by Scott McClallen
Michiganders who believe they were falsely accused of fraud between 2013-15 for receiving unemployment insurance benefits should know two upcoming deadlines to join a $20 million class action settlement with the state of Michigan.
The Michigan Unemployment Insurance Agency blames an old computer system for wrongly accusing roughly 40,000 people of fraud.
Those interested must submit the registration form that determines eligibility for an award from the compensation fund by April 5, 2023. They must submit claim forms, opt-outs, and objections to the settlement by April 14, 2023.
More case deadlines and background to the Bauserman v. Unemployment Insurance Agency class action lawsuit are posted here.
In January, the Michigan Court of Claims approved a $20 million class action settlement and established dates for the settlement process.
The settlement follows a 2015 lawsuit filed on behalf of benefit claimants who experienced wrongful collection by Michigan after being erroneously found to have committed fraud through an auto-adjudication process in connection with receiving unemployment benefits from Oct. 1, 2013, to Aug. 31, 2015.
“We urge anyone who believes they were affected by these circumstances to register to be considered part of the settlement,” UIA Director Julia Dale said in a statement. “This settlement is one of the many reforms the agency is implementing to create a UIA that will be a national model for fair, fast and fraud-free service.”
Attorney General Dana Nessel urged residents to join the settlement.
“I am hopeful that affected Michigan residents will take advantage of this opportunity to join in the class settlement,” said Nessel. “While this settlement cannot undo the hardships these residents faced, it does secure the long overdue relief that they deserve.”
Eligible claimants may be entitled to an award from the Compensation Fund for their economic losses and they may also be eligible for an additional award of compensation for hardships related to the wrongful collection activity.
Residents can visit UIAClassAction.com, call 1-833-438-5028, or email [email protected] to find out how to file a claim.
Dale took over the UIA in late 2021, when she started overhauling the agency via a new computer system, a better claims system, and better customer service. She’s the 11th director in about 10 years.
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Scott McClallen is a staff writer covering Michigan and Minnesota for The Center Square. A graduate of Hillsdale College, his work has appeared on Forbes.com and FEE.org. Previously, he worked as a financial analyst at Pepsi.
Photo “Dana Nessel” by Michigan Department of Attorney General. Background “Unemployment Insurance Agency” by The Center Square.
