Garden City $1.4M Fire Fees Class Action Settlement
Garden City $1.4M Fire Fees Class Action Settlement

Customers of the Garden City Fire Protection Utility who paid fire fees between Oct. 7, 2020, and the date of final court approval may be eligible to claim a cash payment from a class action settlement.

Garden City agreed to pay $1.4 million to resolve a class action lawsuit alleging it imposed and collected an illegal tax, described as a fire protection service fee, on properties within its city limits.

Who are the class members?

To qualify as a class member in this settlement, individuals must meet the following criteria:

  • They are or were a customer of the Garden City Fire Protection Utility.
  • The Garden City Fire Protection Utility assessed them fire fees, which they paid at any time between Oct. 7, 2020, and the date the court grants final approval to the settlement.

The settlement administrator will use city utility records and related documents to identify eligible class members. After final court approval, the administrator will post a list of class members and their calculated refund amounts on the official settlement website and Garden City’s website.

How much is the fire fees payout?

Pro rata payment: The total settlement fund is $1,400,000. The settlement administrator will distribute funds after deducting attorneys’ fees and expenses and service awards to the class representatives. The amount each class member receives depends on the total fire fees they paid during the class period and the total amount of fire fees all class members paid.

The settlement administrator expects each class member's pro rata refund to be about 27% of the fire fees they paid during the refund period. The actual percentage may vary depending on the final number of claims and the total fees and expenses deducted.

How to claim a refund

Current customers of the Garden City Fire Protection Utility do not need to take any action. The settlement administrator will mail their refund to the address on file after the settlement receives final approval.

Former customers will receive a claim form at their last known address or can download the PDF claim form to print, complete and mail to the settlement administrator as soon as possible.

Settlement administrator's mailing address: Terry D. Turner Jr., Esquire, 501 Riverchase Parkway East, Suite 100, Hoover, AL 35244

Individuals who believe they are eligible but did not receive a notice or are not listed as a class member can also download a claim form for missing class members to print, complete and submit for review as soon as possible.

Class members do not need to submit any documentation with their claim form.

Payout options

The settlement administrator will mail paper checks to the address on file or provided on the claim form.

$1.4 million settlement fund breakdown

The $1,400,000 settlement fund covers:

  • Attorneys’ fees: Up to $560,000
  • Attorneys’ expenses: To be determined
  • Service award to class representative: $35,000 maximum
  • Payments to eligible class members: Remainder of the fund

Important dates

  • Final approval hearing: June 5, 2026

When is the Garden City fire fees settlement payout date?

The settlement administrator will mail refunds to approved claimants after the court resolves any appeals and grants final approval of the settlement.

Why is there a class action settlement?

The class action lawsuit alleged Garden City imposed and collected fire fees as an illegal, non-ad valorem tax on real property in violation of the Georgia constitution and state law. The plaintiffs claimed the Garden City Fire Protection Utility did not base the fee on property value but instead issued a flat fee, which is not permitted for property taxation in Georgia.

Rather than continue with a costly and uncertain trial, both parties agreed to settle, allowing class members to receive partial refunds of the fees paid.

Sources

  1. Claim form
  2. Settlement website
Settlement Open for Claims
Award:
Estimated 27% of fire fees paid
Deadline:
SUBMIT CLAIM