Cash Store Payday Loans Class action

Our lawyers acted on behalf of a class of borrowers who entered into payday loans with the Cash Store or Instaloans after September 1, 2011. The action alleged that the defendants’ payday loans failed to comply with the requirements of the Payday Loans Act.

During the course of the litigation, the Cash Store and Instaloans declared insolvency, and entered into insolvency proceedings under the Companies Creditors Arrangement Act (CCAA). Our lawyers engaged in extensive litigation and negotiation within the CCAA proceedings.

Ultimately, the case was successfully settled on November 19, 2015, and our lawyers recovered over $10,000,000 for the benefit of the class.

A successful notice, claims and distribution process followed, resulting in the distribution of the settlement recoveries to class members. Payments were distributed to class members in the summer of 2017. As part of the settlement, reached on behalf of the class within the CCAA proceedings, there remains some potential for further recoveries for the benefit of the Class. In the event that further recoveries are achieved, a notice will be made to advice class members of their rights in respect of those recoveries.