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Wells Fargo resolves a nearly three-year-long lawsuit by paying $1 million. The lawsuit was filed by three former employees who claimed that the bank did not follow COBRA regulations while sending health notifications to participants.

The lawsuit claims that upon leaving Wells Fargo, employees made the decision to terminate their medical and dental benefits provided by the company. This decision was influenced by the misinformation provided by the company through Cobra notices, which were not only misleading but also included threats of criminal and tax penalties for failing to provide complete information. As a result, significant medical expenses were incurred. The lawsuit argues that these notices violated the COBRA and ERISA laws.

Well Fargo denies all of these allegations but agrees to with out of court settlement to avoid legal proceedings.

Can I join the settlement?

Employees who were sent notices of health plan between May 3, 2018, and December 23, 2021, by Wells Fargo and did not opt for COBRA coverage are part of this settlement. According to the settlement details, there are 50,000 or more employees affected by this lawsuit. They can submit a valid claim through email or an online claim form. If you received an email, it means you are automatically qualified for the settlement.

Benefits

Eligible class members can receive up to $20 for a valid claim, but this amount depends upon the number of claims.

Settlement Website

Important Dates

  • Claim Form Deadline: March 3, 2024
  • Final Approval Hearing Date: April 15, 2024
  • Objection/Exclusion Deadline: March 3, 2024