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Jackson Hewitt Settles Class Actions

Law360 (January 10, 2007, 12:00 AM EST) -- The nation’s second largest tax preparation firm has agreed to pay more than $5 million to settle cases with the California attorney general and a class action lawsuit over the tax firm’s refund anticipation loans.

Under the agreement with the attorney general, Jackson Hewitt Tax Service Inc. will pay $4 million into a fund from which California customers who purchased refund anticipation loans between 2001 and 2004 are eligible to receive payments. The company will also pay a $500,000 civil penalty and $500,000 in investigation costs....
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