Class Actions
| IMPORTANT NOTE:
This website has been developed to provide general information
to potential class members on a number of class actions that
have been commenced concerning pay day loans.
The site is not designed to answer questions about your individual
situation or entitlement. Do not rely upon the information provided
on this website as legal advice in respect of your individual
situation nor use it as a substitute for individual legal advice.
The information collected about potential class members will
assist counsel in prosecuting the class action and assessing
what damages were suffered by the class as a whole. Providing
the information requested does not make you the client of Koskie
Minsky LLP, Paliare Roland Rosenberg Rothstein LLP, or Sutts,
Strosberg LLP. The court will ultimately decide who will be
included as a class member.
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CASH MONEY CHEQUE CASHING INC. CLASS ACTION
CASE SUMMARY
- A proposed class action has been commenced against Cash Money
Cheque Cashing Inc. (“Cash Money”) by Kenneth Mortillaro
of Toronto, Ontario on behalf of everyone in Canada who has taken
a Payday Loan from Cash Money. The main allegation in the lawsuit
is that Cash Money charges a criminal rate of interest on its payday
loans in violation of section 347 of the Criminal Code of Canada.
Section 347(2) of the Criminal Code defines criminal rate as “an
effective annual rate of interest calculated in accordance with
generally accepted actuarial practices and principles that exceeds
60% on the credit advanced under an agreement or arrangement.”
- The law firms of Paliare
Roland Rosenberg Rothstein LLP (Toronto), Sutts
Stosberg LLP and Koskie
Minsky LLP (Toronto) have agreed to act together to prosecute
this action.
- The claim alleges that the Cash Money Payday Loan agreement describes
various charges, all of which constitute interest, and when they
are added together the agreement contravenes the criminal interest
rate provisions of the Criminal Code. But, in fact, Cash Money has
charged and continues to charge a fee of $20 per $100 borrowed,
irrespective of the terms of the agreement, and the $20 fee constitutes
a criminal rate of interest.
- The relief sought on behalf of the Class includes (i) repayment
of all interest charges paid by the Class, (ii) a declaration that
the Payday Loan agreements are illegal and unenforceable, (iii)
an injunction prohibiting Cash Money from offering Payday Loans
at criminal rates of interest, and (iv) exemplary or punitive damages
of $10,000,000.
- The Statement
of Claim was issued on October 21, 2003.
- The parties have exchanged materials for the motion for certification.
- Motion
Record for Certification (motion date to be scheduled)
- Responding Motion Record (for Certification) Volume 1; Part
1 and Part
2
- Responding Motion Record (for Certification) Volume II; Part
1 and Part
2
For further information contact info@cashmoneyclassaction.com.
