TD Bank is facing a class action lawsuit seeking $25 million on behalf of customers who used its coin counting machines, which were recently retired over concerns that they were short-changing users.
Last month TD decided to retire its entire 1000-strong fleet of Penny Arcade coin-counting machines following an investigation prompted by an NBC news report which found that machines at five sites in the US were inaccurate.
The revelations sparked at least two US lawsuits from short-changed customers and now TD also faces legal action in Canada after a class action suit was commenced in the Ontario Superior Court of Justice.
TD launched its coin counting network in Canada in 2013, having had machines in its US branches since 2007. According to law firm Sotos, the claim alleges that TD Bank "learned of numerous accuracy problems with its coin counting machines in the US" but went ahead with the Canada rollout.
"The claim alleges that TD Bank represented that its coin counting machines in Canada would accurately count coins despite knowing they did not do so," says Sotos.