Local law firm reaps $6.3M in fees from BMV class-action suit

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A local law firm will receive $6.3 million as part of a class-action lawsuit that accused the Indiana Bureau of Motor Vehicles of overcharging for driver’s licenses.

Cohen & Malad LLP’s fee represents 21 percent of the $30 million awarded to Hoosier motorists as part of a settlement approved by Marion Superior Court Judge Heather Welch on Nov. 12.

A BMV spokesman said in an email that it will abide by the terms and conditions of the settlement.

The overcharges were discovered after Indianapolis attorney Irwin Levin filed suit in March against the BMV, accusing it of overcharging drivers for licenses. Gov. Mike Pence then directed the BMV to conduct an independent review of the more than 300 fees the agency administers. That review found more cases of overcharging.

In response, the BMV cut fees in June for standard operator's licenses by $3.50. The new fees range from $17.50 for a six-year license to $14.50 for a four-year license—a maximum reduction of about 19 percent.

Levin, of Indianapolis-based Cohen & Malad, said the firm, which specializes in class-action suits, negotiated its fee with the state. The fee was lower than the 33-percent charge it typically commands in class actions.

“It wasn’t our job to uncover this; it was the state’s job,” he said. “I’m not going to apologize for taking the risk.”

About 4.5 million Indiana drivers may be eligible to receive a refund, Levin said. The class of plaintiffs includes anyone who paid a fee to the BMV between March 2007 and June 2013.

Amounts awarded to individuals should range from $3.50 to $15, Levin said.

Those eligible for a refund can get a credit while transacting business at a license branch or they can fill out a form that will be available on the BMV website in about a month and receive a check in the mail. The BMV will mail checks to everyone else entitled to a refund.

Levin said he is “extremely satisfied” with the settlement and particularly proud that firm lawyers uncovered the overcharges.

“People don’t have any choice, they have to deal with the BMV,” he said. “If you want to drive legally in Indiana, you’ve got to do business with the BMV.”

Meanwhile, Gov. Mike Pence on Tuesday named Kent Schroder interim commissioner of the BMV.

Schroder had been the BMV chief of staff since June 1 after serving as its chief information officer since 2005.

He replaces Scott Waddell, who announced his resignation as BMV commissioner last month after three years at the job. He will step down Dec. 2.


  • Overcharges?
    Not quite sure how this was price gouging, since the $3.50 paid in by the poor hapless victims merely went to the government to run the license bureau. Seems to me the only clear winner here was Mr. Levin, who seems to want a mindboggling windfall for what I am not sure (correcting some state accounting that was not actual fraud or embezzlement) AND also our heartfelt thanks? Sorry Attorney Levin, you will have to be content with the lucre. Not that actions of a patriot as those I hang with view it.

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  1. Especially I would like to see all the republican voting patriotic good ole boys to stop and understand that the wars they have been volunteering for all along (especially the past decade at least) have not been for God & Jesus etc no far from it unless you think George Washington's face on the US dollar is god (and we know many do). When I saw the movie about Chris Kyle, I thought wow how many Hoosiers are just like this guy, out there taking orders to do the nasty on the designated bad guys, sometimes bleeding and dying, sometimes just serving and coming home to defend a system that really just views them as reliable cannon fodder. Maybe if the Christians of the red states would stop volunteering for the imperial legions and begin collecting welfare instead of working their butts off, there would be a change in attitude from the haughty professorial overlords that tell us when democracy is allowed and when it isn't. To come home from guarding the borders of the sandbox just to hear if they want the government to protect this country's borders then they are racists and bigots. Well maybe the professorial overlords should gird their own loins for war and fight their own battles in the sandbox. We can see what kind of system this really is from lawsuits like this and we can understand who it really serves. NOT US.... I mean what are all you Hoosiers waving the flag for, the right of the president to start wars of aggression to benefit the Saudis, the right of gay marriage, the right for illegal immigrants to invade our country, and the right of the ACLU to sue over displays of Baby Jesus? The right of the 1 percenters to get richer, the right of zombie banks to use taxpayer money to stay out of bankruptcy? The right of Congress to start a pissing match that could end in WWIII in Ukraine? None of that crud benefits us. We should be like the Amish. You don't have to go far from this farcical lawsuit to find the wise ones, they're in the buggies in the streets not far away....

  2. Moreover, we all know that the well heeled ACLU has a litigation strategy of outspending their adversaries. And, with the help of the legal system well trained in secularism, on top of the genuinely and admittedly secular 1st amendment, they have the strategic high ground. Maybe Christians should begin like the Amish to withdraw their services from the state and the public and become themselves a "people who shall dwell alone" and foster their own kind and let the other individuals and money interests fight it out endlessly in court. I mean, if "the people" don't see how little the state serves their interests, putting Mammon first at nearly every turn, then maybe it is time they wake up and smell the coffee. Maybe all the displays of religiosity by American poohbahs on down the decades have been a mask of piety that concealed their own materialistic inclinations. I know a lot of patriotic Christians don't like that notion but I entertain it more and more all the time.

  3. If I were a judge (and I am not just a humble citizen) I would be inclined to make a finding that there was no real controversy and dismiss them. Do we allow a lawsuit every time someone's feelings are hurt now? It's preposterous. The 1st amendment has become a sword in the hands of those who actually want to suppress religious liberty according to their own backers' conception of how it will serve their own private interests. The state has a duty of impartiality to all citizens to spend its judicial resources wisely and flush these idiotic suits over Nativity Scenes down the toilet where they belong... however as Christians we should welcome them as they are the very sort of persecution that separates the sheep from the wolves.

  4. What about the single mothers trying to protect their children from mentally abusive grandparents who hide who they truly are behind mounds and years of medication and have mentally abused their own children to the point of one being in jail and the other was on drugs. What about trying to keep those children from being subjected to the same abuse they were as a child? I can understand in the instance about the parent losing their right and the grandparent having raised the child previously! But not all circumstances grant this being OKAY! some of us parents are trying to protect our children and yes it is our God given right to make those decisions for our children as adults!! This is not just black and white and I will fight every ounce of this to get denied

  5. Mr Smith the theory of Christian persecution in Indiana has been run by the Indiana Supreme Court and soundly rejected there is no such thing according to those who rule over us. it is a thought crime to think otherwise.