A hidden-fee settlement typically pays each eligible tenant a flat cash amount, plus a share tied to specific charges they paid, and orders the landlord to change its billing practices going forward. The exact mix depends on the case, but recent settlements and rulings against property managers show the same basic pattern repeating across different states and company names. Hidden fees in apartment leases usually mean pest control, trash valet, amenity, or administrative charges added on top of advertised rent without clear disclosure. When a court or settlement finds those charges improper, tenants typically see some combination of a per-tenant payment, reimbursement tied to what they actually paid, and changes to how the landlord bills going forward.
Official resources:
- Read the original report from Towardsjustice — Use this primary source to review the complete report.
- Read the official notice from 24 7Pressrelease — Use this primary source to verify the official announcement.
Table of Contents
- What a Typical Payout Looks Like
- Why the Per-Tenant Number Can Be Hard to Pin Down
- When the Relief Goes Beyond a Check
- How a Tenant Would Actually Get Paid
- Cases Still Working Their Way Through Court
- Frequently Asked Questions
What a Typical Payout Looks Like
Settlements in this area tend to combine a flat payment with a reimbursement formula. In Minnesota, an Olmsted County judge found that property manager MIMG violated the state's Prevention of Consumer Fraud Act and Uniform Deceptive Trade Practices Act by charging tenants undisclosed fees. Tenants who signed Minnesota leases before February 1, 2022 are entitled to a $125 cash payment plus 115% of the water and sewer charges they paid, according to KTTC's March 2025 report. A Virginia case against AION Management shows a simpler, flat-rate structure. That settlement covers roughly 5,508 tenants who leased at six AION-run complexes between October 10, 2023 and November 1, 2025 over pest-control, trash, amenity, and administrative billing fees.
Each eligible tenant is set to receive about $141 by mailed check, with no claim form required, pending final approval before Judge Robert E. Payne in the Eastern District of Virginia, according to OpenClassActions. Not every settlement pays the same way. A California class action against UDR, a publicly traded apartment real estate investment trust, over unreasonable late fees charged between August 12, 2017 and October 24, 2024, resulted in a $3 million payment that goes out automatically to tenants still living in a UDR property as of the settlement's end date. Former tenants, by contrast, had to file a claim by March 3, 2025 to collect, according to Consumer Action.
Why the Per-Tenant Number Can Be Hard to Pin Down
The dollar figure a tenant expects to receive rests on a fund size that isn't always reported consistently. In the AION Management case, the total settlement fund is listed as $776,628 in one source and $1,197,442 in another, both before attorneys' fees and costs are deducted, according to the OpenClassActions settlement page. That gap illustrates a practical limit: the approved per-tenant payment is a known number, but the underlying math that produced it can still be in dispute even after a settlement reaches final approval.
This matters for anyone trying to estimate their own payout from a pending case. A reported total settlement fund is not the same as what each tenant will actually see after legal costs, administrative expenses, and the number of class members sharing the fund. The safest figure to rely on is the per-tenant amount a court has actually approved, not an early estimate of the total fund.
When the Relief Goes Beyond a Check
Some rulings require the landlord to change its practices, not just pay money. The Minnesota order against MIMG requires the company to reform its lease language and expunge evictions tied to the improper fees, in addition to the cash payments, according to KTTC. That kind of relief matters most to tenants who were evicted over disputed charges, since an expunged eviction can affect future housing applications in ways a refund check cannot fix.
A Maryland case against Westminster Management, a landlord linked to Jared Kushner, shows another form of non-cash relief: an outright bar on further fee collection. A Baltimore City Circuit Court judge granted partial summary judgment on July 7, 2026 for a class of more than 17,000 Maryland tenants over unlawful fees charged between September 2014 and August 2021. The ruling bars the landlord from collecting those fees further and adds 6% prejudgment interest expected to exceed $2 million, with the final damages amount still to be set at trial, according to The Daily Record. That case shows a class can win a liability finding well before anyone knows the final payout — the interest alone has already cleared $2 million before trial even sets the base damages figure.
How a Tenant Would Actually Get Paid
The payment method varies by case, and it determines whether a tenant has to do anything. The AION Management settlement pays by mailed check automatically, with no claim form needed for any class member, according to OpenClassActions.
The UDR settlement splits the process in two: current residents as of the cutoff date get paid automatically, while former tenants had to file a claim by a fixed deadline, according to Consumer Action. A few practical checks apply across any hidden-fee case:.
- Confirm the exact lease dates covered — eligibility usually turns on when a tenant signed or lived under the lease, not when the fees were discovered.
- Check whether the payment is automatic or requires a claim form, and note any filing deadline.
- Watch for a final approval date — a settlement can be reported before a judge has signed off, and terms can still shift until then.
- Keep records of fee charges on hand, since reimbursement formulas (like the Minnesota case's 115% of water and sewer charges) are often tied to amounts actually paid.
Cases Still Working Their Way Through Court
Several hidden-fee claims against large apartment operators remain unresolved, which means no settlement terms exist yet to describe. Former tenant Nichole Collins sued Greystar, the largest apartment manager in the United States, in Denver District Court in January 2024, alleging pest-control, valet-trash, and billing fees add nearly $40 a month in undisclosed charges. The case remains pending with no reported settlement, according to Towards Justice.
A separate proposed nationwide class action targets CoStar's Apartments.com over undisclosed transaction fees on rent payments, filed in the Western District of Washington. CoStar told the court in July 2026 that its fees are clearly disclosed and avoidable, and sought dismissal, with no ruling reported yet, according to Law360. A separate suit filed July 17, 2026 by tenants at Glen at Burnsville in Minnesota alleges the complex advertised rents lower than what residents actually paid once mandatory fees were added, and that case is likewise pending with no settlement reached, according to a 24-7 Press Release report. Tenants watching these cases won't see payout terms until a settlement is reached or a court rules, which can take months or years after a complaint is filed.
Frequently Asked Questions
Do I need to file a claim form to get paid in a hidden-fee settlement?
It depends on the case. The AION Management settlement pays automatically by mailed check with no claim form, while the UDR settlement required former tenants to file a claim by a set deadline even though current residents were paid automatically.
Can a settlement fix an eviction tied to a disputed fee?
Yes in at least one documented case. The Minnesota ruling against MIMG requires the company to expunge evictions connected to the improper fees, in addition to paying tenants directly.
Does a pending lawsuit mean a settlement is coming?
Not necessarily. Cases against Greystar, CoStar's Apartments.com, and the Glen at Burnsville complex are all still active with no settlement reached, and some, like the CoStar case, involve the company actively seeking dismissal.
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