Dave Ramsey and his company, Ramsey Solutions, are involved in a Dave Ramsey lawsuit docket that includes four notable matters: a $150 million class action from former listeners who followed his endorsement of a failed timeshare-exit company; two religious-discrimination suits brought by former employees; and a class action over unsolicited marketing text messages that settled in 2025. One is resolved by settlement, one was dismissed by agreement, one is heading toward a jury trial, and the biggest — the timeshare case — is still active after Ramsey lost a bid to force it into arbitration.
The $150 Million Timeshare Exit Team Class Action
On April 28, 2023, seventeen former Ramsey listeners filed a class action in the U.S. District Court for the Western District of Washington, Patrick et al. v. Ramsey et al., Case No. 2:23-cv-00630.1PACER Monitor. Patrick et al v. Ramsey et al The defendants are Dave Ramsey, Ramsey Solutions, and Happy Hour Media Group, a marketing firm that promoted Timeshare Exit Team on Ramsey’s behalf.2CBS News. Dave Ramsey Getting Sued in $150 Million Lawsuit Over Timeshare Exit
Timeshare Exit Team was the trade name of Reed Hein & Associates, a Kirkland, Washington company that charged customers between $4,000 and $72,000 to get them out of timeshare contracts. According to the complaint, Reed Hein collected roughly $200 million from clients but often failed to deliver.3Religion News Service. Dave Ramsey Sued for $150 Million by Former Fans Who Followed His Timeshare Exit Advice Washington’s attorney general sued Reed Hein separately in 2020 for deceptive practices, and the company paid $2.61 million to settle in September 2021 and then shut down.4Washington State Attorney General. AG Ferguson: Reed Hein to Pay $2.61 Million to Resolve Timeshare Exit Scheme Lawsuit
The plaintiffs allege Ramsey promoted “deceptive, false and incomplete information” about the company in violation of the Washington Consumer Protection Act, and they bring additional claims for conspiracy, negligent misrepresentation, and unjust enrichment. They say Ramsey was paid more than $30 million between 2015 and 2021 for the endorsement, personally earning about $450,000 per month, and that he kept promoting the company after receiving consumer complaints as early as 2016 and warnings from the Better Business Bureau.5AL.com. Dave Ramsey Sued for $150 Million Over Backing of Failed Timeshare Exit Company3Religion News Service. Dave Ramsey Sued for $150 Million by Former Fans Who Followed His Timeshare Exit Advice
Ramsey’s attorneys have argued he was not responsible for the details of the Reed Hein arrangement, saying he promoted the endorsement on his show and social media but that the specifics were not his concern. Ramsey himself said publicly, “You done pissed off the wrong hillbilly.”3Religion News Service. Dave Ramsey Sued for $150 Million by Former Fans Who Followed His Timeshare Exit Advice
Where the Case Stands
In October 2023, U.S. District Judge James Robart dismissed the unjust enrichment claim with prejudice, finding the plaintiffs had not alleged they directly provided a benefit to Ramsey. He denied dismissal of the rest, ruling the Washington consumer-protection claims were not time-barred because the plaintiffs could not have known they were harmed until Timeshare Exit Team failed to deliver.6Bloomberg Law. Dave Ramsey Defeats Unjust Enrichment Claim Over Timeshare Help An amended complaint was filed in mid-December 2023.7Religion News Service. Cult-Like Lawsuit Against Dave Ramsey Dismissed, but Class Action Timeshare Suit Moves Forward In January 2024, Happy Hour Media Group moved to be dismissed, citing a separate ruling it said barred any judgment against it.8Law360. Wash. Marketing Co. Looks to Escape Timeshare Class Action
Ramsey’s legal team also tried to push the dispute into arbitration by pointing to the contracts the plaintiffs had signed with Reed Hein. On November 12, 2025, the U.S. Court of Appeals for the Ninth Circuit rejected that argument, holding the fraud claims were not tied to those contracts and that Ramsey had never signed them.9Law360. 9th Circ. Says Finance Guru Ramsey Can’t Arbitrate Fraud Suit The case remains active in federal court in Washington.
Religious Discrimination Suits From Former Employees
Ramsey Solutions, based in Franklin, Tennessee, requires employees to follow a “righteous living” policy grounded in “traditional Judeo-Christian values.” The employee handbook says conduct inconsistent with those values “would damage the image and the value of our good will and our brand” and can lead to termination.10Deseret News. Dave Ramsey Morality Clause: Ramsey Solutions Employment Law Two former employees have sued over how that policy was applied.
O’Connor: Fired After Requesting Maternity Leave
Caitlin O’Connor, an administrative assistant of more than four years, filed suit in 2020 after being fired for being pregnant while unmarried. She said her termination followed her request for maternity leave and argued the “righteous living” policy amounted to religious discrimination and had a disparate impact on women, because pregnancy is a visible condition that strips away privacy. She brought claims under Title VII and the Tennessee Human Rights Act.10Deseret News. Dave Ramsey Morality Clause: Ramsey Solutions Employment Law11HR Dive. Pregnant Worker Religious Bias Dave Ramsey
The Middle District of Tennessee initially dismissed the case, but after a separate Sixth Circuit ruling recognized “religious nonconformity” as protected, U.S. District Judge Eli Richardson reversed that dismissal on June 12, 2025. He wrote that “where a company policy does have religious motivations, the religious underpinning of the policy under certain circumstances will support a particular claim” of religious discrimination.12Religion News Service. Dave Ramsey’s Company Loses Again in Court Over Discrimination The case did not reach trial. On December 11, 2025, the parties agreed to dismiss it. The terms were not disclosed, and a confidentiality order had been in place since early in the case.11HR Dive. Pregnant Worker Religious Bias Dave Ramsey
Amos: The COVID-Era “Religious Nonconformity” Case
Brad Amos, a former senior video editor, sued Ramsey Solutions in December 2021 in the Middle District of Tennessee, alleging religious discrimination and fraud. Amos said managers criticized him for wearing a mask and social distancing during the pandemic and characterized those precautions as “against the will of God,” while his own religious beliefs, grounded in the Golden Rule, led him to follow CDC guidance. He was fired on July 31, 2020, after about a year on the job.13Charlotte Observer. Dave Ramsey Sued by Former Employee Over Cult-Like Workplace Culture
Amos also described a “cult-like” workplace, alleging employees were taught “The Ramsey Way,” pressed to praise Dave Ramsey, and required to submit weekly reports on their personal happiness and attend one-on-one meetings about their home lives. Ramsey Solutions denied the allegations and said Amos was fired for poor performance and for insulting a senior leader in a meeting.13Charlotte Observer. Dave Ramsey Sued by Former Employee Over Cult-Like Workplace Culture
Judge Richardson dismissed the case in December 2023, but on August 8, 2024, a Sixth Circuit panel partially reversed. The appeals court held that federal law protects employees from discrimination based on “religious nonconformity” and that Amos’s belief in the Golden Rule qualified as a protected religious claim. It sent the religious discrimination claim back for trial while affirming dismissal of the fraud claims, finding Amos had enough warning about the company’s culture to have investigated before relocating from California to Tennessee. The Equal Employment Opportunity Commission filed a friend-of-the-court brief supporting Amos and the “religious nonconformity” framework.14Religion News Service. Appeals Court Rules Against Dave Ramsey’s Company in Covid-Era Religious Discrimination Case A jury trial was scheduled for July 15, 2025, with pretrial motion practice active in late June 2025.15CourtListener. Amos v. Lampo Group, LLC
The Unsolicited Text Message Settlement
In November 2024, Bretmichael Hood, a Broward County, Florida resident, filed a class action in federal court in Miami alleging Ramsey Solutions violated the Telephone Consumer Protection Act by sending unsolicited marketing texts about financial education products. Hood said he received the first message in June 2024, replied “stop” six days later, and still received two more solicitations through September.16InvestmentNews. Dave Ramsey’s Texts Pitching Financial Education at Center of Do-Not-Call Lawsuit
The parties settled for $1,091,790, and the court granted preliminary approval on October 23, 2025. Anyone in the United States who received at least one marketing text from Ramsey Solutions between November 22, 2020, and October 23, 2025, is eligible for a payment of up to $45. Ramsey Solutions denied the allegations and did not admit liability. A final approval hearing was scheduled for February 4, 2026.17ClassAction.org. $1.09M+ Ramsey Solutions Settlement Resolves Class Action Lawsuit Over Alleged Marketing Texts
A Missouri Regulatory Order Worth Knowing About
Before any of those lawsuits, Ramsey Solutions faced a state regulatory action rather than private litigation. The Missouri Securities Division concluded that between 2010 and 2014, The Lampo Group (Ramsey Solutions’ legal name) failed to provide mandatory disclosure statements to investors it referred to financial advisors through its Endorsed Local Provider program, effectively operating as an unregistered investment adviser representative. The company entered a consent order to resolve the matter without admitting or denying the findings and said it began providing the required disclosures in 2015.18Missouri Secretary of State. Consent Order, Case No. AP-16-26 It is an administrative resolution, not a court judgment, and no private class action followed from it.