A class action suit filed against Heilig Meyers/ RoomStores states "In the months immediately surrounding the Heilig-Meyers bankruptcy, some of the accounts were not properly serviced".

As a result, two lawsuits were filed against the Heilig-Meyers Master Trust and others claiming that there was a breach of contract, unjust enrichment, negligence, unfair trade practices, and violations of the Fair Debt Collection Practices Act and other laws. A class action settlement was reached in these lawsuits and was preliminarily approved by the U.S. District Court for the District of South Carolina, Florence Division, on July 25, 2002.