Class action lawsuit against T-Mobile accuses the company of raising prices despite promising not to do so

Overview of the T-Mobile pricing class action lawsuit:

• WHO: A group of consumers has filed a class action lawsuit against T-Mobile USA Inc.
• Why: Consumers claim that T-Mobile violated the warranty that certain wireless plans offered lifetime rates.
• Where: The class action lawsuit against T-Mobile was filed in federal court in New Jersey.

A new class action lawsuit alleges that T-Mobile breached its warranty that the terms of certain wireless service plans would last for life.

A group of consumers claims that T-Mobile changed their cell phone contracts to a more expensive plan earlier this year without their consent, even though customers were guaranteed that the contracts would be valid either for life or for as long as they wanted.

“T-Mobile has failed its customers by raising prices on all plans, even though the prices were promised as guaranteed for life,” T-Mobile’s class action lawsuit states.

The consumer group seeks to represent a nationwide class and subclasses of consumers in Georgia, Nevada, Pennsylvania and New Jersey who subscribed to a T-Mobile ONE plan, Simple Choice plan, Magenta, Magenta Max, Magenta 55+, Magenta Amplified or Magenta Military plan from T-Mobile that included the promise of a lifetime price guarantee and then had their price increased without their consent.

T-Mobile promised rates for T-Mobile ONE plans would never change, class action lawsuit says

Consumers argue that T-Mobile introduced the T-Mobile ONE wireless plans – which the company describes as a “termination agreement” – in 2017 and allegedly promised at the time that the prices of the plans would never change.

However, in 2020, T-Mobile completed a merger with Sprint. At the time, Sprint promised not to raise the prices of its phone plans for three years, according to T-Mobile’s class action lawsuit.

“Three years have now passed and the wireless landscape continues to shrink, leaving consumers with fewer choices,” T-Mobile’s class action lawsuit states.

Consumers argue that T-Mobile is guilty of fraud and false advertising, as well as negligent misrepresentation under common law, and violated New Jersey law. Consumer Fraud ActThe Georgia Uniform Deceptive Trade Practices ActThe Nevada Deceptive Trade Practices Act and that Pennsylvania Unfair Trade Practices and Consumer Protection Act.

The plaintiffs are demanding a jury trial and are seeking injunctive relief and an award of actual damages for themselves and all class members.

Mediation for a class action lawsuit related to the merger of T-Mobile and Sprint failed at the beginning of the yearThe lawsuit argues that T-Mobile forced mostly minority-owned stores to close as part of the merger, even though the company had told Congress and the public that it would open hundreds of stores.

Did T-Mobile raise your cell phone plan even though you promised not to? Let us know in the comments.

The plaintiffs are represented by Bruce H. Nagel and Randee M. Matloff of Nagel Rice, LLP.

The Class action lawsuit over T-Mobile prices Is Oddo et al. v. T-Mobile USA Inc.Case No. 2:24-cv-07719, in the United States District Court for the District of New Jersey.

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