Verizon Wireless’s Unlawful Late Fees to Customers

Practice Areas :: Class Actions :: Gellis v. Verizon

Catherine Gellis v. Verizon Communications, Inc.

Alameda Superior Court, Case No. RG–07330354

This class action lawsuit aims to stop and redress Verizon Wireless’s practice of imposing unlawful monetary penalties—in the form of a minimum $5 “late payment charge”—on its California personal wireless telephone customers. The lawsuit alleges that Verizon Wireless’s collection of such unlawful charges simply serves to increase its profits at the direct expense of California consumers, who have no power to negotiate such terms.

The lawsuit charges that the late fee is unlawful under the consumer protection provisions of California Civil Code section 1671 because it is neither “impracticable” nor “extremely difficult” to ascertain the actual damage Verizon Wireless suffers as the result of late payments of this type, and because the fee does not reflect any reasonable effort to estimate such damage. It is further alleged that imposition of such late charges is, likewise, an unfair business practice prohibited by Business and Professions Code sections 17200 et seq.

Plaintiffs allege that Verizon Wireless’s unlawful imposition of these late fees have injured thousands of consumers throughout California, and continue to this day. This class action lawsuit seeks to obtain appropriate relief for all affected Verizon Wireless customers.

If you believe you have been a victim of these practices, or have related information, please contact us at pfredman@braytonlaw.com.

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Verizon Late Fee Class Action Events and Updates:

• Press Release: 6/12/07 Lawsuit seeks to end Verizon’s practice of charging minimum late fees to California customers; claims such fees are illegal under consumer protection statutes that prohibit late fees that exceed actual damages caused by the late payment.
• Complaint: 6/12/07 Gellis v. Verizon Communications, Inc.