Verizon Class Action: Autopay Customers Billed for Fraudulent Charges

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Verizon Communications and Cellco Partnership d/b/a Verizon Wireless Service has been hit with a class action lawsuit alleging the company fraudulently overcharged customers for products and services they did not request, purchase or use.

Plaintiff Lowell J. Sidney says he entered into a contract for mobile phone service with Verizon. According to the Verizon class action lawsuit, Sidney noticed an unusually high charge of $231.48 on his credit card for Verizon services in February 2017. He says his regular monthly bill for the phone line he requested, purchased and used was $55.24.

After he noticed this abnormally high Verizon charge, he contacted Verizon to complain. He was transferred to Verizon’s Fraud Services Department, which informed him that in October 2016, a consumer who claimed to be Sidney entered a Verizon store in Florida and ordered a cell phone and phone service from Verizon.

“When the store requested basic identifying information, the Imposter fled the store,” Sidney claims in the Verizon class action lawsuit. “In spite of having no proof of the identity of the Imposter, the payments for this new cell phone and related services which were ordered by the Imposter were attached to Plaintiff’s phone bill in New York, which invoice was on autopay.”

Sidney asserts that neither he nor his agents or representatives were in Florida on the day the fraud was detected by Verizon. He maintains that he did not authorize Verizon to deduct money from his autopay account for a new cell phone, cell phone line or any other service.

The Fraud Services Department reportedly informed Sidney that it was not part of Verizon’s corporate policy to notify customers about potential fraud. According to the Verizon class action lawsuit, Verizon’s policy is to keep services and charges active until the affected consumer notifies the company about the overcharge.

Sidney says that he was charged $210.58 on autopay in October 2016, and another $210.58 in November 2016. According to the Verizon class action lawsuit, these monthly charges continued until he noticed that his bill was unusually high in February 2017.

“Verizon intentionally failed to inform Plaintiff about the fraudulent transaction and overcharges to his autopay account, and subsequently intentionally failed to remove such overcharges from Plaintiff’s account,” the Verizon class action lawsuit states.

By filing the Verizon class action lawsuit, Sidney seeks to represent himself and a Class of other Verizon customers with autopay accounts who have been knowingly overcharged by Verizon for goods and services they did not request, purchase or use.

“As a result of wrongful and unlawful conduct, Verizon has obtained substantial profits and windfalls and have been unjustly enriched at the expense of Plaintiff and members of his class,” the Verizon class action lawsuit states.

The Verizon overcharge class action lawsuit asserts claims for fraud, breach of contract and unjust enrichment.

Sidney is represented by Athas C. Ioannou of The Law Office of Athas C. Ioannou.

The Verizon Overcharge Class Action Lawsuit is Lowell J. Sidney v. Verizon Communications and Cellco Partnership d/b/a Verizon Wireless Services LLC, Case No. 1:17-cv-01850-RJD-RLM, in the U.S. District Court for the Eastern District of New York.