Telecom major Verizon Communications Inc. has agreed to pay $100 million to settle a class-action lawsuit that accused the company of charging hidden administrative fees to its wireless customers.
The settlement covers Verizon customers who had postpaid wireless service between January 1, 2016, and November 8, 2023, and were billed additional “administrative” or “telecom recovery” fees without clear disclosure.
Eligible users can receive a minimum payment of $15, with the possibility of additional compensation of $1 for each month they were charged such fees, up to a maximum of $100 per person, depending on claim volume.
While Verizon has denied any wrongdoing, the company stated that it agreed to the settlement to avoid prolonged litigation and provide a resolution for affected customers. The case has renewed calls for greater transparency in telecom billing practices, as hidden service fees continue to draw regulatory and consumer scrutiny across the industry.
