I received a notice informing me that the escrow company, used in my home purchase, has a pending class action suit for overcharges. The next day I recieved a letter from a title insurance company offering me $1859.00, that they say I was overcharged at closing. The repayment comes with an agreement to not sue them and I have to agree to cooperate with any criminal prosecution as well as other stipulations.
I`m concerned that the overcharges may be greater than the title company states in their letter. What steps should I take to determine if the amounts I was charged are correct and should I agree to relinquish my rights in order to receive my refund?
Like any class action, you can "opt out" of a proposed settlement and bring your own lawsuit. You may get more, you may get less, but you will be paying your own attorneys what you're getting a free windfall from here by just going along with a settlement.
But unlike most class actions, you're not getting a $5 off coupon for your next purchase of car insurance or contact lenses. You're talking getting serious money for basically doing nothing.
My advice: take the money and run.
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