Author: Rosalie Hermes
After facing tough allegations, AT&T has finally agreed to provide a massive payout to settle the class-action lawsuit about the company overcharging subscribers with hidden fees for long years.
The plaintiffs argued that the telco company failed to be transparent to customers and did not notify them about the charge of $1.99 they claim it’s for administration. Also, plaintiffs said it is a sly way for the company to increase its base price.
While AT&T has decided to pay the settlement fee, they deny the allegations, and claimed they “clearly disclosed” all the fees to their subscribers.
According to claims, the telco company only agreed to the settlement because it wanted to “avoid lengthy and expensive litigation.” As a result, the deadline to claim the money is less than two weeks.
More details about AT&T’s class-action lawsuit
As AT&T seemingly had no choice but to agree and give out the payout, customers are given a short time frame to claim the money. Eligible customers must apply by October 29, 2022, to ensure they receive the payout.
For AT&T’s class-action lawsuit, the plaintiffs—Ian Vianu, Elizabeth Blum, and Dominic Gutierrez claimed that the monthly maintenance fee associated with each wireless line is a sneaky way to increase its subscription fee and attract more customers because it is not transparent for having higher prices. What’s alarming on the customers’ part is that the fee has been increasing over the years.
Another bewildering accusation the plaintiffs have in their complaint is that the mentioned fee is purposely “buried” in statements of account. This means that the telco company intentionally hid it so that customers won’t notice they are overcharged.
In short, AT&T advertises and promises it has a low price of service but charges more than what it says—a bait-and-switch scheme that is unlawful, unfair, and fraudulent.
Who is eligible to claim money from the AT&T settlement?
The complaint argued that the telco company violated several California laws regarding business practices. That said, only California residents are eligible for money from the AT&T settlement. After all, the complaint is filed in California, with a specific law protecting residents from fraud, false advertising, and unfair business practices.
More specifically, AT&T customers in California with postpaid wireless service plans that were charged administrative fees between June 20 – 2015, and June 16, 2022, are eligible to claim a one-time cash payment from the telco company. It is not clear how many subscribers are qualified for the payment.
The estimated payment is about $20, but the final amount might be higher or lower, but will not be a full refund.
On average, a customer has paid $180 in fees, according to AT&T records.
How to submit a payment claim from the AT&T settlement?
Suppose you think you are entitled to receive a one-time cash payment from AT&T, you will need to submit an application on the site or submit a physical form via mail.
Some of the details required include your name, postal and email address, and AT&T Wireless phone number or account number. As mentioned above, claims must be filed by October 29, 2022.
Finally, the compensation will be paid after the final hearing scheduled on November 3.
Takeaway
Upon the revelation of the class-action lawsuit AT&T faced, it will be a miss-out opportunity to get the claim if you are entitled to it. More than the money, customers claiming the money can be a lesson to the telco company to be more transparent and honest in its business practices.
