T-Mobile Class Action Lawsuit: Telecom Giant Accused of Hiding Fees

Case Overview: A class action lawsuit claims T-Mobile misled customers with hidden fees disguised as government-mandated charges.

Consumers Affected: T-Mobile customers who have paid the "Regulatory Programs and Telco Recovery Fee."

Court: U.S. District Court for the Central District of California

A class action lawsuit has put T-Mobile under the spotlight, accusing the telecom giant of charging customers extra fees disguised as government-mandated charges. Filed in California federal court, the lawsuit takes aim at the “Regulatory Programs and Telco Recovery Fee” (RPTR Fee), which has been added to customer bills for nearly two decades.

This fee, which costs $3.49 per line each month, has been grouped with legitimate government taxes on billing statements. According to the lawsuit, this placement misleads customers into believing the charge is required by federal regulation.

T-Mobile Customers Allege Misleading Fees on Bills

The group of plaintiffs behind the lawsuit argues that the RPTR Fee is neither required by law nor linked to actual operational expenses. Instead, they allege that T-Mobile uses the fee to boost its revenue while presenting it as something outside the company’s control.

The plaintiffs further claim that T-Mobile’s Subscriber Agreement fails to provide details about the fee’s purpose or how frequently it is applied. The agreement also allows the company to adjust fees without notice, leaving customers unaware of increases.

“Consumers have been paying this charge without realizing it’s not what it seems,” the complaint states.

T-Mobile Accused of Blocking Arbitration Attempts

The lawsuit also highlights a dispute over T-Mobile’s arbitration policy. In 2023, the plaintiffs attempted to address their concerns through individual arbitration claims filed with the American Arbitration Association (AAA).

However, T-Mobile allegedly refused to participate in the arbitration process or cover the associated fees. This led to the closure of the cases, forcing the plaintiffs to seek resolution through the courts instead.

T-Mobile Faces Other Legal Challenges

T-Mobile has faced legal scrutiny before. Earlier this year, the company was accused of breaking its promise to customers by raising prices on plans that were advertised as having a “lifetime” price guarantee.

And in November, T-Mobile agreed to a $3.65 million settlement over claims that it misclassified employees to avoid paying overtime wages.

In the T-Mobile hidden fees class action lawsuit, the plaintiffs are seeking to represent all customers who have paid the RPTR Fee, with the lawsuit calling for financial damages, refunds, and changes to T-Mobile’s billing practices.

Case Details

• Lawsuit: Beets et al. v. T-Mobile USA Inc.
• Case Number: 2:24-cv-09344
• Court: U.S. District Court for the Central District of California

Plaintiffs' Attorneys

• Alex Winnick (Winnick Law PC)
• Evan Murphy (Murphy Advocates LLC)
• Maurice Mitts (Mitts Law LLC)

Are you a T-Mobile customer? What are your thoughts on this lawsuit? Share your experience in the comments below.