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Sprint settling class-action ETF lawsuit for $17.5M
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Sprint Nextel has agreed to pay $17.5 million to settle a federal class-action lawsuit over early termination fees (ETFs) that originally claimed Sprint had charged $1.2 billion in illegal ETFs since 1999. The lawsuit was filed in November in the U.S. District Court for the District of New Jersey, days after Sprint said it would institute a new set of rules to pro-rate ETFs.
As part of the settlement, the carrier will put $14 million in a common fund to be distributed among members of the class action. Sprint also will pay $3.5 million in non-cash benefits. The carrier denied the allegations in the lawsuit. Customers are eligible to take part in the class-action lawsuit if they were Sprint CDMA customer, a Nextel iDEN customer, or both, and entered into a wireless contract with the carrier between July 1, 1999, and Dec. 31, 2008, and if their claim relates to ETFs.
In December, Sprint received preliminary court approval to settle the case. The final hearing for the case is set for Oct. 21.
The FCC began looking into the early termination fee model last year, sparking a range of responses from the industry's wireless carriers. Verizon Wireless was the first carrier to pro-rate ETFs, back in November 2006. AT&T Mobility followed suit in October 2007, and T-Mobile USA jumped on the bandwagon in November 2007.
For more:
- see this Sprint statement
- see this ETF settlement page
Related Articles:
Sprint hit with $1 billion ETF lawsuit
Judge orders new trial in Sprint class-action ETF case
Sprint to pay $17.5M ETF settlement
California judge says Sprint must pay $73M in ETF case
Sprint reveals new early termination fee details
Comments
Posted by Anonymous | August 11, 2009 - 5:09pm
What does this mean for those of us who still have sprint?
Posted by ExNext | August 11, 2009 - 5:55pm
If you still have Sprint it means that you have not made a very good choice as they totally stink as a company and as an employer!
Posted by Carlsnet | August 11, 2009 - 6:02pm
Even more so,,, what does that mean to someone like myself, who when trying to cancel the service, (because of dissatisfaction) ended up keeping it to avoid the EFT, and then agreed to a new contract???
Posted by Unhappy Sprint Customer | August 12, 2009 - 12:15am
If you signed a contract with sprint from july 99-dec 08 that included they would charge you an early termination fee (ETF) you are eligible for some sort of benefit. I also have ONLY stayed with Sprint to avoid the $300 per line cancellation fee- which is exactly what they feel is wrong. www.sprintetfsettlement.com can provide more information and help you proceed with filing a claim. Hope this helps.
Posted by Mary Summers | August 12, 2009 - 10:41am
We tried to cancel but were afraid of the fee's
We are still with sprint and experiencing a lot of
problems with reception, dropped calls etc. it is very frustrating, and we are very unhappy. Can we cancel now without penalty? We were told they have many lawyers smarter than us? The legal system needs to put this company out of business.
Posted by Anonymous | August 12, 2009 - 8:36pm
Sprint just sucks at everything they do. worst wireless company out there period.
Posted by Luis | August 29, 2009 - 1:20am
I was a client for over 4 years with Sprint, and recently canceled early. I had two lines, does anyone know whether I should pay the fee's or what should I do? I did file an electronic paper for the lawsuit a while back. I just don;t want to be sent to collections over this if I am not suppose to pay these fee's.
Posted by Justine | September 7, 2009 - 11:21am
I paid the early termination fees and it was worth it, now I have a Straight Talk unlimited talk, text and 30mb data for $45 per month. I'm saving nearly $30 every month plus it's got better reception because it runs on Verizon's network which is nation wide.
Posted by SprintSucks | October 5, 2009 - 2:05pm
Called Sprint & was told I was no longer in a contract the end of this August. Purchased another phone with At&t then got a $224 etf from the bastards at Sprint...they claim that my contract was missed by 8 days and would do nothing to reduce etf. Signed up for the class action to reduce my cost. I will never again patronize Sprint/Nextel...they suck!
Posted by SprintSucks | October 5, 2009 - 2:06pm
Called Sprint & was told I was no longer in a contract the end of this August. Purchased another phone with At&t then got a $224 etf from the bastards at Sprint...they claim that my contract was missed by 8 days and would do nothing to reduce etf. Signed up for the class action to reduce my cost. I will never again patronize Sprint/Nextel...they suck!
Posted by SprintSucks | October 5, 2009 - 2:06pm
Called Sprint & was told I was no longer in a contract the end of this August. Purchased another phone with At&t then got a $224 etf from the bastards at Sprint...they claim that my contract was missed by 8 days and would do nothing to reduce etf. Signed up for the class action to reduce my cost. I will never again patronize Sprint/Nextel...they suck!
Posted by Anonymous | October 6, 2009 - 4:09pm
I moved to Suncom on June, 2008, which in the same month became TMobile. Do I have to take action excluding myself from this settlement in writing or should I just take no action further whatsoever.
Posted by Anonymous | October 20, 2009 - 11:42am
I just cancelled the A -holes they want to charge you for 3-1/2 weeks after cxl because they already billed it - what king of bull%$#@ is that.
Also signed on Feb 1 2009, why can't I get in class action suit??
Posted by lic | December 4, 2009 - 1:43pm
I was a victim of Sprint's incompetence and it costed me $400.00. They charged me $200 per line and the second line was being used by my daughter with a phone that was over 3 years old. They gave me the run-around about replacing my phone that they deemed defective. I was then being charged for service I could not use because I had no operable phone. Spoke to numerous reps who told me something different each time (that was after holding for a minimum of 30 minutes each call). I was a loyal customer for over 6 years and treated like crap. Now I have Verizon and they are great! I am never on hold and I am greaty satisfed with the service I receive. The clarity and phone coverage area is also much better. What I want to know is, when will I be refunded by Sprint?
Posted by Anonymous | January 26, 2010 - 7:56pm
Sprint charged me $50 dollars for a ETF and I was not under contract. It was the year the FCC allowed consumers to switch (Port) numbers to other carriers. When I disputed the charge, it was sent to collections and my creidt rating was negatively affect. How can I get in on this class actions lawsuit?
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