Terry v. Wasatch Advantage Group Frequently Asked Questions (Reimbursment)

There is a proposed settlement of a class action lawsuit. The case was brought on behalf of Section 8 tenants who paid additional service fees at Wasatch properties in California between April 14, 2011, and November 30, 2022.

You received a notice because you are a member of this group of Section 8 tenants, called the “class.” The notice describes the proposed settlement, explains your rights, and helps you decide what to do next.

The Court approved the class action settlement on Februrary 5, 2025.  This means that class members may no longer opt out of or object to the settlement.   Class members who did not opt out should begin receiving payments in March 2025.  

Unless you previously chose to receive payment electronically, you will be mailed a check at your last known mailing address.  If you want to confirm the mailing address your check will be sent to, please call the settlement administrator at 1-833-419-3493.

If you have questions about whether payment will affect your eligibility for government benefits, you can contact Claimant Advocacy Group at 1-800-683-4872.  If you would like to request to receive a lower payment amount, please call the settlement administrator at 1-833-419-3493.  You can also choose not to cash the check you receive.

The Court held a hearing about whether to approve the settlement on January 23, 2025.  The Court granted final approval of the settlement on February 5, 2025.

This lawsuit is about whether Wasatch’s policies requiring Section 8 tenants at its California properties to pay for “additional services” beyond the allowed rent amount violated federal and California laws. Examples of additional services are in-unit washers & dryers, parking, storage space, media packages, and renter’s insurance.

In July 2024, the parties agreed to a settlement to end the lawsuit. Both sides want to avoid the risk, delay, and expense of more litigation.

Wasatch will also change its additional services policies at California properties. You cannot opt out of these policy changes.

The Court held a hearing about whether to approve the settlement on January 23, 2025.  The Court granted final approval of the settlement on February 5, 2025. 

Class members who did not opt out should begin receiving payments in March 2025.  

Unless you previously chose to receive payment electronically, you will be mailed a check at your last known mailing address.  If you want to confirm the mailing address your check will be sent to, please call the settlement administrator at 1-833-419-3493. 

If you have questions about whether payment will affect your eligibility for government benefits, you can contact Claimant Advocacy Group at 1-800-683-4872.  If you would like to request to receive a lower payment amount, please call the settlement administrator at 1-833-419-3493.  You can also choose not to cash the check you receive.

The settlement requires Wasatch to inform current Section 8 tenants at its California properties that additional services (such as parking, media packages, renters’ insurance, and in-unit washers & dryers) are optional, are not part of the rent, and cannot be required to rent an apartment. Wasatch must give Section 8 tenants a new choice upon renewal whether or not to enroll in additional services, and tenants can cancel them at any time. All payments will be applied first towards rent, then to additional service fees. Wasatch cannot evict Section 8 tenants for unpaid additional services fees. However, Wasatch can use other legal remedies to collect unpaid fees for additional services that tenants enroll in and refuse to give up.

Defendants will pay $5 million into a settlement fund. This money will be used to reimburse class members for all additional service fees they paid to Wasatch between May 1, 2011, and November 30, 2022. Class members will also receive interest as part of the settlement payment, which is payment of additional money because of the time tenants have waited to be reimbursed by Wasatch for the additional service fees.

The money in the settlement fund will also be used to pay to administer this settlement (expected to be approximately $130,000), and to make $5,000 payments to each of the three tenants the Court appointed to represent the interests of the class for the time and effort they put into the case and the risks they took.  The Court has to approve these costs.

Class members will “release” their claims as part of the settlement, which means they cannot sue Wasatch or the other Defendants for the same issues in this lawsuit. You can read the full terms of the settlement on this website.

If the Court approves the settlement, you do not need to do anything. You will receive a check in the mail and be bound by the settlement.

Class members cannot be paid until at least 30 days after the Court approves the settlement. If there are no delays, payments will be made in spring 2025.

If the interest amount listed above is more than $600, you will receive a tax form (IRS Form 1099). A copy of the tax form will also be sent to the IRS. IRS Form 1099 does not apply to the reimbursement portion of the payment. If you would like tax advice, you can contact a qualified tax advisor. The lawyers in this case and the Settlement Administrator cannot give you tax advice.

Government benefits programs provide support like food, housing, healthcare, and financial assistance.  In California, these programs include Section 8, Medi-Cal, Medicare, MAGI-Medi-Cal, CalWORKS, CalFresh, Section 8, SSI/SSP/SSDI, In-Home Supportive Services, and WIC. For more information, click here.

As part of the settlement, you can get free advice about whether the settlement payment may affect your eligibility for government benefits programs or the amount of benefits you receive. You can choose whether to receive the full payment, a lower payment, or no payment.

To get advice about whether payment will affect your government benefits, you can call 1-800-683-4872.  This is free to all class members.

In a class action, the court appoints lawyers to represent the interests of all the class members. For this case, the Court appointed the following lawyers:

You can also hire your own lawyer at your own expense.

So far, your lawyers have not been paid any money for their work or expenses. Lawyers’ fees and costs will be paid as part of the settlement. You do not have to pay anything to the lawyers.

The settlement allows the Court to approve a payment to the lawyers of up to $4.5 million.  This is called “attorneys’ fees and costs,” and it pays the lawyers for their work and expenses they paid. This amount is separate from the $5 million settlement fund for class members.