US Realty Group, et al v. New York Community Bank
Case No. 23-cv-01609-KAM-SIL
NOTICE OF PENDING CLASS ACTION AND PROPOSED SETTLEMENT
READ THIS NOTICE FULLY AND CAREFULLY; THE PROPOSED SETTLEMENT
MAY AFFECT YOUR RIGHTS!
IF YOU HAVE OR HAD A CHECKING ACCOUNT WITH NEW YORK
COMMUNITY BANK AND YOU WERE (1) CHARGED CERTAIN NON-
SUFFICIENT FUNDS FEES AND/OR OVERDRAFT FEES ON CHECK OR
ACH PAYMENTS BETWEEN MARCH 2, 2017 AND JANUARY 1, 2020, OR
(2) CHARGED MULTIPLE OUT-OF-NETWORK ATM FEES ON ATM
WITHDRAWALS PRECEDED BY A BALANCE INQUIRY BETWEEN
AUGUST 20, 2020 AND FEBRUARY 20, 2024, THEN YOU MAY BE
ENTITLED TO A PAYMENT FROM A CLASS ACTION SETTLEMENT
The United States District Court for the Eastern District of New York has authorized this
Notice; it is not a solicitation from a lawyer.
SUMMARY OF YOUR OPTIONS AND THE LEGAL EFFECT OF EACH OPTION
DO NOTHING If you don’t do anything, you will receive a payment or
account credit from the Settlement Fund so long as you do
not opt out of or exclude yourself from the Settlement
(described in the next box).
EXCLUDE YOURSELF You can choose to exclude yourself from the Settlement
FROM THE or “opt out.” This means you choose not to participate in
SETTLEMENT; the Settlement. You will keep your individual claims
RECEIVE NO against Defendant, but you will not receive a payment for
PAYMENT BUT Relevant Fees. If you exclude yourself from the
RELEASE NO Settlement but want to recover against Defendant, you
CLAIMS will have to file a separate lawsuit or claim.
OBJECT TO THE You can file an objection with the Court explaining why
SETTLEMENT you believe the Court should reject the Settlement. If your
objection is overruled by the Court, then you may receive
a payment, and you will not be able to sue Defendant for
the claims asserted in this litigation. If the Court agrees
with your objection, then the Settlement may not be
approved.
These rights and options – and the deadlines to exercise them – along with the material terms of
the Settlement are explained in this Notice.
BASIC INFORMATION
1. What is this lawsuit about?
The lawsuit that is being settled is entitled US Realty Group LLC v. New York Community Bank.
It is pending in the United States District Court for the Eastern District of New York, Case No. 23-
cv-01609-KAM-SIL. Eastern District of New York Judge Kiyo A. Matsumoto is overseeing this
case.
The case is a “class action.” That means that the “Class Representatives,” Michelle Sapozhnikov
and US Realty Group LLC are acting on behalf of current and former accountholders who were
purportedly improperly assessed Retry Fees between March 2, 2017 and January 1, 2020, and
OON Fees between August 20, 2020 and February 20, 2024. “Retry Fees” mean Non-Sufficient
Funds Fees and Overdraft Fees that were charged during the Class Period, for Automated Clearing
House (ACH) and check transactions that were re-submitted by a merchant after being returned by
Defendant for insufficient funds. An OON Fee, as referenced in this action, is a second out-of-
network ATM fee assessed on out-of-network ATM withdrawals preceded by a balance inquiry.
Retry Fees and OON Fees are together referred to as “Relevant Fees” in this Notice. The Class
Representatives have asserted claims for relief in the Second Amended Complaint for breach of
contract, including the covenant of good faith and fair dealing on behalf of themselves and the
Multiple Fee Class; and violations of New York General Business Law § 349, et seq. The Second
Amended Complaint in this lawsuit is posted on the Settlement Website.
Defendant does not deny it charged the fees the Class Representatives are complaining about, but
Defendant contends it did so properly and in accordance with the terms of its agreements and
applicable law. Defendant therefore denies that its practices give rise to claims for damages by the
Class Representatives or any Settlement Class Members, but Defendant is settling to avoid expense
and distraction resulting from the litigation.
2. Why did I receive this Notice of this lawsuit?
You received this Notice because Defendant’s records indicate that you were charged one or more
Relevant Fees that are the subject of this Action. The Court directed that this Notice be sent to all
members of the Settlement Classes because each such member has a right to know about the
proposed settlement and the options available to him or her before the Court decides whether to
approve the settlement.
3. Why did the parties settle?
In any lawsuit, there are risks and potential benefits that come with a trial versus settling at an
earlier stage. It is the Class Representatives’ and their lawyers’ job to identify when a proposed
settlement offer is good enough that it justifies recommending settling the case instead of
continuing to trial. In a class action, the Class Representatives’ lawyers, known as Class Counsel,
make this recommendation to the Class Representatives. The Class Representatives have the duty
to act in the best interests of the class as a whole and, in this case, it is their belief, as well as Class
Counsel’s opinion, that this Settlement is in the best interest of all Settlement Class Members.
There is legal uncertainty about whether a judge or a jury will find that Defendant was contractually
and otherwise legally obligated not to assess the fees at issue. And even if it was contractually
wrong to assess these fees, there is uncertainty about whether the Class Representatives’ claims are
subject to other defenses that might result in no or less recovery to Settlement Class Members. Even
if the Class Representatives were to win at trial, there is no assurance that the Settlement Class
Members would be awarded more than the current settlement amount and it may take years of
litigation before any payments would be made. By settling, the Settlement Class Members will
avoid these and other risks and the delays associated with continued litigation.
While Defendant disputes the allegations in the lawsuit and denies any liability or wrongdoing, it
enters into the Settlement solely to avoid the expense, inconvenience, and distraction of further
proceedings in the litigation.
WHO IS IN THE SETTLEMENT
4. How do I know if I am part of the Settlement?
If you received this notice, then Defendant’s records indicate that you are a member of one of the
Settlement Classes who is entitled to receive a payment or credit to your account.
YOUR OPTIONS
5. What options do I have with respect to the Settlement?
You have three options: (1) do nothing and you will receive a check payment or account credit
according to the terms of this Settlement; (2) exclude yourself from the Settlement (“opt out” of
it); or (3) participate in the Settlement but object to it. Each of these options is described in a
separate section below.
6. What are the critical deadlines?
There is no deadline to receive the Settlement benefits. If you do nothing, then you will get a
check payment or account credit.
The deadline for sending a letter to exclude yourself from or opt out of the Settlement is December
15, 2025.
The deadline to file an objection with the Court is also December 15, 2025.
7. How do I decide which option to choose?
If you do not like the Settlement and you believe that you could receive more money by pursuing
your claims on your own (with or without an attorney that you could hire) and you are comfortable
with the risk that you might lose your case or get less than you would in this Settlement, then you
may want to consider opting out.
If you believe the Settlement is unreasonable, unfair, or inadequate and the Court should reject the
Settlement, you can object to the Settlement terms. The Court will decide if your objection is valid.
If the Court agrees, then the Settlement may not be approved and no payments will be made to you
or any other member of the Settlement Class. If your objection (and any other objection) is
overruled, and the Settlement is approved, then you may still get a payment and will be bound by
the Settlement, including the release of claims.
If you want to participate in the Settlement, then you don’t have to do anything; you will receive
a payment or account credit if the Settlement is approved by the Court.
8. What has to happen for the Settlement to be approved?
The Court has to decide that the Settlement is fair, reasonable, and adequate before it will approve
it. The Court already has decided to provide Preliminary Approval of the Settlement, which is why
you received a Notice. The Court will make a final decision regarding the Settlement at a “Final
Approval Hearing,” which is currently scheduled for February 12, 2026.
THE SETTLEMENT PAYMENT
9. How much is the Settlement?
Defendant has agreed to create a Settlement Fund of $1,233,500.00.
As discussed separately below, attorneys’ fees, litigation costs, the Incentive Award, and the costs
paid to a third-party Settlement Administrator to administer the Settlement (including mailing and
emailing Notice) will be paid out of the Settlement Fund. The Net Settlement Fund will be divided
among all Settlement Class Members entitled to Settlement Class Member Payments based on
formulas described in the Settlement Agreement.
10. How much of the Settlement Fund will be used to pay for attorney fees and costs?
Class Counsel will request the Court to approve attorneys’ fees of not more than $411,166.70, equal
to 1/3 (33-1/3%) of the Value of the Settlement, and will request that it be reimbursed for litigation
costs incurred in prosecuting the case estimated to be $8,085.97. The Court will decide the amount
of the attorneys’ fees and costs based on a number of factors, including the risk associated with
bringing the case on a contingency basis, the amount of time spent on the case, the amount of costs
incurred to prosecute the case, the quality of the work, and the outcome of the case.
11. How much of the Settlement Fund will be used to pay the Class Representative an
Incentive Award?
Class Counsel will request that the Class Representatives each be paid an Incentive Award in the
amount of up to $15,000.00 for their work in connection with this case. The Incentive Award must
be approved by the Court.
12. How much of the Settlement Fund will be used to pay the Settlement
Administrator’s expenses?
The Settlement Administrator estimates its expenses at $64,439.00.
13. How much will my payment be?
The balance of the Settlement Fund after attorneys’ fees and costs, the Incentive Award, and the
Settlement Administrator’s fees, also known as the Net Settlement Fund, will be divided among
all Settlement Class Members entitled to Settlement Class Member Payments in accordance with
the formulas outlined in the Settlement Agreement. Current Accountholders will receive a credit
to their accounts for the amount they are entitled to receive. Past Accountholders shall receive a
check from the Settlement Administrator.
14. What am I giving up to stay in the Settlement Class?
If you stay in the Settlement Class, all of the decisions by the Court will bind you, and you give
Defendant a “release.” A release means you cannot sue, continue to sue, or be part of any other
lawsuit against Defendant about the legal issues in this case. As of the Effective Date, you shall
automatically be deemed to have fully and irrevocably released and forever discharged Defendant
from any and all liabilities, rights, claims, actions, causes of action, demands, damages, costs,
attorneys’ fees, losses and remedies, whether known or unknown, existing or potential, suspected
or unsuspected, liquidated or unliquidated, legal, statutory, or equitable, based on contract, tort or
any other theory, that arise from or relate to Defendant’s assessment of Retry Fees or OON Fees,
and claims that were asserted or could possibly have been asserted in the Action relating
Defendant’s assessment of Retry Fees or OON Fees. More information about the release may be
found in the Settlement Agreement.
15. Do I have to do anything if I want to participate in the Settlement?
No. If you received this Notice, then you may be entitled to receive a check payment or credit for
Relevant Fees without having to make a claim, unless you choose to exclude yourself from the
Settlement, or “opt out.”
16. When will I receive my check payment or account credit?
The Court will hold a Final Approval Hearing on February 12, 2026, at 11:00 a.m. to consider
whether the Settlement should be approved. If the Court approves the Settlement, then payments
should be made or credits should be issued within 30 days of the Effective Date. However, if
someone objects to the Settlement, and the objection is sustained, then there may be no Settlement.
Even if all objections are overruled and the Court approves the Settlement, an objector could
appeal, and it might take months or even years to have the appeal resolved, which would delay any
payment.
Subject to Court approval, any Residual Funds from uncashed checks remaining after the first
distribution shall be distributed on a pro rata basis to Settlement Class Members who either cashed
their checks or received Account credits, to the extent feasible and practical in light of the costs of
administering such subsequent payments, unless the amounts involved are too small to make
individual distributions economically feasible or other specific reasons exist that would make such
further distributions impossible or unfair. Should such a second distribution be made, the
participating Settlement Class Members will be sent a check by the Settlement Administrator. Any
second distribution checks shall be valid for 90 days.
Also subject to Court approval, in the event the costs of preparing, transmitting, and administering
such subsequent payments to Settlement Class Members do not make individual distributions
economically feasible or practical, or other specific reasons exist that would make such further
distributions impossible or unfair, or if such a second distribution is made and Residual Funds still
remain, the Residual Funds shall be distributed to a cy pres recipient approved by the Court. The
Parties agree to propose the Community Service of Society of New York’s Financial Coaching
Corps Program as the cy pres recipient.
EXCLUDING YOURSELF FROM THE SETTLEMENT
17. How do I exclude myself from the Settlement?
If you do not want to receive a payment or if you want to keep any right you may have to sue
Defendant for the claims alleged in this lawsuit, then you must exclude yourself, or “opt out.”
To opt out, you must send a letter to the Settlement Administrator that you want to be excluded.
Your letter can simply say “I hereby elect to be excluded from the settlement in the US Realty
Group LLC, et al v. New York Community Bank class action.” Be sure to include your name, the
last four digits of your current or former account number(s), address, telephone number, and email
address (if any). Your exclusion or opt out request must be postmarked by December 15, 2025,
and sent to:
US Realty Group LLC, et al v. New York Community Bank
c/o Settlement Administrator
P.O. Box 25226
Santa Ana, CA 92799
18. What happens if I opt out of the Settlement?
If you opt out of the Settlement, you will preserve and not give up any of your rights to sue
Defendant for the claims alleged in this case. However, you will not be entitled to receive a check
payment or credit from the Settlement.
OBJECTING TO THE SETTLEMENT
19. How do I notify the Court that I do not like the Settlement?
You can object to the Settlement or any part of it that you do not like IF you do not opt-out from
the Settlement. (members of the Settlement Classes who opt-out from the Settlement have no right
to object to how other Settlement Class Members are treated.) To object, you must send a written
document by mail or private courier (e.g., Federal Express) to the Settlement Administrator at the
address below. Your objection must include the following information:
a. the name of the Action;
b. the objector’s full name, address, telephone number, and email address (if any);
c. all grounds for the objection, accompanied by any legal support for the objection known to
the objector or objector’s counsel;
d. the identity of all counsel who represent the objector and whether they will appear at the
Final Approval Hearing;
e. a list of all persons who will be called to testify at the Final Approval Hearing in support
of the objection; and
f. a statement confirming whether the objector intends to personally appear and/or testify at
the Final Approval Hearing.
All objections must be post-marked no later than December 15, 2025, and must be mailed to the
Settlement Administrator as follows:
US Realty Group LLC, et al v. New York Community Bank
c/o Settlement Administrator
P.O. Box 25226
Santa Ana, CA 92799
20. What is the difference between objecting and opting-out from the Settlement?
Objecting is telling the Court that you do not believe the Settlement is fair, reasonable, and
adequate for the Settlement Class, and asking the Court to reject it. You can object only if you do
not opt-out of the Settlement. If you object to the Settlement and do not opt-out, then you are
entitled to a check payment or credit for Relevant Fees if the Settlement is approved, but you will
release claims you might have against Defendant.
Opting-out is telling the Court that you do not want to be part of the Settlement, and do not want
to receive a check payment or credit for Relevant Fees or release claims you might have against
Defendant for the claims alleged in this lawsuit.
21. What happens if I object to the Settlement?
If the Court sustains your objection, or the objection of any other member of the Settlement Class,
then there may be no Settlement. If you object, but the Court overrules your objection and any
other objection(s), then you will be part of the Settlement; provided, however, that an objection to
Class Counsel’s requested attorneys’ fees and costs or to the requested Incentive Award amount,
may result in approval of the Settlement but the award of a lower attorneys’ fee and cost amount
or lower Incentive Award. If you object, but the Court overrules your objection and any other
objection(s), then you will be part of the Settlement. If the Court approves the Settlement, then the
objector will participate in the Settlement. If the Court does not approve the settlement, then there
is no Settlement.
THE COURT’S FINAL APPROVAL HEARING
22. When and where will the Court decide whether to approve the Settlement?
The Court will hold a Final Approval Hearing at 11:00 a.m. on February 12, 2026, in Courtroom
6B South of the United States District Court for the Eastern District of New York, which is located
at the United States Courthouse, 225 Cadman Plaza East, Brooklyn, New York 11201. At this
hearing, the Court will consider whether the Settlement is fair, reasonable and adequate. If there
are objections, the Court will consider them. The Court may also decide how much to award Class
Counsel for attorneys’ fees and litigation costs and the amount of the Incentive Award to the Class
Representatives. The hearing may be virtual, in which case the instructions to participate shall be
posted on the Settlement Website at www.NYCBsettlement.com. Also, if the date and/or location
of the Final Approval Hearing changes, that information will be posted on the same website.
23. Do I have to come to the hearing?
No. Class Counsel will answer any questions the Court may have. You may attend if you desire to
do so. If you have submitted an objection, then you may want to attend.
24. May I speak at the hearing?
If you have objected, you may ask the Court for permission to speak at the Final Approval Hearing.
To do so, you must include with your objection, described in Question 19, above, the statement,
“I hereby give notice that I intend to appear at the Final Approval Hearing.” The Court will
consider your objection even if you do not appear.
THE LAWYERS REPRESENTING YOU
25. Do I have a lawyer in this case?
The Court ordered that the lawyers and their law firms referred to in this Notice as “Class Counsel”
will represent you and the other Settlement Class Members. However, you may retain a lawyer to
represent you at your own expense.
26. Do I have to pay the lawyer for accomplishing this result?
No. Class Counsel will be paid directly from the Settlement Fund for the legal services provided
to accomplish the Settlement for Settlement Class Members’ benefit. Class Counsel’s award of
attorneys’ fees and costs is deducted from the Settlement Fund, reducing that amount in calculating
the Net Settlement Fund from which Settlement Class Members will be paid.
27. Who determines what the attorneys’ fees will be?
The Court will be asked to approve the amount of attorneys’ fees at the Final Approval Hearing.
Class Counsel will file an application for attorneys’ fees and costs and will specify the amount
being sought as discussed above. You may review a physical copy of the fee application at the
Settlement Website established by the Settlement Administrator.
GETTING MORE INFORMATION
This Notice only summarizes the proposed Settlement. More details are contained in the
Settlement Agreement, which can be viewed/obtained online at www.NYCBsettlement.com or by
contacting the Settlement Administrator (details below) andp requesting a copy.
For additional information about the Settlement and/or to obtain copies of the Settlement
Agreement, or to change your address for purposes of receiving a payment, you should contact the
Settlement Administrator as follows:
US Realty Group LLC, et al v. New York Community Bank
c/o Settlement Administrator
P.O. Box 25226
Santa Ana, CA 92799
For more information, you also can contact the Class Counsel as follows:
KALIEL GOLD PLLC
Sophia Goren Gold
950 Gilman Street, Suite 200
Berkeley, California 94710
Email: [email protected]
KALIEL GOLD PLLC
Jeffrey D. Kaliel
1100 15th Street NW 4th Floor
Washington, D.C. 20005
Email: [email protected]
WEITZ & LUXENBERG, PC
James J. Bilsborrow
700 Broadway
New York, NY 10003
JENNINGS & EARLEY PLLC
Christopher D. Jennings
Tyler B. Ewigleben
500 President Clinton Ave., Suite 110
Little Rock, AR 72201
PLEASE DO NOT CONTACT THE COURT OR ANY REPRESENTATIVE OF
DEFENDANT CONCERNING THIS NOTICE OR THE SETTLEMENT.
