The lawsuit accused the company of sending unsolicited spam text messages through its “Invite Friends” referral program, allegedly violating two state consumer protection laws:
- The Washington Consumer Electronic Mail Act
- The Washington Consumer Protection Act
While Block has not admitted any wrongdoing, it agreed last month to resolve the lawsuit with a $12.5 million payout.
Who qualifies for the Cash App settlement?
According to CNET and Newsweek, the settlement only applies to residents of Washington state who received these marketing messages between November 14, 2019, and an undetermined end date.
Block is expected to notify eligible people via email or physical mail based on phone records.
An estimated 2 million people may fall under this class, according to CNET’s reporting.
How much could you receive?
Payouts will depend on how many people submit valid claims. If all 2 million eligible recipients participate, each could receive between $88 and $147, CNET and Newsweek reported.
How to apply?
No official claim form or deadline has been announced yet. However, eligible users are encouraged to watch for an official notice from Block and submit claims promptly once the window opens.
This is not the first time Block has faced such allegations. In 2024, the company paid $15 million in a separate class action over data misuse, and later faced $175 million in penalties from the Consumer Financial Protection Bureau for security lapses.