Plan Would Give Ohio Charities Unclaimed Lawsuit Funds

December 8, 2009

Some Ohio lawmakers want money left over from class action lawsuit settlements to go to charities, not back to the companies that were sued.

State Sen. Tim Grendell, R-Chesterland, says if a business agrees to pay $1 million to resolve a lawsuit over a product or policy, it ought to pay the million.

Legislation proposed by Grendell and Sen. Bill Seitz, R-Cincinnati, would turn undistributed funds over to charities, unless a court order says otherwise.

Cleveland-area class-action lawyer Patrick Perotti says about $60 million in Ohio settlement money goes unclaimed each year because not every eligible recipient can be found.

The Ohio Chamber of Commerce opposes the bill, saying it will discourage businesses from settling lawsuits.

Information from: Dayton Daily News, http://www.daytondailynews.com