Southway Carriers $120K Driver Misclassification Settlement

Employees who entered and operated under a lease agreement or lease-to-purchase agreement with Southway Carriers Inc. between Feb. 6, 2013, and Dec. 2, 2025, may be eligible to receive a cash payment from a class action settlement.

Southway Carriers Inc. agreed to pay $120,000 to resolve a class action lawsuit alleging violations of the truth-in-leasing regulations and the Illinois Wage Payment and Collection Act. The lawsuit claimed Southway Carriers Inc. misclassified truck drivers as independent contractors and made unauthorized deductions from their wages under noncompliant lease and lease-to-purchase agreements.

Who are the class members?

The class includes all individuals and entities who entered into and operated under a lease agreement or lease-to-purchase agreement with Southway Carriers Inc. The agreement must have been in effect at any time from Feb. 6, 2013, to Dec. 2, 2025.

How much can class members receive?

The total settlement fund is $120,000. Each eligible class member who submits a valid W-9 form by the deadline will receive a pro rata share of the net settlement fund. The exact amount each person receives will depend on the number of valid W-9 forms submitted and the amount of each class member’s damages.

If any funds remain after the settlement administrator makes all payments, the parties will request the court approve a cy pres distribution to Legal Aid Chicago.

How to claim a class action rebate

Class members must submit a valid online online W-9 form or download, print and complete the PDF W-9 form to mail to the settlement administrator by Feb. 11, 2026.

Settlement administrator's mailing address: Rivers et al. v. Southway Carriers Inc., c/o Apex Class Action LLC, P.O. Box 54668, Irvine, CA 92619

Those who have questions or need assistance can call the claims administrator at 800-355-0700 or email claims@apexclassaction.com.

Payout options

The settlement administrator will mail paper checks to class members who submit valid W-9 forms.

$120,000 settlement fund breakdown

The settlement fund of $120,000 covers:

• Settlement administration costs: To be determined
• Attorneys' fees: Up to $40,000
• Attorneys' costs: To be determined
• Service awards to class representatives: Up to $5,000 ($15,000 total)
• Payments to eligible class members: Remainder of the fund

Important dates

• Deadline to submit W-9 form: Feb. 11, 2026
• Final approval hearing: March 5, 2026

When is the Rivers et al. v. Southway Carriers Inc. payout date?

The settlement administrator will mail payments to eligible claimants approximately 106 days after the court grants final approval to the settlement.

Why is there a class action settlement?

The class action lawsuit alleged Southway Carriers Inc. violated federal and state laws by misclassifying truck drivers as independent contractors and making unauthorized wage deductions under noncompliant lease agreements. The alleged deductions included charges for deposits, tolls, “transflo,” insurance, trailer rent, escrow accounts, tickets, vehicle repairs, electronic logging devices, tires and fuel cash advances.

The parties agreed to settle to avoid the costs and risks of continued litigation and collection of a judgment.

Sources

1. Class notice
2. Settlement agreement