FOOD FAIL
Americans can claim one-time $200 payment from $3.6 million hidden surcharge settlement – and you don’t need a receipt
At least three criteria must be met to obtain a payment
SOME Americans can claim a one-time distribution worth hundreds from a hidden surcharge settlement.
The direct payment opportunity comes after a class action lawsuit filed against a popular supermarket chain.
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Plaintiffs in the suit accused WinCo Foods of neglecting to notify customers in Portland, Oregon, about a surcharge, per court documents obtained by The U.S. Sun.
It allegedly did not relay the true cost of shoppers' groceries with an added 1% fee from the Clean Energy Fund in the city approved by voters in November 2018.
WinCo Foods has denied the accusations made in the suit, arguing that it itemized all charges, including the energy tax, on customer receipts.
The brand agreed to a $3.6 million settlement in January to resolve the claims and avoid further legal costs.
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In total, WinCo Foods will shell out over $3,365,000.
About $235,000 has already been spent to notify customers about the settlement.
Another $1,009,500 will go to attorney fees, $150,000 for additional discretionary costs, and $10,000 to the Class Representative in the case as a reward for service, per the settlement website.
Affected customers could see money coming soon if they meet a few criteria.
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ELIGIBILITY
The settlement payment is limited to those shoppers who purchased items from WinCo Foods in Portland, Oregon.
Transactions for the merchandise must've been between June 1, 2019, and May 8, 2022.
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Per the settlement terms, the items must have also been "non-grocery."
It's unclear if there is a specified list of qualifying items that would fall under that category or not.
FILING A CLAIM
Prospective claimants can file a form online through the settlement website or e-mail it to the class administrator at the address listed on the site.
A firm deadline to submit a claim is set for July 9, 2024.
Line by line! Don't pay extra...
Here's what Joy Dumandan, Consumer Editor with The U.S. Sun has to say...
It pays to check your receipt and consumers should not hesitate to ask what various line items mean.
WinCo Foods is accused of using a hidden surcharge imposed on customers to pay for Portland, Oregon's Clean Energy Surcharge.
The surcharge was passed on November 6, 2018 after Portland voters said "yes" to the ballot measure.
It imposes on "large retailers" a 1% surcharge on retail sales. The money is used for grants and projects to reduce carbon emissions and other green energy initiatives.
A large retailer is a business who reports a gross total income of $1 billion and a Portland gross income of $500,000 or more. The surcharge is for large retailers and not a sales tax for consumers.
The Clean Energy Surcharge took effect on January 1, 2019.
The U.S. Sun obtained court documents from the class action settlement with WinCo. The suit accuses the supermarket of "omitting the amount of the surcharge as itemized on its customer receipts in its advertised prices."
The hidden fees are said to have taken place between June 1, 2019 and May 8, 2022.
Court documents state on May 8, 2022, WinCo stopped "collecting the surcharge at point-of-sale registers."
Anyone who paid an extra charge on non-grocery items can file a claim, according to the settlement.
WinCo has not admitted to any wrongdoing.
By: Joy Dumandan
The same date is set for deadlines to exclude or object to the settlement.
A final approval hearing for the case is set for August 8.
PROOF OF PURCHASE
There is no receipt or documentation for proof of purchase required to file a claim, but affected customers must describe and identify the non-grocery item purchased with the added 1% surcharge.
They must also make this assertion under oath and through a signature at the bottom of the form, according to what attorney Michael Fuller told Oregon Live.
Fuller also said the court could request more information from some customers after reviewing claim forms, such as the address of the store they went to, paper receipts, or debit and credit card statements.
With the potential added verification processes, it could be a longer wait for eligible class members to receive payments.
PAYMENT AMOUNT
An estimated payment amount of $200 per claimant has been given in the settlement.
That amount will vary depending on the number of claims filed and approved.
Customers can select how they receive the funds when they file a claim, either through digital payment services or a check in the mail.
WinCo isn't the only retailer set to send cash distributions to customers due to a settlement.
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Walgreens recently agreed to $918 payments sent out to some Americans after a class action lawsuit.
Walmart also reached a $45 million settlement that could see $500 one-time payments heading customers' way.