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THOUSANDS of drivers may soon be eligible for a one-time payment after a company reached a preliminary agreement on a class action lawsuit.
Lawyers representing the class said between 2,000 and 5,000 drivers may be eligible for the direct payment, but there may be another court battle before the money reaches bank accounts.
Attorney Mark Hammervold of Kotchen & Law LLP filed a lawsuit against Nashville Booting LLC, according to Tennessee-based ABC affiliate WKRN.
Hammervold told the station that the represented class and the booting company reached a preliminary agreement on the settlement.
"We've fought long and hard for this settlement," he said.
"This has been over four years in the making, and we believe that the settlement, once we are able to collect against the insurance company, is going to provide substantial relief."
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Several drivers complained that the company took too long to remove the vehicle stops from the owners' cars.
Nashville road laws specified booting companies must respond to unbooting requests within one hour.
But drivers said the company took too long in the lawsuit.
"Nashville Booting has a public record of ignoring its own rules and the laws of the city of Nashville," a class member, Steven Knapp, said, according to the station.
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Cash from a potential $1 million settlement could soon reach drivers' bank accounts - but there may be another court battle on the way.
"Most of [the settlement] has to be collected against their primary asset," Hammervold warned drivers.
The company's primary asset is an insurance policy.
Hammervold told The U.S. Sun that the legal proceedings against the insurance company could take an undisclosed amount of time.
"This class settlement does not provide for an immediate monetary distribution to class members," the lawyer said in a statement to The U.S. Sun.
"That will have to come later through a separate collection proceeding against [the insurance company]."
He said drivers who want to determine their eligibility for the settlement can access the information via this link.
"It is hard to estimate the exact amount that each class member will receive if and when we are successful in collecting," he added.
"We believe it could be substantial, given the significant judgment for the class, as well as the additional penalties that can be assessed against an insurance company for wrongfully denying coverage."
ELIGIBILITY
Successful class applicants have a few days to ensure they can join the lawsuit.
What's a class-action settlement?
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Class action lawsuits offer groups of people, or 'classes,' a way to band together in court.
These suits are often brought by one or a few people who allege a company or other entity has wronged a large group of people.
When a suit becomes a class action, it extends to all "class members," or people who may have similar complaints to those who filed the suit.
Companies often settle class actions - offering payment to class members who typically waive their right to pursue further legal action by accepting money.
These payout agreements frequently include statements by the defendant denying wrongdoing. Companies tend to settle class actions to avoid the costs of further litigation.
Pollution, discrimination, or false advertising are a few examples of what can land a class action on a company's doorstep.
Drivers must prove their cars were booted by the company between July 2017 to June 2022.
Successful applicants must also prove the company spent more than an hour to remove the boot.
Drivers must opt into the settlement agreement by September 10.
Hammervold said he believed that between 2,000 and 5,000 drivers meet these three criteria for the settlement.
"We haven't been able to notify every single person who is a member of the class," he warned.
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Final approval for the settlement will be decided at an October 25 court appearance.
The U.S. Sun contacted Nashville Booting for comment on this story - they didn't immediately respond to our request for comment.