JPMorgan Chase agrees to $2.5 million settlement in legal fight over crypto purchase transaction fees
June 2, 2020, 1:25PM EDT
1 min read
After a two-year-long dispute over allegedly charging crypto purchases as "Cash Advance" transactions without giving cutomers legally-required notice, JPMorgan Chase has agreed to settle with plaintiffs for $2.5 million. The parties filed a request that the court approve the proposed settlement agreement on May 26.
Plaintiff Brady Tucker filed the class action complaint in 2018, alleging that crypto purchases on Coinbase that he made with his Chase credit card had incurred illegal new fees due to the bank's categorization of the purchase as a "Cash Advance." Tucker argued that Chase was legally bound to give customers a 45-day written notice before applying the charges.
After two years of court proceedings and legal negotiating, the parties filed a letter with the court on March 10 stating they had reached a settlement agreement.
Chase maintained its denial of the plaintiffs' claims, and that the settlement is not an admission of wrongdoing.