Charging More Than Contract Specifies
North American Bancard, LLC (NAB) and Global Payments Direct, Inc. are resolving a class action with a $15 million settlement. The case, brought by merchants for whom the companies processed payment card transactions, alleged that the companies overcharged by marking up certain fees and adding other, unauthorized fees.
When are price increases fair, and how should they be imposed? The complaint for this action claims that Government Employees Insurance Company (Geico) provided a quote for a six-month car insurance policy, then raised the rate only a few months later, before the end of the six-month period.
Plaintiff William F. Doshier recently took on fake accounts on Facebook in a class action on behalf of Facebook advertisers. This class action is taking on fake accounts on Twitter, again on behalf of advertisers who are charged for what may be “engagements” or clicks by fake accounts.
Dashub, LLC is an automobile dealership that provides the service of bidding at vehicle auctions for would-be individual buyers. But the complaint for this class action claims that Dashub falsifies the amount it pays for the vehicles, thereby breaching its contracts and violating New York’s General Business Law. The complaint alleges the company also separately violates the state’s Vehicle and Traffic Law.
A number of customers have brought class actions against banks alleging unfair overdraft fees, but leave it to Wells Fargo to expand this to yet another kind of wrong: non-sufficient fund (NSF) fees and overdraft (OD) fees assessed on a single transaction. The complaint for this class action alleges that goes against bank agreements as well as reasonable consumer expectations.
Facebook, Inc.’s difficulties with fake accounts have been in the news because of their political influence. But this complaint takes up the problems fake accounts cause Facebook advertisers. Advertisers are billed by the click, so that “invalid clicks” from fake accounts are an expense to them, but the complaint alleges that Facebook is not providing the kind of click reviews it promises.
Ally Financial is settling a class action that alleges it violated the rights of consumers who bought their vehicles at the ends of leases. The complaint claims that the company charged, or allowed dealers to charge, documentary or dealer fees at the end-of-lease purchase.
Ambit Northeast has agreed to a settlement of a class action for Pennsylvania electrical customers. The complaint alleges that Ambit gave consumers a Disclosure Statement limiting its variation of electricity rates but then found other ways to vary those rates, thus breaching its contract with consumers.
24 Hour Fitness is settling both class action and government lawsuits centering on the company’s prepaid fitness club memberships that allow customers to purchase memberships for one to three years. The class action complaints allege that the company told customers purchasing prepaid memberships that renewals would remain at the same prices for life, but then raised renewal prices.
Sunbelt Rentals, Inc. has agreed to settle a class action created from five different cases in five states alleging that Sunbelt charges customers excessive “Pay on Return Refueling Charges” and “Transportation Surcharges” that exceeded Sunbelt’s cost for the services. The plaintiffs claim that Sunbelt thereby breached the customers’ contracts and violated certain state laws.