Discover $15M Hourly Call Center Employees Settlement

Danielle Toth

Editor

Published

March 25, 2026 4:25 PM

Updated

March 25, 2026

Who are the class members?

The class includes all current and former employees of Discover Products Inc. or Discover Financial Services who worked as hourly call center employees in the United States at any time between Jan. 9, 2021, and May 31, 2025.

There are two main groups within the class:

Rule 23 settlement class members: Anyone who does not opt out will automatically receive a payment from the Rule settlement pool.
FLSA opt-in class members: Class members who submit a valid and timely Fair Labor Standards Act opt-in form will receive an additional payment from the FLSA settlement pool.

How much can class members receive?

The total settlement fund is $15 million. The amount each class member receives depends on several factors, including the number of weeks they worked during the class period and whether they submit an FLSA opt-in form.

The settlement divides payments into two main pools:

Rule 23 payment pool: Represents 15% of the net settlement amount. All class members who do not opt out will receive a payment from this pool. The payment is based on the number of weeks the class member worked during the class period. The settlement weighs workweeks in Arizona, California, Illinois, Maryland, Nevada, New Jersey, North Carolina, Ohio or Pennsylvania more heavily (multiplied by 1.2).
FLSA payment pool: Represents 85% of the net settlement amount. Only class members who submit a valid FLSA opt-in form will receive a payment from this pool. The payment is based on the number of weeks the class member worked during the class period.

For tax purposes, the settlement administrator will split each payment evenly. It considers 50% of the payment as wages (reported on a W2) and 50% as liquidated damages (reported on a 1099). If a calculated payment is less than $10, the class member will receive $10.

How to claim a class action settlement payment

To receive a payment from the Rule 23 settlement pool, class members do not need to take any action unless they wish to exclude themselves. The settlement administrator will automatically send payments to all eligible class members who do not opt out. It already has the necessary information to determine eligibility and calculate payments.

To receive a payment from the FLSA settlement pool, class members must file an opt-in form online or download and print the PDF opt-in form and mail it to the settlement administrator.

Settlement administrator's mailing address: Harris v. Discover Products, c/o Atticus Administration, PO Box 64053, St. Paul, MN 55164

Class members should also review the settlement class member information sheet they received. If any information (such as workweeks or contact information) is incorrect, they should correct it and return it to the settlement administrator by April 22, 2026.

Payout options

The settlement administrator will mail checks to eligible claimants. Checks will remain valid for 180 days from the date of issuance. After 180 days, funds from uncashed checks will return to the defendants.

$15 million settlement fund breakdown

The $15,000,000 settlement fund includes:

Settlement administration costs: Up to $131,900
Attorneys’ fees: Up to $5,000,000
Attorneys’ expenses: Up to $30,000
Service awards to class representatives: $10,000 to one representative, $7,500 each to three others and $3,500 to a final representative
Payments to eligible class members: The remainder of the fund

Important dates

Workweek dispute deadline: April 22, 2026
Opt-in deadline: May 7, 2026
Exclusion deadline: May 7, 2026
Final approval hearing: June 25, 2026

When is the Harris v. Discover Products settlement payout date?

The settlement administrator will mail payments to Rule 23 recipients by regular First Class U.S. Mail to their last known mailing address approximately 44 calendar days after the court resolves any appeals and grants final approval to the settlement.

The settlement administrator will mail payments to FLSA opt-in recipients beginning on approximately June 16, 2026.

Why is there a class action settlement?

The class action lawsuit claimed Discover Products Inc. and Discover Financial Services failed to pay hourly call service employees for all hours worked, including time spent logging in and out of computer systems before and after their shifts. The plaintiffs alleged violations of the Fair Labor Standards Act and Illinois and Ohio wage laws, and asserted breach of contract and unjust enrichment.

Discover denied all allegations but agreed to settle to avoid the uncertainty and expense of continued litigation.