Greene v Famous Pawn, Inc.
Maryland Famous Pawn Stores Reach $1.1 Million Settlement in Check-Cashing Action
The parties have reached a tentative $1.1 million settlement in an action filed against Famous Pawn, Inc. on behalf of all persons who entered into a check-cashing transaction with any Maryland Famous Pawn location between May 11, 1996, and February 5, 2003. The action alleged that the company violated two federal laws--the Truth-in-Lending Act and the Racketeer Influenced and Corrupt Organizations Act--and various Maryland consumer protection statutes. Claim forms must be postmarked by December 4, 2003, to be considered valid.
The action alleged that Famous Pawn stores charge excessive interest in the form of fees when a store agrees to hold a customer's paycheck for a fixed amount of time in exchange for a cash payment. This type of arrangement is often referred to as a deferred deposit transaction.
Eligible participants should call the settlement administrator at 877-208-4136 to request a claim form as soon as possible. Completed claim forms should be mailed to the administrator at:
Famous Pawn, Inc. Class Administrator
P.O. Box 4850
Portland, OR 97208-4850
The settlement will not be effective until the court grants it final approval. The court has not yet scheduled a hearing on the matter.
