Cash App has agreed to a settlement agreement valued at $12.5 million to resolve allegations it violated Washington law by sending unsolicited referral text messages as part of its referral program. The lawsuit claimed Cash App’s marketing strategy crossed legal boundaries under the Washington Commercial Electronic Mail Act and the Consumer Protection Act, raising serious questions about consumer protection law in the digital age.
Background of the Lawsuit
The complaint alleged that Cash App encouraged users to share an App referral program text to their contacts. This referral program included pre-filled messages that were sent without consent, leaving many Washington residents frustrated.
The lawsuit, Bottoms v. Block Inc., was filed in the U.S. District Court for the Western District of Washington and reviewed by a Washington federal judge. Plaintiffs argued that the practice violated both the Washington Commercial Electronic Mail Act and the state’s Consumer Protection Act.
Settlement Terms
Cash App denied wrongdoing but agreed to settle. However, it set aside $12.5 million for payments. Therefore, eligible users can receive compensation.
The settlement covers Washington residents only. Specifically, it applies to users who received referral texts. These messages were sent between November 14, 2019, and August 7, 2025.
To qualify, users must meet clear conditions. First, they must provide a valid phone number. Next, they must confirm they received messages without consent.
In addition, claimants must complete official claim forms. Meanwhile, the settlement administrator manages the process. They also ensure compliance and provide updates.
Important Deadlines
Claimants must follow strict deadlines. First, the claim deadline is October 27, 2025.
At the same time, the exclusion and objection deadline is also October 27, 2025. Then, the final hearing will take place on December 2, 2025.
To receive payment, claimants must submit a claim. They can apply online or by mail. Meanwhile, the settlement website provides full details.
Claim Process
Consumers can file claims through the online portal. First, they must complete the claim form. They need to enter the phone number linked to the text.
Next, they must confirm residency in Washington. Then, they must declare that they received texts without consent.
The settlement administrator reviews each claim. Meanwhile, they provide updates during the process. For help, users can contact the support team listed in the notice.
Estimated Payments
Each claimant may receive a payment. Estimates range between $88 and $147. However, the final amount may vary.
The total number of claims will affect payouts. In addition, administrative costs will impact the final amount. Therefore, payments may change slightly.
All payments will come from the settlement fund. The agreement already defines this fund clearly.
Broader Implications
This case highlights risks in digital marketing. Companies often use referral programs to grow. However, improper use can break consumer laws.
For example, sending texts without consent violates regulations. Therefore, companies must follow strict compliance rules.
Regulators continue to monitor such practices. They emphasize the need for clear user consent. As a result, businesses must improve transparency.
Role of Settlement Oversight
The settlement administrator plays a key role. They manage claim processing and ensure fairness. They also send official notices and updates.
Meanwhile, they handle user questions and issues. Therefore, they help maintain transparency.
For support, claimants can contact the administrator directly. They can also track claims through settlement portals issues,
Conclusion
At Ted Law Firm The Cash App class action settlement represents more than financial compensation. It affirms that Washington law protects consumers from spam-like practices, whether through email or referral text messages. We serve families across Aiken, Anderson, Charleston, Columbia, Greenville, Myrtle Beach, North Augusta and Orangeburg. By reaching a settlement agreement, Cash App avoids further litigation but also highlights the importance of respecting consumer protection law in marketing.
