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Hydro-Québec has reportedly inked an $18 million deal with customers who claimed in a more than decade-long class action that the utility had unfairly assessed late fees.
The utility was hit with a class action lawsuit after it introduced a new billing form in 2008. Lead plaintiff, Monique Charland, alleged the form did not properly disclose to Hydro-Québec customers the annualized interest rate they would be charged on overdue bills. The class action alleged that the charges, called administration fees, violated the Interest Act.
The class action lawsuit was authorized by the Superior Court of Québec in 2010. The authorized complaint contended that the allegedly illegal administration fees had been charged to Hydro-Québec customers between Jan. 1, 2008, and April 30, 2010.
“The court does not believe that the action filed is being done so blindly,” stated the judge in the order certifying the class action. “It is not an investigative procedure or a fishing expedition. The facts and questions raised are serious and, considering those questions, we cannot consider at this point this action to be unfounded.”
The class action suffered defeat in 2018 when the court found in favor of the utility. The class action lawyers appealed that decision, reaching a settlement in recent days.
“We’re satisfied that this was successful,” one of the lawyers for the plaintiffs told the Montreal Gazette. “The more time passed, the more difficult it would have been to distribute an award to those who were part of the action. At a certain time it’s necessary to choose between the interests of the clients … and waiting more years (for a decision).”
Though Hydro-Québec admits no liability, the utility says that the $18 million settlement is much less than the potential $100 million class action verdict it may have faced if the lawsuit continued.
“Despite the fact we maintain our practices conformed with the law, we took the decision to conclude an agreement in order to reduce financial risk,” the utility’s spokesperson Cendrix Bouchard said in a statement reportedly issued after the settlement agreement was announced.
Hydro-Québec will notify Class Members of the settlement, reports the Montreal Gazette. Current customers will receive a credit to their account if the settlement is ultimately approved. The plan for former customers has not yet been determined.
The proposed settlement agreement is scheduled for an approval hearing in the Superior Court of Québec on May 31.
Will you benefit from the Hydro-Québec class action settlement if it is approved? Tell us about your experience in the comment section below.
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4 thoughts onHydro-Québec Agrees to Pay $18M to End Utility Fee Class Action
How can I add my name to it?
Add me please
I found for years on my Hydro Quebec monthly statements, all sorts of fees like “administration fee, interest charges, fees to reconnect” etc. Please, I would like to be part of this class action against Hydro QC.
Add me please