How to file a claim in Michigan unemployment overpayment lawsuit

Were you wrongly asked to repay COVID-era unemployment benefits in Michigan?

If the answer is yes, you can now file a claim in a class action lawsuit settlement.

The Michigan Unemployment Insurance Agency (UIA) has offered information on how to join the class action lawsuit.

The website allows workers to file a claim to be reimbursed for money paid back to the UIA before protests and appeals were resolved or opt out of the settlement.

What you need to know:

3. Watch for an email from UIA titled “Saunders v. UIA improper collections settlement alert” sent to those who may qualify for restitution.

4. Log-in to Michigan Web Account Manager (MiWAM) regularly to see if you’ve received a web message with the title “Saunders v. UIA Improper Collections Alert” letting you know you may qualify to be part of the settlement.

5. Resolve problems with MiLOGIN or MiWAM passwords by calling UIA Customer Service at 1-866-500-0017 and select 7 for Account Access when prompted.

The deadline to file a claim, object to the settlement, or opt out is Nov. 4, 2024. A final approval hearing is scheduled for March 20, 2025. Go to bwclassactions.com for details.

A claims administrator will determine who qualifies for payments from a $55 million fund. The preliminary settlement agreement was approved April 25 by the Michigan Court of Claims.

As part of the litigation process, the Court of Claims ordered the UIA to stop collecting on claims filed on after March 1, 2020, and later where a worker may have filed a protest or appeal. The Court of Claims will decide when collections resume.

At issue is millions of dollars in unemployment benefits workers were ordered to repay before the UIA could determine whether protests or appeals were submitted on time or at all on a wave of claims filed as part of federal pandemic programs. Those claims overwhelmed the UIA’s outdated MiWAM computer system. To address this issue, the UIA is designing a new computer system called MiUI that will be fully operational in 2025. MiUI will speed claim filing for workers and tax collection for employers and enhance the overall user experience with a user-friendly design and interface. Additionally, MiUI will feature robust anti-fraud processes to stop bad actors who try to steal taxpayer money, ensuring a more secure and efficient system for all users.

Under the agreement, UIA is not admitting to liability in the case. Workers who join the settlement must agree to release all claims against the UIA, or they can opt out.

“Our focus has always been on doing what’s right for claimants, and this settlement reflects our commitment to a fair conclusion for all parties involved.”

UIA Director Julia Dale