Posted by MW/VA on 10/2/08 3:45pm
Msg #266137

LexisNexis Class Action Suit Settlement

Wow, did I get a surprise today. Got a check in the mail for $1,000 as part of this settlement.
I can't even remember what it was about. I do remember getting the notification some time ago. You know how it is, get those kind of notices from time to time. In this case it was a real
shock. My background check was done by LexisNexis through NNA.
Did anyone else receive the settlement?

Reply by CopperheadVA on 10/2/08 3:49pm
Msg #266139

What was the reason for the claim/settlement?

I tried doing a BGC through LexisNexis through their free program that I heard about from other notaries - but I never received anything or any response after submitting my paperwork.

I'm curious to know what the $1000 is for? Anyway, congratulations!!!

Reply by CF on 10/2/08 3:51pm
Msg #266141

Did you have to sign-up to be part of the suit? Mine was through them too- but I never received any correspondence about a suit? Just curious my last one was date 7/07. TIA

Reply by DebbieT on 10/2/08 3:54pm
Msg #266143

I received a letter some time ago about my background check and a lawsuit. I just put the letter away. Did you respond to it or did they just get you by suprise?

Reply by CopperheadVA on 10/2/08 3:53pm
Msg #266142

I just Googled LexisNexis Settlement and came up with this:

http://hamptonroads.com/2008/04/backgroundchecks-settlement-would-divvy-207-million

Not sure if that's the reason for MW's big settlement check, but it could be.

Reply by CopperheadVA on 10/2/08 3:57pm
Msg #266145

Here's another article link

http://blogs.imperativeinfo.com/imperative_information/2008/05/lexisnexis-sett.html

Seems they violated the Fair Credit Reporting Act.

MW, you may want to send a letter to the NNA thanking them for their idea that notaries must be BGC'd through NNA/LexisNexis - that was a great return on your investment!

Reply by MW/VA on 10/2/08 4:14pm
Msg #266151

Re: Here's another article link

I'm ROFL, because that's exactly what I thought--that my membership has really paid off!!

Reply by MW/VA on 10/2/08 4:00pm
Msg #266147

Yes, Linda. I'm sure that's it. According to the paperwork it was "United States District Court, Eastern District of Virginia Richmond Division". There were some errors on my report, and I wasn't very successful in getting them corrected. It may have been this call center I had dealt with. Anyway, we always know that it's the attorneys who make out best on these.

Reply by MW/VA on 10/2/08 3:55pm
Msg #266144

I wish I had more information. I didn't pay much attention at the time. I'm thinking it had to do with bgc done during a certain period of time--some violation of rights, etc. I was actually hoping someone here knew more than I. At any rate, I was part of the "Class" & received my settlement. It will come in handy, and pay for the new computer I need to buy.

Reply by DebbieT on 10/2/08 4:00pm
Msg #266146

If I remember correctly it either said something about my credit being checked without permission or something to that extent. Something to do with my credit.

Reply by MW/VA on 10/2/08 4:04pm
Msg #266148

I'm fairly sure I didn't return anything. These things usually read something like: "if you want to be included in the suit, so nothing--if you want to opt out or disagree with the suit, then do
blah, blah, blah. In the past, I've gotten checks for $2 or $3 from this kind of thing, including one brought again Capital One a while back. Let us know if you receive a settlement check.

Reply by Shirley Brown on 10/2/08 4:36pm
Msg #266156

I received a check too, but mine was only for 53.64. I wonder how they figured that?? And also for those who were curious, I seem to remember getting a letter a while back about this, but I know I didn't send anything in.

Reply by LORNA DENT on 10/2/08 6:50pm
Msg #266176

I just got a check for this yesturday, only 53.00, I would like to know also how they figured how much everyone got. I didnt send anything in either.

Reply by Linda_H/FL on 10/2/08 4:40pm
Msg #266157

Interesting

LexisNexis did my BGC in Oct, 2006 and I never heard a word about a class action suit..

Reply by MW/VA on 10/2/08 4:45pm
Msg #266158

Re: Interesting

If you read the 2nd article posted by CopperheadVA it explains it. I was involved in the "reinvestigaton" aspect, because there were errors in previous addresses shown on my bgc. It was a real pain, because I had to submit copies of ID, etc., with the request for correction. That's probably where this all comes into play.

Reply by Linda_H/FL on 10/2/08 4:50pm
Msg #266159

Phooey!!..always a bridesmaid....:) n/m

Reply by DebbieT on 10/2/08 6:23pm
Msg #266168

Re: I had to do that too.

When I tried to do it online with xyz it would not go through and I had to mail or fax the information. It was probably due to me being recently married and the name change.

Reply by jba/fl on 10/2/08 7:14pm
Msg #266180

Re: Interesting - me either... n/m

Reply by Philip Johnson on 10/2/08 5:35pm
Msg #266164

I got 53.64 and the letter says

that each member of the class got the same. Does your letter state what class you were in?

Reply by MW/VA on 10/2/08 6:15pm
Msg #266166

Re: I got 53.64 and the letter says

No, it didn't. It just said "each member of your Class received the same amount". I'm sure yours said the same thing. It also came with a 1099-misc, so it is taxable income.

Reply by DebbieT on 10/2/08 6:27pm
Msg #266170

Re: I got 53.64 and the letter says

Did those of you who got the lower check have to send in additional information? I am wondering if the class that pays out more had to. A fat 1,000 would be nice right about now.

Reply by MW/VA on 10/2/08 6:43pm
Msg #266172

Re: I got 53.64 and the letter says

If you read back through the posts, I explained that I didn't send anything in, but may be in a different situation because there were errors on my report that I had to contact them about trying to get corrected. This is where I think the issue comes in. They had obtained their information from the credit bureaus & they probably weren't authorized to go that route.

Reply by MW/VA on 10/2/08 6:46pm
Msg #266175

Re: I got 53.64 and the letter says

I'm also gathering that those who received the notification of the Class Action suit are going to get something. This is the one place where I knew I could post & get a feel for how many might be involved. There were a lot of notaries that got the bgc through NNA during the period of time involved in this suit.

Reply by Philip Johnson on 10/2/08 6:45pm
Msg #266174

Nope, no 1099 n/m

Reply by jba/fl on 10/2/08 7:17pm
Msg #266181

Probably because not over $600 n/m

Reply by Linda_H/FL on 10/2/08 7:59pm
Msg #266185

I don't think settlement proceeds are taxable income

but check with an accountant...MHO

Reply by PAW on 10/3/08 12:57pm
Msg #266240

Generally, they are

The Internal Revenue Code, (26 U.S.C. §61), provides that all income received is taxable, unless specifically excluded from gross income. Section 104 of the Code provides for a number of types of income that are excluded from gross income, and therefore not taxed. The exclusions are construed narrowly.

According to Bonnie Pierson-Murphy of Paul, Hastings, Janofsky & Walker LLP, "... settlements (or awards) paid after August 20, 1996, only those payments attributable to a physical injury or sickness are tax free. Lost wages, compensatory and punitive damages arising from claims of employment discrimination are taxable, except for actual medical costs due to emotional distress. Because the payments are taxable to the plaintiff, the employer must report the payment, either on Form 1099 or W-2. Where the damages reflect lost wages, the employer must withhold taxes under Form W-2 and must pay payroll taxes on the amount. Only those damages arising from physical injury, such as assault, battery or sexual harassment involving physical touching will be excluded from gross income and not reportable."
(Source: FindLaw - http://library.findlaw.com/1998/Nov/1/130084.html)

Overall, it may depend on how the settlement is structured. Some are fully taxable by the plaintiff, some may be a shared tax burden between plaintiff and defendant and others may be structured such that the defendant carries the full tax liability.

Ref: www.irs.gov/pub/irs-pdf/p4345.pdf

Reply by MW/VA on 10/3/08 1:58pm
Msg #266249

Re: Generally, they are

Thanks, Paul. Yes, this is a Class Action Suit, and has nothing to do with personal injury or medical involvement. All I know is that I got a 1099-Misc. I do taxes, so that means it was reported to the IRS & I will need to claim it as income. Either way, I was glad for the settlement & very surprised by it. I'm guessing at why I got that large an amount, but had quite a hassle in trying to get some information on the report corrected. As I stated before in this thread, I'm fairly sure that's why I got that amount.
Thanks to all for their imput.
I'm still hoping to hear that others get a check.

Reply by Margaret_FL on 10/3/08 7:48pm
Msg #266296

Re: I got 53.64 and the letter says

I got $53.64, no 1099

Reply by lubi on 10/7/08 7:17pm
Msg #266602

Re: I got 53.64 and the letter says

I received the same amount that other people 53.64. Letter stated:

Claims Administrator, Minneapolis, MN
RE: Williams, et t. al. v. LexisNexis Risk Managment Inc.
Civil Action No. 3:06cv241
United States District Court, Eastern District of Virginia...

Dear Class Member:

Enclosed is your Court-approved settlement payment in the above matter. Your settlement payment was calculated(????) according to the terms of the Settlement Agreement, and each member of your class received the same amount.

Website:
www.lexisnexisclassaction.com