A class action settlement has been announced involving Cash App, the popular mobile payment service. This follows a lawsuit that accused its parent company, Block Inc., of sending unwanted text messages through its “Invite Friends” referral program. If you received one of these texts and lived in Washington State, you could be eligible for a payment of up to $147.
Settlement Details
The lawsuit was filed by Kimberly Bottoms in a federal court in Washington. She claimed that Cash App sent unsolicited promotional texts, which violated two state laws: the Washington Consumer Electronic Mail Act and the Washington Consumer Protection Act. These laws protect consumers from spam and unwanted marketing messages.
The messages in question were part of Cash App’s referral system, where users were encouraged to invite friends to the app. The lawsuit said people were being sent messages without their consent. Although Block Inc. denies it did anything wrong, the company has agreed to settle the matter to avoid a long court battle.
What the Settlement Includes
Block Inc. will pay a total of $12.5 million to resolve these claims. The money will be used to pay eligible people who got these text messages. The payments will be divided based on how many people submit valid claims. After covering legal fees and other costs, individuals who qualify could receive between $88 and $147 each.
To qualify, you must have received a referral text message from Cash App while living in Washington between November 14, 2019, and a date that will be confirmed later. The settlement specifically targets people with Washington area code phone numbers.
How to File a Claim
Right now, the website where you can file a claim is not live. However, people interested in participating can sign up for newsletters that will send updates as soon as the claims process begins. Once the site goes live, you’ll be able to submit your information and choose how you’d like to be paid—either by check or electronic transfer through services like Venmo or PayPal.
How You’ll Know If You’re Eligible
If you’re part of the group covered by the settlement, you may receive an email or postcard notifying you. For people who can’t be reached this way, an online notice will be published to help spread the word. It’s important to respond and submit your claim before the deadline, which will also be announced once the site is available.
Why the Payments Vary
The payment amount each person receives depends on how many people file valid claims. The total fund will be divided fairly, which means more claimants will result in smaller individual payments. The maximum anyone is expected to receive is around $147.
Other Legal Issues with Cash App
This isn’t the first time Cash App has faced legal trouble. In January 2024, the Consumer Financial Protection Bureau fined the company $175 million for failing to offer proper customer service and fraud protection. In 2023, Cash App also paid $15 million to settle claims related to a data breach.
Why This Settlement Matters
This class action case aims to hold companies accountable for following consumer protection laws. Even though Cash App didn’t admit fault, this settlement ensures that people affected by these unsolicited messages are fairly compensated.
What You Should Do Now
If you think you may be eligible for the settlement, keep an eye out for notifications or sign up for updates. Make sure your contact information is up to date and prepare to file a claim once the official website launches. Choosing direct deposit options like PayPal or Venmo can help you receive your payment faster.
Frequently Asked Questions
What is this settlement about?
It’s about Cash App sending unwanted promotional texts through its referral program, which violated consumer laws in Washington State.
Who filed the lawsuit?
Kimberly Bottoms filed the case in federal court in Washington.
Who qualifies for the payment?
Anyone who got one of these texts while living in Washington between November 14, 2019, and a future date still to be announced.
How much could I get?
You could receive between $88 and $147, depending on how many people file claims.
How will I be paid?
Payments will be sent by check or through services like Venmo or PayPal.
When can I file a claim?
Not yet—the claim site hasn’t launched. But you can sign up for updates to be notified when it does.
How will I know I’m eligible?
You might get a postcard or email. There will also be online notices if you’re not easily reachable.
Is this the only lawsuit Cash App has faced?
No. Cash App has also paid millions in other cases, including one over poor customer service and another over a data breach.
Why is the payment amount not fixed?
Because the money will be split among everyone who files a valid claim. The more people who claim, the less each person receives.
How can I stay informed?
Subscribe to email updates or check the settlement website once it’s launched for all the latest info.
