Law firms Seeger Weiss LLP and Cohen Milstein Sellers & Toll PLLC announced today that the U.S. District Court of New Jersey has granted final approval to a proposed settlement of a consumer class action against telecom provider Vonage Holdings Corp. VG challenging the company's sales and marketing practices. The final settlement of In re Vonage Marketing and Sales Practice Litigation follows a fairness hearing on May 12, 2011. The settlement will likely provide dollar-for-dollar recovery to most settlement class members.
This multi-district litigation involved Vonage's promotional "one month free" and "money back guarantee" offers and application of certain charges (including disconnect, cancellation and termination fees), and subscription fees despite requests for cancellation, which allegedly violated the law. Seeger Weiss partner Jonathan Shub and associate Scott George served as co-lead counsel in this case, along with Andrew Friedman and Victoria Nugent of Cohen, Milstein.
Vonage agreed to pay $4.75 million to fund the settlement, which offers eligible class members reimbursements for certain payments made by Vonage subscribers. Class members includes anyone in the United States who subscribed to Vonage services on or before January 3, 2011, with certain exclusions, and who was unable to receive a full month of free service, did not receive a full money back guarantee under certain circumstances, was charged disconnection fees after cancellation, or paid for monthly service after requesting cancellation.
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