The Court authorized this Notice because you have a right to know about the Settlement, and all of your options, before the Court decides whether to give Final Approval to the Settlement. This Notice explains the nature of the lawsuit that is the subject of the Settlement, the general terms of the Settlement, and your legal rights and options.

The Honorable Judge Mary Geiger Lewis of the United States District Court for the District of South Carolina is overseeing this case captioned as Burnelle et al. v. Sage Home Loans Corp., Case No. 0:24-cv-00972-MGL. The people who brought the lawsuit are called the Class Representatives. The company being sued, Sage Home Loans Corporation f/k/a Lenox Financial Mortgage Corporation d/b/a/ Weslend Financial, is called the Defendant.

SHLC, as part of its business operations, collects and stores personal information pertaining to its customers, including, but not limited to, names, addresses, Social Security Numbers, driver’s license numbers, loan numbers, and financial information. The Action alleges that on or about December 19, 2023, SHLC noticed suspicious activity on its network. In response to the Data Incident, SHLC immediately took steps to secure its network and launched an investigation that revealed that an unauthorized actor accessed individuals’ Personal Information and exfiltrated data from SHLC’s network to an unknown location. At the time of the Data Incident, SHLC had approximately 135,000 customers who had provided Personal Information to SHLC while obtaining a mortgage. 

SHLC also collects personal information, such as names, addresses and Social Security numbers, of employees in connection with their employment. 

SHLC denies any wrongdoing whatsoever. No court or other judicial body has made any judgment or other determination that SHLC has done anything wrong.

In a class action, one or more people called “Class Representatives” or “Plaintiffs” sue on behalf of all people who have similar claims. Together, all of these people are called a “Settlement Class,” and the individuals are called “Settlement Class Members.” One court resolves the issues for all Settlement Class Members, except for those who exclude themselves from the Settlement Class.

The Court has not decided in favor of the Plaintiffs or SHLC. Instead, both sides agreed to the Settlement. The Settlement avoids the cost and risk of a trial and related appeals, while providing benefits to Settlement Class Members. The Class Representatives appointed to represent the Settlement Class, and the attorneys for the Settlement Class, Class Counsel think the Settlement is best for all Settlement Class Members.

You are affected by the Settlement and potentially a Settlement Class Member if you are a living individual residing in the United States whose Personal Information may have been impacted in the Data Incident. 

Only Settlement Class Members are eligible to receive benefits under the Settlement. Specifically excluded from the Settlement Class are: (a) all persons who are directors and officers of SHLC (b) governmental entities; (c) the Judge assigned to the Action, that Judge’s immediate family, and Court staff and (d) any Settlement Class Member who submitted an opt-out request. The Settlement Class comprises 133,987 individuals for whom SHLC had Personal Information at the time of the Data Incident.

If you are not sure whether you are included in the Settlement, you may call (833)627-4707 with questions. You may also write with questions to:

SHLC Data Incident Action

c/o Kroll Settlement Administration LLC

PO Box 225391

New York, NY 10150-5391

The Settlement provides that SHLC will create a Settlement Fund that pays for the following Settlement Class Member Benefits, or Cash Payments: (a) compensation for ordinary losses (b) compensation for lost time; or (c) flat payment as an alternate compensation, instead of selecting compensation for ordinary losses or lost time. Note that Settlement Class Members are subject to an individual aggregate cap of $1,500 for payments made under the Settlement for compensation for ordinary losses.

Settlement Class Cash Payments will be subject to a pro rata increase from the Net Settlement Fund in the event the amount of Valid Claims is insufficient to exhaust the entire Net Settlement Fund. Similarly, in the event the amount of Valid Claims exhausts the amount of the Net Settlement Fund, the amount of the Cash Payments may be reduced pro rata accordingly. Any pro rata increases or decreases to Cash Payments will be equally throughout the Settlement Fund. If a Settlement Class Member does not submit a Valid Claim, the Settlement Class Member will release his or her claims against the Released Parties without receiving a Settlement Class Member Benefit.

SHLC provided Class Counsel with a “Security Attestation” attesting to the security measures it is implementing following the Data Incident. SHLC confirms that all of these security measures have been implemented.

The Settlement Fund will be used to pay for: (i) Service Awards to Class Representatives awarded by the Court, (ii) attorneys’ fees and costs awarded by the Court to Class Counsel, (iii) all Settlement Administration Costs; and Settlement Class Member Benefits of Cash Payments. Each Claimant who submits a valid and timely Claim Form may qualify for one or more of the following:

1. Compensation for Ordinary Losses: Compensation for unreimbursed ordinary losses fairly traceable to the Data Incident, may be up to a total of $1,500 per person.
   
   
   
   1. Settlement Class Members must submit documentation supporting their Claims for ordinary losses. This documentation may include receipts or other documentation not “self-prepared” by the claimant that documents the costs incurred. “Self-prepared” documents such as handwritten receipts are, by themselves, insufficient to receive reimbursement, but can be considered to add clarity or support other submitted documentation. Settlement Class Members shall not be reimbursed for expenses if they have been reimbursed for the same expenses by another source, including compensation provided in connection with the credit monitoring and identity theft protection product offered as part of the notification letter.
      
       
   2. These ordinary losses may include the following:
      
      
      • Out of pocket expenses incurred as a result of the Data Incident, including bank fees, long distance phone charges, cell phone charges (only if charged by the minute), data charges (only if charged based on the amount of data used), postage, or gasoline for local travel; and 
        
         
      • Fees for credit reports, credit monitoring, or other identity theft insurance product purchased between November 15, 2023, and the date of the Claim Form Deadline.
        
         
   3. Compensation for Lost Time: Settlement Class Members with time spent remedying issues related to the Data Incident may receive reimbursement of $25 per hour up to five hours (for a total of $125) with an attestation including a brief description of the action(s) take in response to the Data Incident; OR.
      
       
   4. Alternate Compensation: Instead of selecting compensation for ordinary losses or compensation for lost time, a Settlement Class Member may elect to receive a flat payment in the amount of $50.

To receive a Cash Payment, you must complete and submit a Claim online here or by mail to SHLC Data Incident Action, c/o Kroll Settlement Administration LLC, PO Box 225391, New York, NY 10150-5391. Read the Claim Form instructions carefully, fill out the Claim Form, provide the required documentation, and submit online by March 13, 2025, or by mail postmarked by March 13, 2025.

The Settlement Administrator will decide whether and to what extent any Claim made on each Claim Form is a Valid Claim. The Settlement Administrator may require additional information from you. If you do not provide the additional information in a timely manner, the Claim will be considered invalid and will not be paid.

The Settlement Administrator, in its sole discretion to be reasonably exercised, will determine whether: 

1. submitted in accordance with the provisions of the Settlement; 
    
2. accurately, fully, and truthfully completed and executed, with all of the information requested in the Claim Form, by a Settlement Class Member; 
    
3. signed physically or by e-signature by a Settlement Class Member personally, subject to the penalty of perjury; 
    
4. returned via mail and postmarked by March 13, 2025, or, if submitted online, submitted by 11:59 p.m. Eastern Time on the March 13, 2025; and 
    
5. determined to be valid by the Settlement Administrator.

The Court will hold a hearing on June 18, 2025 at 2:00 PM ET to decide whether to approve the Settlement. If the Court approves the Settlement, there may be appeals from that decision and resolving them can take time. It also takes time for all of the Claim Forms to be processed. Please be patient. Payments will begin after the Settlement has obtained Court approval and the time for all appeals has expired.

SHLC and its affiliates will receive a Release from all claims that could have been or that were brought against SHLC relating to the Data Incident. Thus, if the Settlement becomes final and you do not exclude yourself from the Settlement, you will be a Settlement Class Member and you will give up your right to sue SHLC, and each entity which is controlled by, controlling or under common control with SHLC, and its past, present, and future direct and indirect heirs, assigns, associates, corporations, investors, owners, parents, subsidiaries, affiliates, divisions, officers, directors, shareholders, members, agents, servants, employees, partners, attorneys, insurers, reinsurers, benefit plans, predecessors, successors, managers, administrators, executors, and trustees, known as Released Parties, any or all of the above persons or entities referenced in this paragraph, any Person related to any such entities relating to the Data Incident. These Release is described in the Settlement Agreement, which is available at here. If you have any questions, you can talk to the law firms listed in Question 18 for free or you can talk to your own lawyer.

EXCLUDING YOURSELF FROM THE SETTLEMENT

If you do not want to be part of the Settlement, then you must take steps to exclude yourself from the Settlement Class. This is sometimes referred to as“opting out” of the Settlement Class.

No. If you exclude yourself, you will not be entitled to receive any benefits from the Settlement.

No. Unless you exclude yourself, you give up any right to sue SHLC and any other released party for any claim that could have been or was brought relating to the Data Incident. You must exclude yourself from the Settlement to start your own lawsuit or to be part of any different lawsuit relating to the claims in this case.

To exclude yourself, send an opt-out request or written notice of intent to opt-out that says you want to be excluded from the Settlement in Burnelle et al. v. Sage Home Loans Corp., Case No. 0:24-cv-00972-MGL. The letter must: personally signed by the Settlement Class Member and contain the requestor’s name, address, telephone number, and email address (if any), and include a statement indicating a request to be excluded from the Settlement Class. You must mail your request for exclusion postmarked by Monday, May 19, 2025, to:

SHLC Data Incident Action

c/o Kroll Settlement Administration LLC

PO Box 225391

New York, NY 10150-5391

You can tell the Court that you do not agree with the Settlement or some part of it by objecting to the Settlement. To object, must be filed with the Court, and sent by email with a hard copy sent by overnight mail by U.S. Mail to Class Counsel, SHLC's Counsel, and the Settlement Administrator, at the mailing addresses listed below, postmarked by no later than, Monday, May 19, 2025.

Your objection must be written and must include all of the following: 

1. the objector’s full name, mailing address, telephone number, and email address (if any); 
    
2. all grounds for the objection, accompanied by any legal support for the objection known to the objector or objector’s counsel; 
    
3. the number of times the objector has objected to a class action settlement within the five (5) years preceding the date that the objector files the objection, the caption of each case in which the objector has made such objection, and a copy of any orders related to or ruling upon the objector’s prior objections that were issued by the trial and appellate courts in each listed case; 
    
4. the identity of all counsel who represent the objector, including any former or current counsel who may be entitled to compensation for any reason related to the objection to the Settlement or Application for Attorneys’ Fees, Costs, and Service Awards; 
    
5. the number of times in which the objector’s counsel and/or counsel’s law firm have objected to a class action settlement within the five (5) years preceding the date of the filed objection, the caption of each case in which counsel or the firm has made such objection and a copy of any orders related to or ruling upon counsel’s or the counsel’s law firm’s prior objections that were issued by the trial and appellate courts in each listed case in which the objector’s counsel or counsel’s law firm have objected to a class action settlement within the preceding 5 years; 
    
6. the identity of all counsel (if any) representing the objector, and whether they will appear at the Final Approval Hearing; 
    
7. a list of all persons who will be called to testify at the Final Approval Hearing in support of the objection (if any); 
    
8. a statement confirming whether the objector intends to personally appear and/or testify at the Final Approval Hearing; and 
    
9. the objector’s signature (an attorney’s signature is not sufficient). 

Objecting is telling the Court that you do not like the Settlement or parts of it and why you do not think it should be approved. You can object only if you are a Settlement Class Member. Excluding yourself is telling the Court that you do not want to be part of the Settlement Class and do not want to receive any payment from the Settlement. If you exclude yourself, you have no basis to object because you are no longer a Settlement Class Member, and the case no longer affects you. If you submit both a valid objection and a valid request for exclusion, you will be deemed to have only submitted the request to be excluded.

Yes. The Court appointed Gary Klinger and David Lietz of Milberg Coleman Bryson Phillips Grossman PLLC, as Class Counsel to represent the Settlement Class in Settlement negotiations. If you want to be represented by your own lawyer, you may hire one at your own expense.

Class Counsel will file an Application for Attorneys’ Fees, Costs, and Service Awards to be paid from the Settlement Fund. Class Counsel’s request for an award of attorneys’ fees of up to 33.33% of the Settlement Fund ($308,302.50) plus reimbursement of reasonable costs. 

These amounts would be paid from the Settlement Fund. Any such award would compensate Class Counsel for investigating the facts, litigating the case, and negotiating the Settlement and will be the only payment to them for their efforts in achieving this Settlement and for their risk in undertaking this representation on a wholly contingent basis. 

Class Counsel will also ask the Court for a Service Awards up to $5,000 for each of the Class Representatives.

Any Application for Attorneys’ Fees, Costs, and Service Awards to the Class Representatives must be approved by the Court. The Court may award less than the amounts requested. Class Counsel’s papers in support of the Motion for Final Approval of the Settlement will be filed no later than May 2, 2025, and their Application for Attorneys’ Fees, Costs, and Service Awards will be filed no later than Monday, May 5, 2025, and will be posted on the Settlement Website.

The Court will hold a Final Approval Hearing at 2:00 PM ET on June 18, 2025, at the Matthew J. Perry Court House, 901 Richland St., Columbia, Room 2 as ordered by the Court. At this hearing, the Court will consider whether the Settlement is fair, reasonable, and adequate. If there are timely and valid objections, the Court will consider them and will listen to people who have asked to speak at the hearing if such a request has been properly made. The Court will also rule on the Application for Attorneys’ Fees, Costs, and Service Awards, as well as the request for Service Awards payment for the Class Representatives. After the hearing, the Court will decide whether to approve the Settlement.  We do not know how long these decisions will take. The hearing may be moved to a different date or time without additional notice, so Class Counsel recommends checking this Settlement Website, or calling (833)627-4707.

No. Class Counsel will present the Settlement Class to the Court. You or your own lawyer are welcome to attend at your expense, but you are not required to do so. If you send an objection, you do not have to visit the Court to talk about it. As long as you filed your written objection on time with the Court and mailed it according to the instructions provided in Question 16, the Court will consider it.

You may ask the Court for permission to speak at the Final Approval Hearing. To do so, you must file an objection according to the instructions in Question 16, including all the information required. Your objection must be mailed to the Settlement Administrator, at the mailing addresses listed below, postmarked by no later than Monday, May 19, 2025.

If you do nothing, you do not receive any benefits from this Settlement. If the Settlement is granted Final Approval and becomes final, you will not be able to start a lawsuit, continue with a lawsuit, or be part of any other lawsuit against SHLC or the other Released Parties based on any claim that could have been or that was brought relating to the Data Incident.

This Notice summarizes the Settlement. More details are in the Settlement Agreement itself.  A copy of the Settlement Agreement is available at the Documents page. You may also call the Settlement Administrator with questions or to receive a Claim Form at (833)627-4707.

It is your responsibility to inform the Settlement Administrator of your updated information. You may do so at the address below:

SHLC Data Incident Action

c/o Kroll Settlement Administration LLC

PO Box 225391

New York, NY 10150-5391

PLEASE DO NOT CONTACT THE COURT, CLERK OF THE COURT OR CLASS COUNSEL FOR INFORMATION ABOUT THE CLASS ACTION SETTLEMENT