Ashley Milano  |  October 21, 2016

Category: Closed Class Actions

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This settlement is closed!

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After 13 years of litigation, a Stipulation of Settlement has been reached between Sprint Spectrum LP (Sprint) and a group of account holders claiming Sprint’s $150 and $200 flat-rate early termination fees (ETFs) violated California law.

In the lawsuit, the plaintiffs contend that Sprint’s flat ETFs of $150 and $200 issued between July 23, 1999 and Mar. 18, 2007 were unlawful because Sprint did not, before inserting an ETF provision into its subscriber contracts, conduct a “reasonable endeavor” to make certain that they did not exceed the actual harm Sprint would suffer from the early termination of consumer contracts, as California law required.

Plaintiffs claimed that by inserting an ETF provision into its subscriber contracts, and by imposing ETFs on and collecting them from Class Members, Sprint violated California’s Unfair Competition Law, Business & Professions Code and the Consumer Legal Remedies Act.

Under the terms of the settlement, Sprint will pay compensation in the amount of $125 per ETF to Class Members who paid ETFs imposed on them for contract terminations that occurred during the Class Period.

The settlement also provides for the resolution through binding arbitration of the parties’ dispute about the attorneys’ fees, costs and expenses to be paid to the attorneys for the Class.

Sprint denies any wrongdoing and denies the plaintiffs’ allegations. In fact, Sprint contends that its ETFs were legal, that it lost profits, and is entitled to an award of damages, as a result of the early termination of the Class Members’ contracts.

Currently, Sprint’s cross-claim for “lost-profits” damages has not yet been decided in the lawsuit. Therefore, it has not yet been determined by what amount, if any, the Class’s refund will be reduced or eliminated entirely due to a complete setoff.

Sprint claims that the actual “lost-profits” damages it suffered as a result of the early terminations exceeds the $73,775,975 of ETFs that the Class Members paid, and that therefore the Class should recover nothing.

Plaintiffs claim that the “lost-profits” damages Sprint suffered, if any, are less than the amount of ETFs the Class Members paid, therefore they are entitled to a net refund of the ETFs they paid.

Class Members who wish to exclude themselves or object to the terms of the settlement must do so by Nov. 23, 2016.

Who’s Eligible

You are an eligible Class Member if you had a wireless telephone personal account with Sprint with a California area code and a California billing address and were charged (and/or paid) a flat fee early termination fee from July 23, 1999 to Mar. 18, 2007, or were charged (and/or paid) an ETF under a Nextel cellphone contract that was initiated on or after Aug. 12, 2005, and terminated on or before Mar. 18, 2007.

Potential Award

$125 for each ETF paid

“If (1) you are the Account Holder and had a Sprint cellphone account for personal use, with a California area code and a California billing address, (2) you paid one or more Sprint flat-rate ETFs for an early contract termination that occurred on or after July 10, 1999 and on or before March 18, 2007, or paid an ETF under a Nextel cellphone contract that was initiated on or after August 12, 2005, and terminated on or before. March 18, 2007 and (3) you submit a claim on or before April 25, 2017, then you may be eligible to recover $125 for each ETF you paid.”

Class Members who were charged an ETF by Sprint but did not pay the ETF will not be entitled to receive any money under the settlement.

Proof of Purchase

N/A.  Eligible Class Members must provide the phone number, address, and account number associated with the Sprint or Nextel account.

Claim Form

CLICK HERE TO FILE A CLAIM »

Claim Form Deadline

04/25/2017

Case Name

Ayyad v. Sprint Spectrum L.P., Case No. RG03-121510, in the Superior Court of California, County of Alameda

Final Hearing

12/09/2016

Claims Administrator

Sprint California ETF Settlement
c/o KCC Class Action Services
PO Box 30238
College Station, TX 77842-3238
1-855-730-8651

Email: info@SprintCaliforniaETFSettlement.com

Class Counsel

Alan R. Plutzik
BRAMSON PLUTZIK MAHLER & BIRKHAEUSER LLP

Scott A. Bursor
BURSOR & FISHER PA

Defense Counsel

Joseph A. Boyle
KELLEY DRYE & WARREN LLP

A. Brooks Gresham
MCGUIREWOODS LLP

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20 thoughts onCalifornia Sprint Early Termination Fee Class Action Settlement

  1. Big Joe says:

    Any updates ?

  2. Brandy Clark says:

    Any update?

  3. jesse delafuente says:

    I think my check was mailed to a previous address. I never received my settlement.

  4. Samantha says:

    Has anyone received benefits?

    1. Shaun says:

      I did today in California

  5. ANGELLIA ROWE says:

    Clicked on “click here to file a claim” but it says “error page”. How do I file my claim!!??? Time is running out.

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