(CNN)– Some Verizon customers may get an unexpected surprise in the mail this week: a chance to get a refund as part of a proposed $100 million class-action settlement.
Eligible customers received postcards or emails alerting them to file a lawsuit by April 15 to receive up to $100, the result of a lawsuit accusing Verizon of charging fees that were “unfair and not adequately disclosed.” “.
At issue is Verizon’s “administrative fee,” which the plaintiffs claimed was “erroneous” because the fee was not disclosed in their plan’s advertised monthly price and was charged “misleadingly and unfairly.”
Verizon has denied the claims and said in a statement that it “clearly identifies and describes its administrative charges to the Verizon customer many times during the sales transaction as well as in its marketing, contracts and billing.”
A company spokesman said the fee “helps our company recover certain compliance and network-related costs.”
The settlement was the culmination of four separate lawsuits filed in court in New Jersey, the same state where Verizon is based. That was approved in December, but still requires a “fair hearing” scheduled for March.
The so-called “junk fee” is not only derided by consumers but has also drawn the ire of Joe Biden’s administration. Last October, the Federal Trade Commission unveiled a proposed rule that would prohibit companies from charging hidden or deceptive fees and require companies to disclose full prices up front.
How to Apply
To apply, a special website was launched to fill out a form with the necessary information, including a phone number linked to a Verizon account and an option for how to receive the money, such as a check or bank transfer.
The payment is at least $15 and may be higher depending on how long the customer has used Verizon and the number of customers who file a claim. A complaint must be filed to receive payment and only customers with postpaid wireless accounts or data plans from January 1, 2016 to November 8, 2023 are eligible.
Customers who do not file a lawsuit “will waive any right they may have to sue Verizon for the issues in this lawsuit,” the website reads.
