• Report: #262109

Complaint Review: JK Harris

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  • Submitted: Fri, July 20, 2007
  • Updated: Mon, March 05, 2012

  • Reported By:salem Massachusetts
JK Harris
4995 LaCrosse Rd Charleston, North Carolina U.S.A.

JK Harris CLASS ACTION SETTLEMENT -EVERY ONE SHOULD FEEL WARM AND FUZZY NOW -YOU WILLLOVE THIS Charleston North Carolina

*General Comment: ripped off

*Author of original report: JK Harris Nothing Changes

*Consumer Comment: what ever

*Consumer Comment: class action against jk harris

*Consumer Comment: JK HARRIS

*Consumer Comment: Installment plan

*Consumer Comment: Class action lawsuits do not benefit the victims

*Consumer Comment: still being patience

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This is why you "Don't sign up for a class action suit. It's rediculous. This is self explanitory as to where and by whom this was published. I think the best part is the quote from Monica linder. It will make everyone feel good knowing that they instituted, (cleaned up their act), TWO YEARS AGO, sot hey have been good totheir customer ever since, no lieing or cheating. Those that care write the judge, or the reporter that published this.

The Post & Courier
Charleston
Tuesday, July 17, 2007

Mic Smith
The Post and Courier/FILE

Charleston County Circuit Court Judge Perry M. Buckner III Monday approved a $6 million settlement of a class-action lawsuit involving JK Harris.

A judge has approved a $6 million settlement of a class-action lawsuit involving a high-profile North Charleston company, saying the proposed amount is as much as the business can afford to pay without possibly going bankrupt.

Charleston County Circuit Court Judge Perry M. Buckner III signed the order late Friday granting approval of the proposed settlement in the class-action suit against JK Harris & Co.

The lawsuit was sparked by consumer complaints about JK Harris heavily advertised tax-resolution services, which make use of an IRS program known as offer in compromise. Under that program, taxpayers with substantial back tax bills can make an offer to pay less than the amount owed, which the IRS may or may not accept.

The plaintiffs had claimed that JK Harris charged them upfront for help resolving their back-tax cases, then failed to deliver the promised help. JK Harris denied those allegations but agreed in April to settle the case to avoid the cost and distraction of litigating class actions in multiple venues, the company said in a statement at the time.

In his order Friday, Buckner noted that South Carolina court rules require that the judge in a civil suit must assure that the settlement represents adequate compensation for the release of the class claims and must decide whether the settlement is fair, adequate and reasonable.

Buckner ruled that the proposed $6 million payout is fair and reasonable based upon defendant financial status, including its considerable debt, a finding that he said was supported by testimony from Roy Strickland, a forensic accountant hired by the plaintiffs to examine JK Harris books.

In addition, Buckner wrote, the settlement is adequate in the sense that the settlement fund is the most defendant can afford to pay without possible bankruptcy. Should defendant enter bankruptcy, collecting on even an individual judgment is in doubt.

Monica Linder, vice president of JK Harris legal affairs department, issued a statement Monday saying that the company is confident in the condition of our finances and does not foresee any difficulties in fulfilling the terms of the settlement.

The settlement also specifies 16 business practices the company has agreed to modify, mainly related to advertising and billing procedures. Linder said, it cannot be stressed enough that there will be no negative impact on the companys revenue, as the stipulations outlined in the settlement were implemented more than two years ago.

How much of a liability the case might have represented had it not been settled is suggested by figures in a document filed last month by plaintiffs attorneys seeking payment of fees and expenses.

That filing argued that the lawyers were entitled to the payment in part because the costs associated (with) litigating a low dollar claim that averages between $1,500 and $2,500 can be prohibitive for most class members.

If those figures represent the actual average claim against JK Harris, then the total liability the company faced if it had been forced to pay all claims in full from the nearly 68,000 potential class members would have amounted to between $101 million and $169 million.

Under the approved settlement, JK Harris isnt required to make the full $6 million available immediately. Instead, the agreement calls for it to pay $500,000 into a fund this year and make increasing monthly payments starting in April 2008. The companys payments into the fund are expected to total $6 million in September 2011.

Reach Michael Buettner at rnbuettner@postandcourier.com or 937-5553.

Peter
salem, Massachusetts
U.S.A.

This report was posted on Ripoff Report on 07/20/2007 12:42 PM and is a permanent record located here: http://www.ripoffreport.com/r/JK-Harris/Charleston-North-Carolina-60060/JK-Harris-CLASS-ACTION-SETTLEMENT-EVERY-ONE-SHOULD-FEEL-WARM-AND-FUZZY-NOW-YOU-WILLLOVE-262109. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.

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REBUTTALS & REPLIES:
1Author 7Consumer 0Employee/Owner
Updates & Rebuttals

#1 General Comment

ripped off

AUTHOR: lakerat - (United States of America)

  I too was involved in the JK Harris law suit. I did not participate in it but because I did not respond to the company suing JK ,JK said I was involved and would not help me.But they did keep the almost 5,000.00 dollars I paid them!!! I did'nt sign anything.Lawyers suck
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#2 Author of original report

JK Harris Nothing Changes

AUTHOR: Peter - (U.S.A.)

My first post about JK Harris and their tax scam goes back furhter than this web site posts. My first recorded post that you can look up is 213790, dated 10/2/06 and there are si others after that. The bottom line is that JK Harris hasn't changed in twelve years, despite being taken to court numerous times, and promises to change.

JK Harris was brought to court by the West Virginia Attorney General in 2008, (08c-1131), with sixteen other states, and they had agreed to cease their illegal practices and clean up their act.

It has been three years, and nothing has changed. You (consumer), have a few choices. As I have posted for the last 11 years, you can take JK Harris to small claims court, namd JK Harris as the defendant, and the sales person as the co defendant, ( if the sales person is no longer with the company, name another sales person, this is very important), use the business address as the place of service, or have it served on their registered agent, (listed with the secretary of state), ask for the full amount allowed by your state, whether they owe it to you or not, fot they must go to court and argue that they don't owe the money, at which time they can explain why they haven't performed to the terms of the contract, oh, and the arbitration clause, forget it. JK has already breached the contract, and a contract cannot be written to benefit one persoon, and not the other. When you go to court, JK will not show, ask the court for treble the amount, (3x's).After 30 days, youwill need to go back to courtand ask for a "Capius", that is an arrest warrant against the sales person. Send a copy of that to Monica Linder at the home office, and a copy to the sales person at your local office. At this point youshould get your money.

The other option is to send a letter to the Ag of West Virginia, along with your complaint, and tell them that JK Harris is in violation of their agreement dated and signed by JK Harris June 6, 2008. Also send a copy of your letter to John Harris, 1036 Wharf Indigo Place, Mount Pleasant, SC 29464.

Good luck,

Peter

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#3 Consumer Comment

what ever

AUTHOR: Sara - (USA)

Still getting ripped off..... they haven't done a thing and wont return calls. They just steal money.
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#4 Consumer Comment

class action against jk harris

AUTHOR: sharon CA - (United States of America)

My mouth hit the floor when I read this update on the JK Harris class action. 


My husband & I paid $7,500.00, up front to have an offer in compromise done to settle 6 years of business partnership back taxes. We waited a year without hearing much from our representative, after filling out all the paperwork. My husband died in 2003, we had not gotten anything but tax lien papers from the IRS & CA state tax board since then. When I got the papers for the class action, I filled them out with a copy of the check & our contract.I was certainly hoping to get most of it back so I can forward it to the IRS. But it looks like after one check for $42.50, last year all I'll get back is maybe one more check for $40...if I'm lucky!!!!!


If this settled for $6,000,000 (six million) divide that by 68,000 other people never mind lawyers cut, which I hope must be paid separately, I think it comes out to $88 & change for each of us...I wish I had opted out.


Sharon, CA

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#5 Consumer Comment

JK HARRIS

AUTHOR: Joseph - (U.S.A.)

I was asked to be part of this law suit and have not heard anything, Can anybody help with whats going on and if we are getting any MONEY back????? JK HARRIS IS BAD PEOPLE THEY SHOULD BE PUT OUT OF BUSINESS.
Thanks
Joseph
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#6 Consumer Comment

Installment plan

AUTHOR: Robert - (U.S.A.)

Yup, they get to make installments.

Right up until they file bankruptcy or simply close the business at a later date!

That's what many small firms do. Simply close, and then the operators start up a "new" business that is in no way affiliated (except for the names of the people in charge) with the old business. This happens all the time in the business world.

Note about class action lawsuits. 68,000 litigants have little or no recourse now because the matter has been litigated. However, how many of those good folks were notified that they could "opt out" of the class action? - then they would still have the right to bring their own individual lawsuit.

Folks need to think about their situation very carefull when joining any class action lawsuit.
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#7 Consumer Comment

Class action lawsuits do not benefit the victims

AUTHOR: Larry - (U.S.A.)

Class action lawsuits usually are the scammer's best friend.

In this case, JK Harris has prevented 68,000 victims from filing lawsuits against them as their claims have now been litigated. If JK Harris actually coughs up all the money, the best the victims can hope for is six cents on the dollar. And on top of that, JK Harris gets to pay off on an installment plan. So if you were a victim you may get six percent of your loss four years from now.

Remember this case the next time someone on the Ripoff Report suggest filing a class action lawsuit.
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#8 Consumer Comment

still being patience

AUTHOR: Priscilla - (U.S.A.)

here I am again, yes it has been months and from my previous postings ....if you read them....I won through small claims court. BUT..in NH..not that easy. The thing is ..and maybe all states are different. When I won, to "claim" my money and bring these people to court....I needed "proof" that the sales person and monica actually signed the certified letter. well....GOOD JOB there JK Harris, cuz no sales person stays long enough at a place to do that...hmm kindof like a "dead beat dad" huh? and thats who I feel like I am dealing with. Its ok though JK...just like a "dead beat dad".they eventually get caught, and I am not giving up.
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