Verizon Class Action Settlement Payment 2024, What is the amount and Payout Date?

Verizon Wireless faced significant scrutiny in 2024 due to a $100 million class-action lawsuit settlement over allegations of deceptive advertising practices. The lawsuit centered on Verizon’s failure to disclose specific administrative fees in its advertised prices, misleading customers about the actual cost of their plans. This practice, deemed deceptive under consumer protection laws such as the Federal Trade Commission Act, painted a misleading picture of Verizon’s pricing.

Here’s a breakdown of the settlement details, including eligibility, compensation amounts, and the claims process.

The Class-Action Lawsuit and Allegations

The lawsuit accused Verizon Wireless of misleading advertising by omitting administrative and telecom recovery fees from its promotional materials. Customers argued this created the false impression that Verizon’s plans were cheaper than they actually were, pushing them to select plans under false pretenses. Such practices directly contradict regulations that require transparent and accurate advertising.

Settlement Breakdown and Compensation

Verizon agreed to establish a $100 million fund to compensate affected customers. Here’s how the settlement works:

Payment Type	Details
Base Payment	Eligible claimants will receive a flat payment of $15.
Monthly Service Bonus	$1 for each month customers were charged the disputed fees (capped at $85).
Maximum Payment	Total compensation per claimant is capped at $100.

The exact payout depends on the number of valid claims and the duration customers were subjected to these fees.

Eligibility Criteria

To qualify for compensation, claimants must meet the following criteria:

• Be a Verizon postpaid wireless or data plan customer between January 1, 2016, and November 8, 2023.
• Have been charged the administrative or telecom recovery fees during this period.

Timeline for Settlement Payments

The settlement became effective after the final appeal was withdrawn on September 20, 2024. Payments to eligible claimants are scheduled to begin in January 2025, either via check or electronic transfer.

If a settlement check is uncashed or cannot be delivered, the funds will be treated as unclaimed property. They will follow state-specific unclaimed property regulations, with related administrative costs deducted proportionally.

The Claims Process and Deadline

The window for submitting claims has already closed. Previously, eligible customers could file claims through these steps:

1. Verify eligibility on the settlement website.
2. Access and complete the claim form.
3. Provide necessary information, including contact and account details.
4. Submit supporting documents, such as billing statements.
5. Send the completed form online or by mail before the deadline.

Unfortunately, any customer who missed the submission deadline is no longer eligible for compensation.

Key Takeaways

This lawsuit underscores the importance of transparency in advertising and adherence to consumer protection laws. For customers, it highlights the value of closely reviewing billing statements and staying informed about legal remedies for deceptive business practices.

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