AT&T will shell out $18 million to former customers who say they were unfairly charged high fees to get out of their wireless contracts. Individuals involved in the class-action suit could get up to $140 back, according to the Associated Press.
These early-termination fees have been getting a lot of close scrutiny in recent months. The federal government demanded an explanation of Verizon’s decision to double its ETFs on smartphone users last month. Earlier this month, Verizon also doubled early-termination fees for its FiOS service. Sprint settled a similar case for more than $17 million last summer.
AT&T has denied wrongdoing, but in a statement, said it’s settling to avoid further court costs. No court has ever ruled against the carrier for its ETFs.