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Paramount class action lawsuit accuses the company of running an automatic renewal system

Paramount class action lawsuit accuses the company of running an automatic renewal system

Close-up of a smartphone displaying the Paramount Plus logo, depicting Paramount's auto-renewal class action lawsuit.Close-up of a smartphone displaying the Paramount Plus logo, depicting Paramount's auto-renewal class action lawsuit.
(Image credit: Diego Thomazini/Shutterstock)

Paramount Subscription Class Action Lawsuit Overview:

  • WHO: Plaintiffs Trevor Adkins and Michael Shuler have filed a class action lawsuit against Paramount Global.
  • Why: Paramount is reportedly unresponsive to cancellations of subscriptions to its Paramount+ streaming service and continues to charge auto-renewal fees even when members cancel their subscriptions.
  • Where: Paramount’s class action lawsuit was filed in federal court in New York.

Paramount Global illegally continues to charge consumers for auto-renewal even when they cancel their monthly subscriptions, according to a class action lawsuit filed Dec. 4 in federal court in New York.

Plaintiffs Trevor Adkins and Michael Shuler allege that they subscribed to 30-day free trials of the Paramount+ streaming service and canceled their Paramount subscriptions before the end of the free trial period.

However, Paramount allegedly charged each plaintiff a monthly fee on their credit card after the 30-day trial period, even though they had canceled their subscriptions.

Paramount class action lawsuit claims company knows its cancellation system deceives customers

When they signed up for Paramount’s free trial, Adkins and Shuler were required to provide their credit card information. The terms of the free trial stated that their subscription would automatically renew unless canceled, and that subscribers who canceled the Paramount subscription before the end of the free trial would not be charged, Paramount’s class action lawsuit states.

However, the plaintiffs say they were billed for Paramount’s auto-renewal costs after canceling their subscriptions and that their experience is not an isolated one.

“Paramount is well aware that its cancellation system deceives consumers,” the class action lawsuit states. The plaintiffs claim that “hundreds” of Paramount subscribers have complained that the company does not honor their cancellations.

They point to consumer complaints on the Better Business Bureau website from subscribers who claim they were charged immediately after signing up for a free trial or were subject to an automatic renewal by Paramount even after canceling their subscription.

Adkins and Shuler filed the class action lawsuit against Paramount on behalf of themselves and a group of U.S. consumers who canceled their paid Paramount+ subscriptions but were subsequently billed by Paramount.

The class action lawsuit asserts claims for violations of the Electronic Funds Transfer Act, unjust enrichment and embezzlement, and violations of the consumer protection laws of the states of New York, Michigan, and Kentucky.

Earlier this year, Paramount agreed to pay more than $120 million to settle shareholder claims that the 2019 merger of Viacom and CBS was unfair.

Have you been charged for an automatic renewal by Paramount after canceling your subscription? Share your experience with us in the comments.

The plaintiffs are represented by James J. Bilsborrow of Weitz & Luxenberg PC, Jeffrey D. Kaliel and Sophia Goren Gold of Kalielgold PLLC, and Christopher D. Jennings and Tyler B. Ewigleben of Johnson Firm.

The Paramount automatic renewal class action lawsuit Is Trevor Adkins et al. v. Paramount GlobalCase No. 1:23-cv-10581, in the United States District Court for the Southern District of New York.



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