Overview
The lawsuit being settled concerns people who were billed for a $3.95 monthly recurring charge (MRC) for pre-subscribed residential long-distance service under AT&T’s Basic Rate Plan by AT&T at some point since January 2004, even though they had not used AT&T for residential long-distance telephone service since August 2001. The lawsuit alleges that AT&T had no right to bill these people for the charge. Under the settlement, AT&T must pay all valid claims from class members; notice and administrative costs; and attorneys’ fees and expenses.
The complaint alleges AT&T’s actions violated the Federal Communications Act, 47 U.S.C. §§ 201-202, the Illinois Uniform Deceptive Trade Practices Act, 815 ILCS 510/1 et seq., and the Illinois Consumer Fraud Act, 815 ILCS 505/1 et seq., and gave rise to claims for unjust enrichment, and for money had and received.
The Court in charge of this case still has to decide whether to approve the settlement. AT&T denies all allegations of wrongdoing or liability against it. AT&T says it is settling to avoid the burden and expense of continued litigation. Payments will be made to qualified class members if the Court approves the settlement and after any appeals are resolved. Please be patient.
Benefits to the Class
If The Settlement Is Approved Then:
- You Will Receive A Cash Payment, as described in the Notice.
- You Will Not Have To Pay AT&T For The $3.95 MRC (monthly recurring charge).
- AT&T Will Pay Additional Litigation Costs, including costs of giving notice to the class and settlement administration; any Court-approved incentive awards to the named plaintiffs; and any Court-approved award of attorneys’ fees and expenses to Plaintiffs’ Counsel. The settlement requires AT&T to pay out a minimum of $1,500,000 for class members’ claims, notice costs and administrative expenses. If the sum of class member payments, notice costs and administrative expenses is less than $1,500,000, the remainder will be donated to charity or paid as determined by the Court. There is no maximum limit on the total amount AT&T may have to pay on class members’ claims.
If The Settlement Is NOT Approved Then:
- You will not receive a cash payment.
- AT&T may collect monies from you for the $3.95 MRC (monthly recurring charge).
To request a payment, you must complete and send in a claim form. Please provide all requested information; sign and date the form; and mail it to the Claims Administrator's address provided on the form, postmarked no later than January 31, 2009. You may also fill out a claim form on this website, so that it is submitted no later than January 31, 2009. If filing online, you must also mail a signed Certification to the Claims Administrator postmarked no later than January 31, 2009.
Exclusions and Objections
The deadline to exclude yourself from the settlement class or object to the settlement was August 22, 2008. For more details on exclusion and objection procedures, please consult the Notice.
Fairness Hearing
The Court will hold a hearing on September 4, 2008, at 9:30 a.m., in Courtroom 7, on the third floor, of the United States District Court for the Southern District of Illinois, 750 Missouri Avenue, East St. Louis, Illinois 62201. At the hearing, the Honorable David R. Herndon, Chief Judge of the Court, will consider (a) whether to approve the settlement as fair, reasonable, and adequate for the class; (b) whether to enter a judgment granting approval of the settlement and dismissing the lawsuit with prejudice; and (c) whether to grant the application of Plaintiffs’ Counsel for incentive awards, attorneys’ fees and expenses.
| Date | Case-Related Event |
|---|---|
| August 22, 2008 [Expired] |
Request for Exclusion Deadline (postmarked) |
| August 22, 2008 [Expired] |
Objection Filing Deadline (postmarked) |
| September 4, 2008 at 9:30 a.m. |
Fairness Hearing |
| January 31, 2009 | Claim Form Deadline (postmarked) |