BATON ROUGE, LA (WAFB) - Louisiana Attorney General Buddy Caldwell outlined various actions against T-Mobile for "Mobile Cramming".
Caldwell, along with AGs from the other 49 states, the District of Columbia, the FTC, and the FCC has reached a compromise with T-Mobile which includes at least $90 million in nationwide payments for Mobile Cramming, which is defined as placing charges on telephone bills that were not authorized by the consumer.
Victims of Mobile Cramming reported charges, typically $9.99 per month, for "premium" text message services that they never requested or heard of before.
The settlement says that T-Mobile must pay at least $67.5 million directly to customers, which may be paid by forgiving debts that customers owe T-Mobile. $18 million will go to the 50 Attorney Generals, and $4.5 million will go to the FCC. The Louisiana Department of Justice will receive $259,010.63 for their work in this litigation.
"This is a victory for consumers, businesses, and cell phone users across Louisiana," said Attorney General Caldwell. "The settlement brings to an end the outrageously deceptive practice of mobile cramming and helps to ensure that consumer protections are in place."
Louisiana consumers can submit claims under the settlement program by visiting www.t-mobilerefund.com. On that website, consumers can submit a claim, find information about refund eligibility, learn how to obtain a refund, and request a free account summary that details premium text message service purchases on their accounts.