The representative plaintiff brought a class action on behalf of debt collectors who were temporarily laid off when Global Credit's largest client, Capital One, terminated its collection agreement.
Following the termination, Capital One paid Global a $5.7 million settlement.
The plaintiff claimed the class members were contractually entitled to a 15 percent commission on this settlement, arguing it was compensation for post-dated cheques returned to Capital One.
On cross-motions for summary judgment, the court dismissed the action, finding that the settlement was not compensation for the post-dated cheques and that commissions were only payable if individual monthly breakeven targets were met, which did not occur.
