$4.45M Detroit Water Rates Class Action Settlement

Consumers and entities who paid or incurred charges for Detroit water service between August 1, 2022, and May 31, 2026, and averaged at least 1.0 MCF of water usage per month during that period qualify.

Former Detroit water customers must submit a sworn claim form identifying their name, address, and the periods during which they incurred or paid the charges; current customers need not submit a claim to receive a credit.

About This Settlement

A class action lawsuit alleged that the City of Detroit charged unfair water rates that violated Michigan law by using 'inclining block' pricing, which resulted in higher-volume users allegedly being charged rates that exceeded the city's actual cost of servicing them. The City of Detroit has not admitted any wrongdoing but has agreed to pay $4.45 million to resolve these claims. In addition to the cash settlement fund, the city has agreed to reduce its tier 2 volume rate by $6.22 per MCF from January 1, 2027, through June 30, 2027, a reduction valued at an estimated $39 million.

Who Qualifies

• You may be eligible to participate in this settlement if you meet all of the following criteria:
• Service Area: You received water and/or sewer services from the City of Detroit
• Class Period: You paid or incurred charges for those services between August 1, 2022, and May 31, 2026
• Usage Threshold: You used an average of at least 1.0 MCF (thousand cubic feet) of water per month during that time period
• Claimant Type: Eligible claimants include both individual consumers and entities (such as businesses)
• Note on proof requirements:* If you are no longer a water and/or sewer customer of the City of Detroit as of August 26, 2026, you must submit a sworn claim identifying your name, address, and the periods during which you incurred or paid the applicable charges. If you remain an active customer as of August 26, 2026, no claim form submission is required — you will automatically receive a credit applied to your water account over a six-month period.

What You May Receive

The amount you may receive varies and is not guaranteed. Eligible claimants may receive a pro rata share of the net settlement fund based on the total amount they paid in volumetric water charges during the class period (August 1, 2022, through May 31, 2026). Claimants who paid more in water charges during this period may receive a larger share of the fund.

• Current customers (active as of August 26, 2026) may receive their estimated share as a credit applied to their water account over a six-month period
• Former customers (no longer active as of August 26, 2026) may receive their estimated share as a cash refund

Final payout amounts will depend on the total number of valid claims submitted and the net amount remaining in the settlement fund after court-approved fees and costs are deducted.

How to File a Claim

1. Visit the official settlement website at DetroitWaterSettlement.com to access claim forms and review official settlement documents.
2. Determine your claim type: If you are still an active City of Detroit water and/or sewer customer as of August 26, 2026, you do not need to file — a credit will be automatically applied to your account. If you are a former customer, you must submit a claim to receive a cash refund.
3. Complete the claim form: Former customers must submit a sworn claim form that includes your full name, address(es) during the class period, and the specific periods during which you incurred or paid Detroit water service charges.
4. Gather any supporting documentation that verifies your water service during the class period (August 1, 2022, through May 31, 2026), such as past billing statements or account records.
5. Submit your completed claim form by August 26, 2026. Claims submitted after this deadline may not be eligible for a settlement payment. If you wish to opt out of or object to the settlement, note that the deadline for exclusion and objection is August 21, 2026.
6. For questions about the claims process, visit DetroitWaterSettlement.com or contact the settlement administrator directly.

Case Details

Settlement: $4.45M Detroit Water Rates Class Action Settlement
Claim Deadline: August 26, 2026
Opt-Out / Objection Deadline: August 21, 2026
Final Approval Hearing: September 25, 2026
Settlement Website: DetroitWaterSettlement.com

This page is for informational purposes only and does not constitute legal advice. Eligibility and payout amounts are not guaranteed. Please consult the official settlement website or a qualified attorney for guidance specific to your situation.