Scott Law Group Adds GreenByPhone to List

The Scott Law Group, that Washington state legal firm that has sued a number of debt relief companies, has added a new name to this big list, GreenByPhone, Inc.

But apparently these folks were involved in an action with J Hass Group, a name debt relief industry people should recognize. According to the Scott Law Group:

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On March 14, 2014, after more than two years of contentious litigation, the Honorable Stephanie Arend of Pierce County Superior Court granted preliminary approval of two class settlements: Mikelson, et al. v. J. Hass Group, LLC, et al and Mikelson, et al. v. GreenByPhone, LLC, et al.

The class action was originally filed in January 2012 by David Mikelson on behalf of himself and a class of similarly situated Washington residents against J. Hass Group, LLC (“JHG”), American Debt Settlement Group, LLC (“ADSG”), Jeremy Hass, Jason Hass, and Jeffrey Hass (collectively the “JHG Defendants”). The complaint was later amended twice to add an additional named Plaintiff, Kasey Leedy and an additional Defendant, GreenByPhone, Inc. (“GBP”). The Second Amended Complaint advanced a cause of action for per se violation of the Washington Consumer Protection Act based upon systemic violations of the Washington Debt Adjusting Act against all Defendants, as well as negligent misrepresentation allegations against the JHG Defendants.

The JHG Settlement Class consists of “all residents of Washington who participated in a debt adjusting program with JHG between February 3, 2008 and February 3, 2012.” The GBP Settlement Class consists of “All Washington residents for whom GreenByPhone, Inc. (“GBP”) received a fee for processing checks that resulted in the transfer of funds from Washington consumers’ bank accounts to J. Hass Group, LLC or American Debt Settlement Group, LLC, and who did not execute a timely and valid exclusion request.”

Judge Arend appointed The Scott Law Group lawyer Boyd (“Mack”) Mayo as class counsel for both Settlement Classes, Mr. Mikelson and Ms. Leedy as Representatives of the JHG Class, Mr. Mikelson as Representative of the GBP Class, and the Scott Law Group as the claims administrator for both settlement classes.

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The GBP Class Settlement creates a $10,000.00 common fund out of which class members, pending final court approval, will receive pro rata recovery based upon the amount that GBP received in fees for processing checks that resulted in fees transfers to ADSG and/or JHG. The JHG Class Settlement, further, creates a $500,000.00 common fund out of which class members, pending final court approval, will receive pro rata recovery based upon the amount of fees they paid to JHG and/or ADSG only. In light of the circumstances and risks in this case, including potential problems in collecting on a judgment against the JHG Defendants, Class Representatives and Class Counsel deem these amounts to constitute fair, adequate, and reasonable recovery.

With preliminary approval granted, those who fall within the settlement class definition will receive information about the settlement through notice that will be mailed in April, 2014. On August 8, 2014, Judge Arend will hold a final fairness hearing and will make determinations as to whether granting final approval of the settlement is appropriate. – Source

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