Virginia CashCall Settlement

James Hayes et al. v. Delbert Services Corp., John Paul Reddam, and CashCall, Inc.
United States District Court, Eastern District of Virginia, Richmond Division Case No: 3:14-cv-258

Welcome to the Virginia CashCall Settlement Website

The proposed settlement of a class action lawsuit brought under federal and state law against Delbert Services Corp., John Paul Reddam, and CashCall, Inc. (the “Defendants”) received final approval from the U.S. District Court for the Eastern District of Virginia, Richmond Division, on June 6, 2017.

IF YOU OBTAINED A LOAN FROM WESTERN SKY AND IDENTIFIED YOURSELF AS A VIRGINIA RESIDENT IN YOUR WESTERN SKY LOAN AGREEMENT, YOU MAY BE ENTITLED TO LOAN FORGIVENESS AND A CASH PAYMENT FROM THIS CLASS ACTION SETTLEMENT.

Notices were sent by mail and e-mail to identified Settlement Class Members on March 1, 2017.

The Court issued its final approval Order on June 6, 2017 and, if no appeals are filed, the Settlement Administrator expects to mail payments to eligible Settlement Class Members in September 2017.

In this action, it was alleged that Western Sky loans were made at annual interest rates greater than 12%, the maximum rate permitted under Virginia law absent an exception. The lawsuit alleges that Defendants violated Virginia’s usury laws and related state and federal laws in making and in collecting these loans.

The Virginia Attorney General’s Office has intervened in this action on behalf of the Commonwealth of Virginia.

Defendants vigorously deny these allegations, deny any wrongdoing, and assert that the loans are legal. Defendants assert that Western Sky was the real lender for the loans, and that Virginia law does not apply to these loans. However, to avoid the cost of a trial, and potential risks for all parties, the Parties have reached a settlement.

Defendants will pay a total of $11,935,000 under the settlement, including $9,435,000 for the benefit of Settlement Class Members who paid back their principal loan amount plus interest greater than a rate of 12%, forgive outstanding debt that they currently own, and cease any lending, servicing and debt collection relating to Western Sky loans to fully settle and release claims of Virginia residents who obtained Western Sky loans.

You do not have to do anything to receive the settlement benefits for which you are eligible.

To learn more about the terms of the Court-approved settlement please review the Settlement Documents provided on this website.