Toronto Dominion Bank (TD Bank) customers face a looming deadline to take action regarding a nearly $16-million class-action settlement related to non-sufficient funds (NSF) fees. The settlement, which Toronto law firm Koskie Minsky LLP mediated in August 2023, is currently awaiting court approval.
As part of the $15.9 million settlement, TD Bank will pay out to qualified class members, with some of the money going straight into their accounts. The Ontario Superior Court of Justice certified the settlement as a class action on December 7, 2022.
Customers who do not wish to be subject to the settlement's legal obligations have until January 26 to withdraw from the class action. Opting out allows them to maintain the right to pursue individual legal action against TD Bank. Similarly, customers who want to remain part of the class but object to the proposed settlement also have until January 26 to express their objections.
You may find the necessary documents online at kmonline.ca and send them by email or regular mail if you want to opt out or contest the settlement.
Customers who take no action will automatically be included in the class and, if the settlement is approved, will share the benefits. Eligible customers who do nothing may expect approximately $88 deposited into their accounts without the need for additional paperwork.
The eligibility criteria for receiving benefits from the settlement include being a Canadian resident with an open personal deposit account at TD Bank. The account should have incurred an NSF fee for a re-presented pre-authorized debit transaction between February 2, 2019, and November 27, 2023, according to the Notice of Hearing.
The class-action lawsuit, initiated in 2021, alleges that TD Bank unlawfully charged customers multiple NSF fees on a single payment or check. While TD Bank denies any wrongdoing or liability, it has agreed to the proposed settlement following extensive negotiations with the assistance of a mediator.
The law firm Koskie Minsky emphasizes the work put in by both parties to reach the agreement and sees the settlement as a win for the class. The court hearing to approve the settlement is scheduled for February 13, 2024.
