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Current and former employees who participated in the Casey’s General Stores Inc. employee health care benefit plan between Jan. 1, 2019, and Dec. 31, 2025, and paid a tobacco surcharge may be eligible to receive a cash payment from a class action settlement.
Casey’s General Stores Inc. agreed to pay $5,100,000 to resolve a class action lawsuit alleging it violated the Employee Retirement Income Security Act of 1974. The plaintiffs claimed the company's health plan discriminated against employees by imposing a tobacco surcharge without providing a reasonable alternative standard as required by law.
Who is eligible to receive a payout?
Class members are current or former employees who meet the following criteria:
- They reside in the United States and participated in the Casey's General Stores employee health care benefit plan between Jan. 1, 2019, and Dec. 31, 2025.
- They paid a tobacco surcharge in connection with their participation in the health plan during the qualifying period.
How much can class members get?
Cash payment: Each qualifying class member will receive a cash payment from the net settlement fund. The settlement administrator will determine each person’s final payment amount according to the plan of allocation and using their individual tobacco surcharge payments.
No claim form required
Class members do not need to file a claim form to receive payment. The settlement administrator will use company records to identify eligible class members and calculate payment. Class members do not need to provide additional proof or documentation.
The settlement administrator will automatically mail checks to the last known address of each eligible class member. Those whose mailing address has changed should contact the settlement administrator to update their information.
Settlement administrator's address: Casey’s Settlement Administrator, P.O. Box 3637, Baton Rouge, LA 70821.
Class members can request an electronic payment through the settlement website.
Payout options
- By check (mailed to the address on file)
- By electronic payment (if requested through the settlement website)
$5.1 million settlement fund breakdown
The $5,100,000 settlement fund will cover:
- Settlement administration costs: To be determined
- Attorneys’ fees and expenses: Up to $1,699,999
- Service awards to class representatives: $7,500 each ($15,000 total)
- Payments to eligible class members: Remaining settlement funds
Important dates
- Final approval (fairness) hearing: Oct. 26, 2026
When is the Casey’s General Stores tobacco surcharge settlement payout date?
The settlement administrator will issue payments to eligible class members after the court resolves any appeals and grants final approval of the settlement.
Why is there a class action settlement?
The lawsuit alleged Casey’s General Stores violated the Employee Retirement Income Security Act of 1974 by operating a wellness program that imposed a tobacco surcharge without providing a reasonable alternative standard, which discriminated against employees based on health factors.
Casey’s denied all allegations of wrongdoing and liability but agreed to the settlement to avoid the expense and uncertainty of further litigation.
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