Class action authorized against TD Bank for allegedly illegally increasing the interest owed by borrowers with home equity lines of credit
August 5, 2016
On January 15, 2016, the Court of Appeal of Quebec authorized a class action against The Toronto-Dominion Bank ("TD").
The class action alleges that TD breached its contract with class members in the autumn of 2009 when TD unilaterally changed how it calculated the interest owed by borrowers on their Home Equity Line of Credit accounts with a variable annual interest rate.
The Court of Appeal named Ms. Marilena Masella as the representative of all Quebec residents who:
signed an agreement for a HELOC with TD or one of its subsidiaries; and
received a notice from TD in the fall of 2009 that gave rise to an increase in the percentage of interest that is added to or subtracted from the TD prime rate in order to calculate the variable annual interest rate on their HELOC.
The class action seeks to obtain compensatory damages resulting from TD's allegedly illegal interest rate increase, as well as punitive damages.
Class members who do not wish to be bound by any settlement reached or decision rendered to resolve the class action, can opt out of the class action but must do so by October 4, 2016.
For more information on how to opt-out, class members can consult the full notice of authorization available on the website of Class Counsel, Trudel Johnston & Lespérance (www.tjl.quebec).
Trudel Johnston & Lesperance