Proposed settlement announced in class actions against PayPal
TORONTO, Dec. 29, 2020 /CNW/ -- The following statement is being issued by Paliare Roland Rosenberg Rothstein LLP in regard to a proposed settlement.
A negotiated settlement has been reached for two foreign exchange class actions against PayPal. The settlement is subject to approval by the Ontario Superior Court of Justice and the Québec Superior Court.
The class actions allege that PayPal CA Limited, PayPal Canada Co., PayPal, Inc., and PayPal Holdings, Inc. (collectively, "PayPal") charged users more for currency conversions than it was entitled to under PayPal's user agreements between January 2017 and August 2018. The plaintiffs also allege that PayPal performed currency conversions in relation to certain purchases and withdrawals from PayPal accounts when it was not authorized to do so for certain time periods between 2006 and August 2018.
PayPal denies any liability and denies the truth of the plaintiffs' allegations.
Under the proposed settlement, PayPal has agreed to pay a total of $10 million CAD. After payment of approved fees for class counsel, administration expenses, and payment to Ontario's Class Proceedings Fund, the settlement fund will be distributed on a pro rata basis directly into the PayPal accounts of class members meeting certain criteria. In exchange, class members will release PayPal from any liability in relation to its currency conversion practices during the class period.
The settlement is subject to approval by the Courts. The settlement approval hearings have been scheduled for February 26, 2021 in Ontario and March 25, 2021 in Quebec. If the Courts do not approve the proposed settlement, PayPal will oppose certification and authorization of the claims as class actions, and will oppose them on the merits.
For further information, including information about how to opt out of the class actions, please visit www.paypalclassactionsettlement.ca or www.actioncollectivereglementpaypal.ca.
SOURCE Paliare Roland Rosenberg Rothstein LLP; IMK s.e.n.c.r.l./LLP
Share this article