Some Verizon customers may be entitled to claim part of a proposed $100 million settlement the wireless carrier agreed to pay to settle a class-action lawsuit, according to a claims website created by a settlement administrator.
The lawsuit, filed in New Jersey Superior Court, argued that Verizon’s administrative fees were unfair and were not properly disclosed to customers. The court in New Brunswick, New Jersey, approved the settlement on December 15.
Court-appointed attorneys for the plaintiffs sent email and postal notices, which were mailed to customers eligible to file a claim on Wednesday.
Stephen DeNittis, an attorney representing the plaintiffs, said in an interview that the $100 million settlement was among the largest against a company for charging management fees.
What was the complaint?
The case arose from a lawsuit filed in California in 2021. The complaint, which brought together four separate lawsuits and was filed on November 10, accused Verizon, the New Jersey-based wireless communications giant, of misleading customers by “prominently advertise certain monthly announcements.” rates for postpaid wireless service plans.”
However, after customers sign up for the company’s service, the lawsuit claims that “Verizon uniformly charges them higher monthly rates than it advertised and promised by adding what Verizon calls an ‘administrative fee’ to the bill.” .
Verizon has denied the claims.
Verizon spokesman Rich Young said in a statement that the company “clearly identifies and describes its administrative charge to the wireless consumer several times during the sales transaction, as well as in its marketing, contracts and billing. Young said that as part of the settlement, Verizon had “made some changes to the way the position is described.”
President Biden has urged Congress to pass laws banning “surprise fees” charged by businesses, including hotels and service providers.
How do I file a claim?
Those eligible for a portion of the settlement include U.S. customers with postpaid wireless phone or data plans, meaning those who subscribed to paid services on a monthly billing cycle, who were charged administrative fees between January 1, 2016 and November 8, 2023. .
At most, an affected customer could receive a payment of $100. The amount could be less depending on how long a customer used Verizon services and the number of customers who file a claim, according to a claim form.
To apply, customers must complete and sign the two-page form and indicate their preferred payment method: check, bank transfer, or digital payment service. The deadline to file a claim is April 15, 2024.
Customers can also opt out of the class settlement and retain the right to sue Verizon separately for the matters described in the class action lawsuit filed in New Jersey.