What Is the Trader Joe's Lawsuit?
The Trader Joe's lawsuit behind the customer payout is Keim v. Trader Joe's Company, a California class action over receipts that printed too many card digits. Plaintiff Brian Keim alleged that some stores printed the first six and last four digits of card numbers.
The federal Fair and Accurate Credit Transactions Act (FACTA) allows a receipt to show only the last five digits. The case is No. 19STCV36790 in Los Angeles County Superior Court.
Trader Joe's agreed to pay $7.4 million for card purchases made between March 5, 2019 and July 19, 2019. Trader Joe's denies wrongdoing, and the settlement site says the court did not rule on the merits.
Other lawsuits also carry the Trader Joe's name. They cover an Uncrustables trademark dispute, a 401(k) plan, and union merchandise. Those cases are separate from the receipt class action and are compared below.
Why Are People Filing Trader Joe's Lawsuits?
People are filing Trader Joe's lawsuits because customers, workers, and competitors each say the company broke a different rule. The receipt case is the one that produced a payout for shoppers.
Keim's claim rests on FACTA, 15 U.S.C. § 1681c(g)(1). That law limits how many card digits a printed receipt may show. Keim filed in July 2019 on behalf of every shopper whose receipt allegedly showed the longer number.
Workers have sued over wages, retirement plan fees, and discrimination. A competitor has sued over sandwich packaging, and the company has sued a union over merchandise. Each of those disputes is summarized in the related cases section.
What Injuries Are Included in the Trader Joe's Lawsuit?
The injuries included in the Trader Joe's lawsuit are two related harms, each defined below. They are card digit exposure on a receipt and the identity theft risk it may create. Trader Joe's denies wrongdoing, and no court has found it liable.
Receipt Card Number Exposure
Receipt truncation is a legal requirement that a printed receipt hide most digits of a customer's card number.
The plaintiff alleges Trader Joe's receipts printed too many card digits at some stores. The allegation concerns what the receipt displayed. It does not concern what a third party later did with it.
Identity Theft Risk
Identity theft risk is the chance that someone could use exposed account details to act in another person's name.
The first six digits of a card number generally identify the bank that issued the card. The settlement notice says Trader Joe's reports that no person told it about identity theft tied to the conduct. The notice also says a claimant does not need to have suffered identity theft.
Who Qualifies for the Trader Joe's Lawsuit?
You may qualify if:
- You paid by credit or debit card at Trader Joe's between March 5, 2019 and July 19, 2019.
- The receipt for that purchase displayed the first six and last four digits of your card number.
- You do not need to have suffered identity theft, according to the settlement notice.
You may not qualify if:
- Your purchase fell outside that 2019 window, or you paid in cash or another method that involves no card number.
- Your receipt did not show the longer card number, because not every store or transaction was affected.
- You excluded yourself (opted out) by the opt-out deadline, which preserved your right to sue separately.
- You did not submit a valid and timely claim form, so no payment is generally available to you.
The claims deadline has passed. This summary describes the class definition for reference only. Only the settlement administrator's records can confirm whether a specific person was a class member or filed a timely claim.
What Is the Current Status of the Trader Joe's Lawsuit?
The current status of the Trader Joe's lawsuit is a settled class action, with final approval reported August 19, 2026. The claims window has closed, and several unrelated Trader Joe's cases remain pending.
Keim v. Trader Joe's Company
Keim v. Trader Joe's Company is the one Trader Joe's proceeding with an approved class settlement. The court did not decide for Keim or for Trader Joe's. The settlement site says both sides agreed to resolve the case.
| Court | Los Angeles County Superior Court |
| Case Number | 19STCV36790 |
| Plaintiff | Brian Keim, for a settlement class |
| Defendant | Trader Joe's Company |
| Claim | Violation of FACTA, 15 U.S.C. § 1681c(g)(1) |
| Claim, Opt-Out and Objection Deadline | June 9, 2026 (one outlet reported June 6 for claims) |
| Final Approval Hearing | August 10, 2026 |
| Final Approval | Reported granted by Mealey's on August 19, 2026 |
| Class Counsel | Keogh Law Ltd., Scott D. Owens P.A., and Hekmat Law Group P.C. |
| Defense Counsel | O'Melveny & Myers LLP |
| Settlement Administrator | Keim v. Trader Joe's Settlement Administrator, P.O. Box 301134, Los Angeles, CA 90030 |
The court's written final ruling sits on the settlement site, which blocked automated access during research. The approval date therefore rests on the Mealey's report, and the administrator can confirm it.
How Much Is the Trader Joe's Lawsuit Settlement Payout?
The Trader Joe's lawsuit settlement payout is an estimated $102.45 per valid claim, drawn from a $7.4 million non-reversionary fund. The final amount depends on how many people filed valid claims.
The $102.45 figure is the plaintiff's estimate, not a guarantee. Only the settlement administrator can confirm what any individual receives.
The fund pays for more than claims. Class counsel said it would ask for $2,466,666.67 in fees plus expenses. It also sought a $10,000 incentive award for Keim. Notice and administration costs also come from the fund. Newsweek put the amount left for class members at roughly $3.86 million.
Each valid claim receives an equal share, so fewer claims mean larger checks. Newsweek reported estimates from $56 to $113 per person, depending on claim volume.
Unclaimed money does not return to Trader Joe's. Top Class Actions reports that leftover funds go to a second distribution if feasible. Otherwise they go to the Identity Theft Resource Center.
Payment timing depends on final approval and any appeals. The Courier-Post reported checks within 10 business days after final approval. Other coverage said payments follow once appeals are resolved, so timing may vary.
Trader Joe's Lawsuit Updates and Case Status
Here is the current status of the Trader Joe's lawsuit, updated with new filings, rulings, and case-count reports as they're confirmed. The Keim receipt class action settled as of October 2026; the terms and timing are covered in the entries below. Every verified development is listed in the timeline below, in order.
Trader Joe's Lawsuit Timeline of Events
Judge Reported to Rule Trader Joe's Did Not Violate ERISA on 401(k) Forfeitures
Law Commentary reported in late September 2026 that Judge William G. Young held Trader Joe's did not violate ERISA by using forfeited 401(k) money to cut future company contributions. The Stephan plaintiffs had alleged more than $37 million in forfeitures was applied between 2019 and 2023. Rulings on the plan's fee and investment claims were not confirmed.
Judge Lets J.M. Smucker's Uncrustables Suit Against Trader Joe's Proceed
The Associated Press reported on August 31, 2026 that U.S. District Judge John Adams allowed J.M. Smucker Co.'s trademark case against Trader Joe's to continue in Ohio. The judge also declined to move the case to California. Smucker accuses Trader Joe's of copying the look of its Uncrustables sandwiches.
Mealey's Reports Final Approval of the $7.4 Million Receipt Settlement
Mealey's reported on August 19, 2026 that a California judge granted final approval of the $7.4 million Keim v. Trader Joe's Company settlement. The report is paywalled, so the full order was not reviewed. Payments follow final approval and any appeals.
Final Approval Hearing Set in Keim v. Trader Joe's Company
The Los Angeles County Superior Court scheduled the final approval hearing in Keim v. Trader Joe's Company for August 10, 2026. The hearing followed the June deadlines for claims, opt-outs, and objections.
Chicago Trader Joe's Store Union Vote Ends 71 to 70
Trader Joe's United won a 71 to 70 count at the Lincoln Avenue store in Chicago on July 8, 2026. A challenged ballot was opened after legal challenges ended, and an April 2024 tally had stood at 70 to 70. The union is still bargaining for its first contract, per the Chicago Sun-Times.
Claim, Opt-Out and Objection Deadlines Pass in the Receipt Settlement
Class members in Keim v. Trader Joe's Company had until June 9, 2026 to submit a claim, exclude themselves, or object. Local12 reported June 6 as the claim date, so reports differ by a few days. Missing the deadline generally meant giving up a share of the fund.
Judge Rules for Trader Joe's on 401(k) Forfeiture Claim From the Bench
Judge William G. Young granted Trader Joe's motion on the forfeiture claim in Stephan v. Trader Joe's on May 8, 2026, mid-trial and without a written opinion. The bench trial had opened on May 4 in the District of Massachusetts and continued on the remaining claims.
National Coverage Announces the $7.4 Million Receipt Settlement
CNN and local outlets reported on April 16, 2026 that Trader Joe's agreed to pay $7.4 million. Coverage put the estimated payment near $102.45 and stressed that identity theft was not required to claim.
Los Angeles Hearing Marks Approval Step in Keim Settlement
The Takeout reported the Keim settlement was granted at a February 5, 2026 Los Angeles County Superior Court hearing. That date appears to be preliminary approval, because the final approval hearing came later.
J.M. Smucker Sues Trader Joe's Over Frozen Peanut Butter Sandwiches
J.M. Smucker Co. sued Trader Joe's in the Northern District of Ohio on October 13, 2025. The case is reported as No. 5:25-cv-02181. The complaint alleges Trader Joe's crustless peanut butter and jelly sandwiches copy Uncrustables shape and packaging. Trader Joe's argues its sandwiches are square with rounded edges.
Ninth Circuit Revives Trader Joe's Trademark Suit Against Its Union
A Ninth Circuit panel reversed the dismissal of Trader Joe's Co. v. Trader Joe's United, No. 24-720, on September 8, 2025. The panel reinstated the infringement claim and remanded the case. It also vacated an award of more than $112,000 in attorney's fees.
Labor Board Judge Orders Trader Joe's to Bargain With Louisville Union
An NLRB administrative law judge found in September 2025 that Trader Joe's East Inc. violated federal labor law. The company had refused to begin contract talks with Trader Joe's United in Kentucky. The judge ordered it to bargain.
Former Employees File 401(k) Class Action in Massachusetts
Former employees filed Stephan v. Trader Joe's in the District of Massachusetts in January 2025 for the plan's roughly 38,000 participants. They allege the company breached ERISA duties by keeping a costlier fund share class and misusing forfeited funds.
NLRB Issues Complaint Over Closure of New York Wine Shop
The National Labor Relations Board issued a complaint in January 2024. It concerns the 2022 closure of Trader Joe's New York wine shop. The complaint followed a union charge and alleges interrogation, threats to cut benefits, and statements that unionizing would be futile.
Shopper Files Cracker Labeling Complaint in Brooklyn Federal Court
Kalman Rosenfeld filed Rosenfeld v. Trader Joe's Company, No. 1:20-cv-03717, in the Eastern District of New York on August 14, 2020. The complaint alleges the 12 Grain Mini Snack Crackers contain mostly enriched white flour. The outcome was not confirmed.
Brian Keim Sues Trader Joe's Over Receipt Card Digits
Brian Keim filed the class action that became Keim v. Trader Joe's Company on July 17, 2019. The Takeout reported that filing came two days before Trader Joe's fixed the receipt issue.
Judge Orrick Grants Final Approval of the All-Natural Labeling Settlement
U.S. District Judge William H. Orrick gave final approval on July 11, 2014 to the Larsen v. Trader Joe's Co. settlement over products labeled all natural. The fund totaled about $3.375 million, and Trader Joe's denied wrongdoing.
Judge Orrick Preliminarily Approves $3.4 Million All-Natural Settlement
Judge William H. Orrick preliminarily approved the Larsen v. Trader Joe's Co. settlement on February 6, 2014, in No. 3:11-cv-05188 in the Northern District of California. The case alleged synthetic ingredients in products labeled all natural or 100% natural.
How to File a Trader Joe's Lawsuit
The 5 steps below explain how to file a Trader Joe's lawsuit.
- Confirm which Trader Joe's case applies: Decide whether your issue is the receipt class action or a separate matter, such as employment or product labeling.
- Check your receipt class status: Use the settlement website or call 1-888-444-7415 to ask whether your card was in the settlement class.
- Locate your notice and claim ID: Newsweek reported that some class members received an email or postcard with a claim ID and PIN. Keep it if you have one.
- Ask the administrator about late claims: The deadline has passed, so only the administrator can say whether any late-claim route exists.
- Consult an attorney about other claims: Workers and product buyers should speak with a licensed attorney, because deadlines differ by claim type and by state.
Trader Joe's Lawsuit is no longer accepting new claims. The receipt settlement's claims window closed in June 2026. The other Trader Joe's cases are individual or business disputes with no open claim form.
What Evidence Do I Need for a Trader Joe's Lawsuit?
The evidence you need for a Trader Joe's lawsuit depends on which claim is involved. For the receipt settlement, the main identifier was the claim ID and PIN in the emailed or mailed notice.
Shoppers without a notice could fill out a personalized claim form, according to The Takeout. A receipt or card statement showing a Trader Joe's purchase in the class window may help show class membership.
For employment disputes, people typically keep pay records, schedules, and written complaints. Only a qualified attorney reviewing your records can say what a specific claim needs.
What Has Trader Joe's Said About the Receipt Allegations in the Lawsuit?
Trader Joe's has denied the receipt allegations and says it settled only to avoid costly litigation. The settlement notice states its position in four parts.
| Topic | Trader Joe's stated position | Source |
|---|---|---|
| Liability | Denies Plaintiff's allegations and any liability or wrongdoing | Settlement notice |
| Scope | Not every store printed the longer number, and only a small minority of transactions at stores that did | Settlement notice |
| Identity theft | Reports no person has told it about identity theft based on the alleged conduct | Settlement notice |
| Reason for settling | Its insurer concluded further litigation would be protracted and expensive, and the insurer is paying the fund | Settlement notice |
Keim filed on July 17, 2019. The Takeout says that was two days before Trader Joe's fixed the issue.
How Does the Trader Joe's Lawsuit Compare to Related Cases?
The Trader Joe's lawsuit over receipts is a consumer class action, unlike the related cases below. Those involve trademarks, retirement plans, labor law, and workers. Each case has its own court, parties, and outcome.
| Case | Court or forum | Subject | Status |
|---|---|---|---|
| J.M. Smucker Co. v. Trader Joe's Co., No. 5:25-cv-02181 (as reported) | N.D. Ohio, Judge John Adams | Alleged copying of Uncrustables trademarks on a frozen peanut butter sandwich | Filed Oct. 13, 2025; allowed to proceed, per AP, Aug. 2026 |
| Trader Joe's Co. v. Trader Joe's United, No. 24-720 | Ninth Circuit | Trademark claims over union merchandise | Dismissal reversed Sept. 8, 2025; remanded |
| Stephan v. Trader Joe's | D. Mass., Judge William G. Young | ERISA 401(k) fees and forfeitures | Forfeiture claim ruled for Trader Joe's in May 2026; other claims not confirmed |
| Trader Joe's Wage and Hour Cases, JCCP No. 5196 | San Mateo County Superior Court | California wage and hour class and PAGA settlement | Draft notice covers workers from Dec. 4, 2016 to Mar. 31, 2024; hearing date blank |
| Larsen v. Trader Joe's Co., No. 3:11-cv-05188 | N.D. Cal., Judge William H. Orrick | All natural product labels | About $3.375 million settlement, final approval July 11, 2014 |
| Rosenfeld v. Trader Joe's Co., No. 1:20-cv-03717 | E.D.N.Y. | 12 grain cracker labeling | Complaint filed Aug. 14, 2020; outcome not confirmed |
| NLRB union proceedings | National Labor Relations Board | Union organizing and bargaining | Chicago vote 71 to 70 for the union, July 8, 2026 |
| Hammer pregnancy discrimination suit | E.D.N.Y. (Brooklyn) | Pregnancy discrimination and retaliation | Filed, per ABC News; no ruling found |
A New Mexico employment case, Romero v. Trader Joe's Company, No. 1:24-cv-00006, produced a June 4, 2024 discovery order. None of these matters changes who qualifies for the receipt settlement. Anyone with a different dispute should ask a licensed attorney about deadlines.
Frequently Asked Questions
What is the Trader Joe's lawsuit about?
The Trader Joe's lawsuit is about receipts that allegedly showed too many digits of customers' card numbers. Plaintiff Brian Keim says some stores printed the first six and last four digits, which FACTA does not allow. Trader Joe's denies wrongdoing.
Is the Trader Joe's lawsuit a class action?
Yes. The Trader Joe's receipt lawsuit is a class action, Keim v. Trader Joe's Company, and it is not a multidistrict litigation. Other Trader Joe's suits are individual, business, or labor disputes.
Did Trader Joe's settle the lawsuit?
Yes. Trader Joe's settled the receipt class action for $7.4 million without admitting wrongdoing. Mealey's reported final approval on August 19, 2026.
How much is the Trader Joe's settlement payment?
The Trader Joe's settlement payment was estimated at $102.45 per valid claim. The final amount depends on how many people filed, and the claims deadline passed on June 9, 2026.
Can I still file a claim in the Trader Joe's settlement?
You generally can no longer file a claim in the Trader Joe's settlement, because the deadline has passed. The administrator at 1-888-444-7415 can say whether any late-claim option exists.
Did I need identity theft to be in the Trader Joe's lawsuit?
No. You did not need identity theft to claim in the Trader Joe's receipt lawsuit, according to the settlement notice. The class was defined by card purchases and receipt contents.
Is the Trader Joe's Uncrustables lawsuit the same as the receipt settlement?
No. The Trader Joe's Uncrustables lawsuit is a separate trademark case that J.M. Smucker Co. filed in Ohio on October 13, 2025. It has no effect on the receipt settlement.