foreclosure on assessment debt below $1,800, exclusive of fees;
(5) refused payments from a homeowner; and/or
(6) collected a payment from the homeowner and applied that payment to the costs of collection before delinquent assessments were paid in full. The Lawsuit is pending in the United States District Court for the Northern District of California before the Honorable Richard G. Seeborg, United States District Court Judge.
The case name and number is as follows: Gena Hanson v. JQD, LLC, d/b/a Pro Solutions, United States District Court, Northern District of California, Case No. 3:13-cv-05377-RS The Lawsuit alleges that Pro Solutions participates in unlawful debt collection practices in violation of federal and California law. Pro Solutions is a debt collection company hired by various homeowners associations (“HOAs”). Plaintiff claims that Pro Solutions’ debt collection practices violate California’s Davis Stirling Act, which governs, among other things, HOA debt collection practices in California. Plaintiff also claims that Pro Solutions is attempting to collect debts to which it has no legal right, in violation of various federal laws and California’s unfair competition law. 2 Pro Solutions has vigorously denied, and continues to deny, any wrongdoing and asserts because it is not an HOA, the restrictions of the Davis Stirling Act do not apply to its debt collection practices. Pro Solutions also claims that Plaintiff’s claims suffer from other fatal legal deficiencies.
The Lawsuit has been actively litigated since it was filed in November of 2013. The parties have conducted formal discovery and have exchanged detailed information about the claims, defenses, and alleged damages at issue. A Settlement has now been reached, after lengthy settlement negotiations, spanning almost a full year, two all-day mediation sessions overseen by independent and experienced mediators, and a settlement conference held before a Magistrate Judge for the United States District Court, Northern District of California. On October 13, 2016, the Court granted preliminary approval to the Settlement. According to Pro Solutions’ records, you may be a Class Member, and may be entitled to receive a share of the Settlement proceeds. The purpose of this Notice is to explain your legal rights regarding the Settlement and the procedures for making a claim, objecting to the Settlement, or excluding yourself from the Settlement.
Class Members of the Pro Solutions debt collection settlement include “all current or former California homeowners whose HOA accounts were transferred to Pro Solutions and where Pro Solutions, between November 19, 2009 to the present, either: (1) contacted the homeowner and stated a debt amount that included charges not incurred by the HOA; (2) contacted the homeowner and stated a debt amount that included late fees in excess of those authorized under California law; (3) contacted the homeowner and stated a debt amount that included interest in excess of the amount authorized under California law; (4) threatened or initiated non-judicial foreclosure on assessment debt below $1,800, exclusive of fees; (5) refused payments from a homeowner; and/or (6) collected a payment from the homeowner and applied that payment to the costs of collection before delinquent assessments were paid in full.”
Potential Award
Varies.
Class Members who file a claim for cash relief will receive a percentage of the Settlement Fund, which will be calculated by dividing the fees and costs collected by Pro Solutions from an individual Class Member during the Class Period by the total amount of fees and costs collected by Pro Solution from all Class Members.
Proof of Purchase
N/A. Class Members must verify under the penalty of perjury that they are eligible to participate in the Pro Solutions class action settlement.
Claim Form Deadline
3/6/2017
NOTE: A PDF version of the Claim Form is available for download here.
Case Name
Gena Hanson v. JQD LLC d/b/a Pro Solutions, Case No. 3:13-cv-05377-RS, in the U.S. District Court for the Northern District of California
Final Hearing
4/27/2017
Settlement Website
Claims Administrator
Pro Solutions Settlement
c/o Angeion Group
1801 Market Street, Suite 660
Philadelphia, PA 19103
Email: [email protected]
Class Counsel
Justin T. Berger
COTCHETT PITRE & MCCARTHY LLP
Noah Zinner
HOUSING AND ECONOMIC RIGHTS ADVOCATES
Defense Counsel
Stephen H. Turner
LEWIS BRISBOIS BISGAARD & SMITH LLP
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