Yes, suspicious email of free money in FirstEnergy case is legit and not a scam

FirstEnergy Corp. headquarters at Cascade Plaza in downtown Akron.
FirstEnergy Corp. headquarters at Cascade Plaza in downtown Akron.

Editor's note: In addition to this story, Beacon Journal consumer columnist Betty Lin-Fisher wrote a follow-up column with some more details about this settlement and others. Read it here.

Yes, the email you may have received recently saying you have a digital payment in a FirstEnergy settlement case is legitimate and it is not a scam.

FirstEnergy customers have begun receiving an email with the subject: “Ohio Electricity Litigation: Your Digital Payment is Ready.” The email says a distribution from a net settlement is now available via a virtual prepaid card.

Is the FirstEnergy settlement email legit?

“Yes, it’s legitimate,” Dennis E. Murray, Jr., one of the attorneys representing plaintiffs in the class-action suit confirmed in a phone interview on Monday.

The settlement is from a federal class-action case that was settled last year and the settlement funds began being distributed on July 31, Murray said. His firm, Murray & Murray Co. of Sandusky and others are representing the plaintiffs in the case, Smith v. FirstEnergy Corp., et al., Case No. 2:20-cv-3755.

A notice of the settlement went out to all FirstEnergy customers about a year ago, said Murray. If FirstEnergy had an email address, the notice was sent by email and by mail for others, he said. Now, the distribution of payment is happening, he said.

All customers of FirstEnergy’s three operating companies in Ohio were automatically included if you paid to “Toledo Edison, Cleveland Electric, or Ohio Edison any rates, charges, fees, tolls, or other costs pursuant to HB 6 or any recovery mechanism approved by the Public Utilities Commission of Ohio (PUCO) pursuant to HB 6 from January 1, 2020 through June 22, 2022.” The class includes residential and commercial customers, Murray said.

What is the settlement from?

The settlement is one of many in various court cases involving Akron-based FirstEnergy Corp. and its involvement in the House Bill 6 bribery scandal. The public corruption case led to the conviction and sentencing this year of former Ohio House Speaker Larry Householder and Matt Borges, former chair of the Ohio Republican Party.

The scandal involved $61 million in bribe money paid by FirstEnergy via dark money groups to help Householder seize political power and, in turn, pass and defend the HB 6 bailout law. The law provided a $1.3 billion bailout of struggling nuclear plants owned by FirstEnergy's former subsidiary FirstEnergy Solutions, to be paid for by Ohio utility customers.

Betty Lin-Fisher consumer column: Here's more on what new FirstEnergy credits, settlement mean for you

How much do I get?

The settlement was $49 million and is being shared by all FirstEnergy customers.

The settlement payments range from $1 to $250. The larger sums are most likely going to large commercial customers, said Murray. The smaller amounts may be for someone who rented a property for a month for electricity service and then moved out, he said. In Northeast Ohio, FirstEnergy operates three regional utilities – Ohio Edison, Cleveland Illuminating Co. or Toledo Edison.

The average payment is about $16.

More: Who is FirstEnergy's new CEO and what are his plans to move past HB 6 bribery scandal?

How do I get my FirstEnergy settlement money?

The settlements are not credits to customers bills. Murray said attorneys wanted this settlement to be an automatic credit to the bill, but it did not work out that way.

All customers were automatically included in the settlement and customers must request the payment either in digital form, a physical debit card or a physical check.

Digital form payments will be in a pre-paid debit card. Physical debit cards should be in the mail for customers who FirstEnergy did not have email addresses for, Murray said, and physical checks will be sent to customers who have a $250 settlement amount.

In a Frequently Asked Question section on the settlement website, the administrators said electronic payment is "the easiest and quickest way" to get funds to customers. Customers can also contact the administrators if they want a different form of payment, such as the physical debit card or check.

Customers who accidentally deleted an email or want to find out more about the settlement can go to the official website for the settlement, https://www.ohioelectricitylitigation.com/ or call the settlement administrator hotline at 877-888-9895.

Betty Lin-Fisher can be reached at 330-996-3724 or blinfisher@thebeaconjournal.com.

This article originally appeared on Akron Beacon Journal: Email about free money in Ohio electricity litigation case legit