| JK HARRIS SETTLEMENT |
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FREQUENTLY ASKED QUESTIONS Can I still file a claim or request to be excluded? No. All deadlines to file claim forms or requests to be excluded from the Class expired over two years ago. If you fall within this class and did not mail a claim form or request to be excluded from the class, you cannot exclude yourself at this time and you are not eligible to receive funds from the settlement; however, you are still bound by the terms of the settlement. How do I know if I am eligible to receive a payment? To qualify for payment, you had to submit a complete and valid Claim Form, postmarked by July 31, 2007. Class Members included all persons who contracted with JK Harris or related companies for tax resolution services that included the preparation and negotiation of an Offer in Compromise prior to March 31, 2005. You are not a Class Member and not a part of the Settlement if; (a) you have received any refund for tax resolution services payments made and/or provided by JK Harris with a release of your claims with respect to OIC Services; (b) you resolved your claims against JK Harris regarding contracts for OIC Services through National Arbitration Forum arbitration; or (c) you resolved your claims against JK Harris regarding contracts for OIC Services through litigation. How are my payment amounts calculated? For each installment, your payment is a pro rata share of the money deposited in the Settlement Fund, after deduction of cost of Claims Administration, Attorney Fees, and service awards to the Class Representatives. The pro rata amount is based upon the amounts you paid to JK Harris on your contract for tax resolution services. Your pro rata share is based on the amount you paid to JK Harris, divided by the total amount valid class members paid to JK Harris. This pro rata percentage was multiplied by the amount available in the Settlement Fund. How much money did the attorneys receive? Class Counsel requested and was granted approval of an award of attorneys’ fees and expenses in the amount of 33.3% of the Settlement Fund. Class Counsel will be paid fees and expenses at the time class members receive their checks. What if I do not agree with my payment amount? Your payment is based on the amount you paid to JK Harris, which was listed on your Claim Form. In order to contest your contract amount or amount you paid to JK Harris, you must have provided documentation. The deadline has now passed and you can no longer contest the amount you paid. The Final Order approving the Settlement and JK Harris’ payment schedule is available for review at this website. Will I receive additional payments? According to the payment schedule, JK Harris is required to contribute payments to the Settlement Fund until $6 million has been paid to the fund in accordance with the Settlement. This was estimated to occur by November of 2011. Subsequent payments will be mailed on a yearly basis in 2010, 2011, and the final payment by 2012. Each payment may be of a different amount, dependent upon the balance of the Settlement Fund after deductions of all items including the cost of Claims Administration and Attorney Fees. We cannot estimate what the future balance will be at this time. Are there tax consequences if I cash my payment? We are not able to provide you tax advice. Please consult with your tax advisor. What is JK Harris’ Payment Schedule? JK Harris agreed to create a Settlement Fund of $6,000,000 and to pay the costs of notice to settle this case. JK Harris was instructed to make payments into the Settlement Fund on the following schedule:
At the February 25, 2010 Hearing, proposed modifications were made to this schedule. What if I had a disputed claim or opt out? Claim Forms and Requests for Exclusion were processed according to the terms of the Settlement, and all decisions are now final and binding. If you would like to inquire on the status of your claim or opt out, please write to the Claims Administrator at:
JK Harris Settlement Administrator What if I didn’t get my check or need a new check issued? The initial installment checks were mailed on February 13, 2009. If you have not received your check or if you need a new check issued, please write to the Claims Administrator at:
JK Harris Settlement Administrator If you have not received your check, we will place a stop payment on the original payment and the payment will be reissued after the stop payment is confirmed by the bank. If you locate the original payment, please do not attempt to cash it, as the stop payment will be in place. If you need a new check issued due to death, divorce, or some other reason, please write "void" on the check and return it along with a note explaining why the check needs to be reissued. If the Class Member is deceased, please include a copy of the death certificate and documentation that you are the legal representative. The Settlement Administrator will review your documentation and contact you if any additional information is needed. Please allow 4-6 weeks from the time we receive your request to receive a new check. Why did I receive this April 2010 Notice? JK Harris ceased making its scheduled payments to the Settlement Fund and Class Counsel filed a Motion to Enforce the Court Approved Settlement, for Contempt of Court, for Sanctions, and for Costs. At a hearing held February 25, 2010 the parties, along with JK Harris lender RAI Credit Corporation, proposed a modification to the Settlement. Class Members are being notified of the modifications to the Settlement and given the right to object to the modified terms. Why did JK Harris stop making monthly payments? JK Harris informed Class Counsel that it would not be able to make the May 5, 2009 payment or any payments thereafter due to a potentially negative impact on JK Harris’ financial condition as result of deteriorating condition in the credit markets. Specifically JK Harris indicated that it could not continue to make monthly payments due to its financial obligations to its senior lender RAI Credit, LLC. Am I still going to receive additional payments? The modifications to the Settlement outlines a payment schedule for JK Harris to continue to make monthly deposits into the Settlement Fund while settling it’s obligation to RAI. What if I do not agree with the proposed modifications to the Settlement? What can I do?
Class Members have the right to object to the modified terms of the Settlement and
to appear at the June 4, 2010 hearing. If you wish to object to the modification,
you must file your objections with the Charlestown County Clerk of Court and serve
them on counsel for the Class and JK Harris by May 21, 2010. If you intend to appear
at the Hearing, please indicate your intent to appear in your objection.
What if I still have questions? If you have additional questions, you may call the Settlement Administrator at 1-866-903-1201 or you may write to the Settlement Administrator at following address:
JK Harris Settlement Administrator PLEASE DO NOT CONTACT THE COURT
PLEASE DO NOT CONTACT JK HARRIS AS THEY WILL NOT BE ABLE TO
IMPORTANT: THIS SITE IS NOT OPERATED BY JK HARRIS. THIS CLASS ACTION LAWSUIT IS SUPERVISED BY THE COURT AND IS ADMINISTERED BY A CLAIMS ADMINISTRATION FIRM THAT HANDLES ALL ASPECTS OF THE LAWSUIT. THIS IS THE ONLY AUTHORIZED WEB SITE FOR THIS LAWSUIT. PLEASE DO NOT RELY UPON OTHER SITES THAT SET OUT DIFFERENT AND UNAUTHORIZED INFORMATION. |