The Honorable Jerome LaBarre has issued an order approving a settlement of a class action lawsuit brought about by tenants against property manager Quantum Residential, Inc.
The lawsuit challenged Quantum’s practice of requiring tenants to purchase a non-refundable bond in lieu of posting a refundable security deposit. The complaint alleged that the bond fee is not a permissible fee under Oregon Residential Landlord Tenant Law, and therefore, is unlawful.
Under the terms of the settlement, current tenants can receive a 100% reimbursement of the Sure Deposit premium they paid, so long as they post a refundable security deposit. There are 1053 current tenants, and the total premiums that may be reimbursed comes to $283,616. Former tenants that have been located (1082 of them) will split $125,000, which equates to approximately half of the Sure Deposit premium they paid. Checks will be mailed on December 14, 2012, so they should arrive before the Christmas holiday. The average payment per claimant will be approximately $115.
Class members will not pay attorney fees or costs, as Quantum will pay these separately pursuant to the settlement agreement.
The class is represented by Steve Larson.