Keller Grover was co-counsel on the Verizon Landline Third Party Cramming Settlement (Moore et al. v. Verizon Communications Inc. et al., case number 4:09-cv-01823, in the U.S. District Court for the Northern District of California) that made it possible for Verizon landline customers to receive 100% refunds for unauthorized third-party charges. The settlement was approved by United States District Court Judge Saundra Brown Armstrong on August 28, 2013. The Complaint alleged a practice of charging Verizon’s landline customers for products and services that they did not knowingly authorize and the alleged illegal billing and collection of such charges. Plaintiff alleges violation of the Racketeer Influenced Corrupt Organizations Act, 18 U.S.C. §§ 1961-1968; violation of the Telecommunications Act of 1934, 47 U.S.C. §§ 201, et seq. (the “TCA”); and breach of trust. Plaintiff also alleged tortious interference with contract; violation of California Public Utilities Code § 2890 (the “CPUC”), violation of California Business and Professions Code sections 17200, et seq., and breach of contract. The placing of unauthorized charges on customers’ monthly phone bills is commonly known as “cramming.” Verizon denied any wrongdoing. Both sides have agreed to settle the lawsuit to avoid the cost, delay, and uncertainty of litigation. The settlement was negotiated under the supervision of retired judge Daniel H. Weinstein. As part of the Settlement, Verizon has also agreed to require various specific changes to billing practices that are designed to prevent cramming in the future.
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