State of New York ex rel. William S. French v. H&M Mauritz, L.P.

Walden Macht & Haran, LLP served as lead counsel representing Mr. French.

Nearly six years after whistleblower William S. French filed a False Claims Act lawsuit under the New York False Claims Act alleging that H&M Hennes & Mauritz, L.P.  violated New York law by failing to escheat millions of dollars to the State of New York, H&M LP has agreed to pay $36 million to settle the claims.

The lawsuit alleged that H&M LP had a legal obligation to escheat millions of dollars in unredeemed gift card money to the State of New York, but instead of giving the money to the State, H&M LP implemented a plan to keep the money by entering a sham agreement with an as-yet-unnamed company which disguised the true nature of the funds H&M LP was required to escheat. Additionally, the complaint alleged that H&M falsely told the State that H&M LP’s gift card liabilities had been transferred to the unnamed company, when in fact, H&M LP had the money in its own bank accounts.

The Walden Macht & Haran team was led by Daniel Miller (Picture). 

Involved fees earner: Daniel Miller – Walden Macht & Haran LLP;

Law Firms: Walden Macht & Haran LLP;

Clients: French William;

Sonia Carcano

Author: Sonia Carcano