In a significant development for FloSports subscribers, the proposed class action lawsuit against the streaming service has been settled for $1.55 million. The case, which alleged illegal automatic renewal practices by FloSports, was dismissed after this settlement agreement.
FloSports, known for providing live and on-demand access to various sports competitions, faced accusations of violating federal and state laws by automatically renewing subscriptions without proper authorization from customers. The lawsuit claimed that the company misled consumers into thinking they were signing up for monthly services but charged them annual fees instead.
The settlement, which received final court approval on February 28, 2024, applies to subscribers who, from August 29, 2018, through June 15, 2023, enrolled in an automatically renewing FloSports subscription using a billing address in California, New York, North Carolina, Oregon, Florida, Illinois, Washington D.C., North Dakota, Virginia, Hawaii, or Vermont.
According to the official settlement website, class members had until January 25, 2024, to file a claim for settlement benefits. Eligible individuals could choose between a pro-rated cash payment of up to $30 for annual subscribers or up to $6 for monthly subscribers. Alternatively, they could opt for an electronic voucher for a free pay-per-view event from FloSports, with certain exceptions. Active subscribers could also choose a 10 percent discount on their next FloSports renewal charge, which would automatically convert to a free pay-per-view event voucher.
However, multiple sources have reported that settlement checks distributed to consumers are now coming back with “insufficient funds,” adding another layer of frustration for those affected by FloSports’ practices.
In early June 2024, the class action administrator issued a statement addressing the bounced checks: “We are the class action administrator and would like to advise that the settlement payments did not bounce due to any fault of FloSports and instead was caused by an issue with our (Settlement Administrator) bank. Please see www.fsrenewalsettlement.com for more information.”
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The settlement website lists this update as of June 7:
- All FloSports Renewal Settlement payments have been disbursed as of May 29, 2024.
- Due to a technical error with the administrator’s bank, the first group of claimants to cash payments received a bounced check error. All of the impacted claimants were mailed a replacement check by the administrator that should be received no later than June 15, 2024. Please do not attempt to redeposit your original check as it has now been voided and will be rejected for payment. The failure of your check to clear is not due to any fault of FloSports.
- We apologize for the inconvenience that this has caused. Please contact the settlement administrator with any questions regarding the bounced payment, or if you incur any bank fees due to this issue, via email at [email protected] or via phone at 1-888-297-5991 so that we may assist you further.
The site indicates that class members should receive their benefits 90 days after the settlement’s final approval and after any appeals are resolved. The two-page stipulation of dismissal for this lawsuit was submitted to the court on February 29, 2024, and the case was officially dismissed the following day.
This settlement marks a crucial resolution for many consumers who felt wronged by FloSports’ subscription practices. It underscores the importance of companies adhering to transparent and lawful subscription renewal processes.
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