Major Step Forward for Victims of TD Bank Imposter Scams: Judge Recommends Class Certification

June 17, 2024, New York, NY — In a landmark move forward for victims of imposter fraud scams, U.S. Magistrate Judge Joseph A. Marutollo has recommended class certification for a lawsuit against TD Bank. This pivotal and detailed Report and Recommendation, running over 50-plus pages, could pave the way for thousands of affected customers to seek justice and recover their stolen funds. 

“This recommendation is a crucial step forward for TD Bank customers who have been denied justice,” said attorney Daniel Schlanger, Managing Partner at Schlanger Law Group, which – along with co-counsel Terrell Marshall Law Group – represents Plaintiffs. “We are committed to ensuring that these victims receive the compensation they deserve.” 

A Breakthrough for Affected Customers 

The Magistrate Judge’s recommendation marks a significant step forward for TD Bank customers who have been tricked into providing account information to scammers posing as bank representatives, Amazon employees and the like, and whose fraud claims were subsequently denied by TD Bank.  

Case Background 

The case centers around three plaintiffs—Ludmila Nelipa, Allison Archer, and Verdenia Edwards—who were ensnared in elaborate scams by fraudsters impersonating bank or Amazon employees. These victims were tricked into granting access to their accounts, resulting in unauthorized transactions. When they reported the fraud, TD Bank refused to recognize the transactions as unauthorized, denying their claims. 

Legal Arguments 

The plaintiffs’ legal team, led by Schlanger Law Group and co-counsel Terrell Marshal Law Group, argued that TD Bank’s policy of denying these fraud claims contravenes the Electronic Fund Transfer Act (EFTA) and violates the bank’s Personal Deposit Account Agreement. The EFTA is intended to protect consumers from unauthorized electronic transactions, limiting their liability and requiring financial institutions to reimburse victims for these losses. The class action seeks to hold TD Bank accountable for failure to meet these obligations. 

Building on Previous Victories 

This case builds on Schlanger Law Group’s prior success in the field of consumer protection against imposter scams. In Green v. Capital One, N.A., 557 F. Supp. 3d 441 (S.D.N.Y. 2021), the court found the EFTA applicable to imposter scams, a victory that underscored the importance of protecting consumers from unauthorized electronic transactions. Whereas Green was an individual case involving just one consumer, Nelipa is a class action involving thousands. 

What Lies Ahead 

The Magistrate Judge’s Report and Recommendation will now be reviewed by the District Court Judge, who has the authority to accept, reject, or modify it. If the recommendation is upheld, the lawsuit will proceed on behalf of all similarly affected TD Bank customers. A successful outcome could result in compensation for thousands of consumers whose claims were wrongfully denied. 

Call to Action 

TD Bank customers who have experienced similar fraud issues and had their claims denied are encouraged to contact Schlanger Law Group for more information. This case represents a significant opportunity for victims seeking redress. Visit [website link] or call [phone number] for more details. 

A Commitment to Justice 

Schlanger Law Group and Terrell Marshal Law Group remain committed to vigorously advocating for all victims in this case and several other similar EFTA class actions they have filed around the country, several of which have survived motions to dismiss. Despite the complexities and potential challenges of class action litigation, the legal teams are optimistic about achieving a positive outcome for affected consumers. 

This case underscores Schlanger Law Group’s long-standing dedication to protecting consumer rights and holding financial institutions accountable. 

Stay Informed 

For further updates on this case and other consumer protection news, please stay connected with Schlanger Law Group.