New York, NY – Verizon has agreed to pay a settlement of $100 million in a class-action lawsuit that alleged the company charged undisclosed administration fees to its customers in a deceptive and unfair manner. The charges in question were issued between January 1, 2016, and November 8, 2023. Customers affected by this will have until early spring 2024 to file a claim.
A class-action lawsuit involves one or more people suing on behalf of themselves and others who have similar claims. Once approved, every member of the class is awarded, except for those who choose to opt out. This settlement agreement, posted on Verizon’s website, indicates that the court has not yet decided on the validity of the plaintiffs’ claims or Verizon’s defenses.
By agreeing to the settlement, Verizon and the plaintiffs do not admit to any liability on Verizon’s part. The company continues to deny any wrongdoing and insists on its right to charge the administrative fee and potentially increase it. As part of the settlement, Verizon will revise its Customer Agreement to provide clearer disclosure of the Administrative Charge.
Verizon Wireless will pay $100 million in total to settle the lawsuit. Current and former customers who were charged administrative fees between January 1, 2016, and November 8, 2023, are eligible for compensation. Verizon will notify affected customers through emails and letters.
The final settlement payment amount will depend on factors such as the number of claims submitted and the length of time each customer was with Verizon. To receive a settlement payment, eligible customers must file a claim by April 15, 2024. Failure to do so will result in no payment.
Customers who do not file a claim will lose their right to sue Verizon over these issues and will be bound by all orders and judgments made by the court in this lawsuit. Customers who wish to opt out of the lawsuit can send a signed request for exclusion to the Verizon Administrative Charge Settlement Administrator by February 20, 2024.
Settlement payments will be issued to valid claimants after the settlement is approved and becomes final. Customers can contact the Settlement Administrator for any questions regarding the settlement. Additional details can be found on the settlement website.
In summary, Verizon has agreed to pay $100 million to settle a class-action lawsuit that accused the company of charging undisclosed administration fees to its customers in a deceptive manner. Customers who were charged administrative fees between January 2016 and November 2023 are eligible to file a claim. The final settlement payment amount will depend on various factors, and customers must file a claim by April 15, 2024, to receive compensation. Those who do not file a claim will lose their right to sue Verizon over the issue and will be legally bound by the court’s decisions.