Case on Cash App: Company will pay $12.5 million in damages for messages sent without permission
If you have received any promotional message from Cash App without consent while living in Washington state of America, then there is good news for you. Cash App’s parent company Block Inc. has agreed to pay an amount of $12.5 million (about Rs 104 crore) under a legal settlement.
This case is actually a class action lawsuit, in which the company was accused of sending promotional messages to the people of Washington state without their permission. These messages were sent under Cash App’s “Invite Friends” referral program.
What is the whole matter?
This specific case began in the month of November in 2023 wherein a certain Kimberly Bottoms filed a complaint in opposition to Block Inc. The claim alleges that Block Inc. sent promotional messages unsolicited to the complainant. These were under the referral program of the company wherein users were encouraging friend referrals to use Cash App.
Kimberly said that she had neither participated in this program nor registered for any such service, yet she received messages. This violated the rules of the Washington Commercial Electronic Mail Act (CEMA) and the Consumer Protection Act (CPA).
How many people will benefit?
If this agreement gets approval from the court, then about 20 lakh people can get its benefit. These are the people:
- Those who have a Washington state mobile number
- Those who have received any such message from Cash App from November 14, 2019 till now
All of them can get a share in this compensation amount, provided they fill and submit their claim form correctly.
How will you know if you are eligible?
The Settlement Administrator (who will distribute the money) will notify all identified people individually through emails and postcards. Those who do not appear in the system will be informed through online advertisements and other digital means.
The aim is to ensure that no eligible person is left out of the process.
How much will each person get?
The amount of $12.5 million decided by Block Inc. will be distributed among all eligible people who claim.
Estimated payment:
- Each person will get around $88 to $147
- This payment will be pro rata, that is, the more people claim, the less amount each person will get
- According to the CEMA law, the maximum fine for each illegal message could be $500, but this settlement covers 17% to 29% of that amount
For example, if 1 lakh people claim, each person can get up to about $125.
How to get paid?
As soon as the settlement is approved by the court, the payment process will begin. You will be able to choose in your claim how you want the money:
- Check (by mail)
- PayPal
- Venmo
In addition, the Settlement Fund will also pay attorneys’ fees, court costs, administrative costs and a service award to the main plaintiff.
Claim Process – How to Apply?
Although the Settlement website has not been launched yet, once it is up, eligible people will go there and follow the steps given below:
- Enter your phone number and check if it is listed in Washington State
- Certify that you received such a referral message
- Choose your preferred payment method
Note: This entire process will begin only when the court gives preliminary approval to this settlement.
What will be the deadline?
The last date (Claim Deadline) has not been decided yet. As soon as the court approves, the last date will be announced and everyone will be informed.
Cash App’s previous legal disputes
This is not the first case when Block Inc. or Cash App is caught in a legal dispute. In the last few years, many allegations have been made against the company.
| Case | Damages / Penalty |
|---|---|
| Messages sent without permission | $12.5 million (approval pending) |
| Data breach case (2022–2023) | $15 million (resolved in 2024) |
| Lack of fraud protection | $175 million (fined in 2025) |
These cases show that companies will now have to be cautious about user consent and data security.
Who is looking into the case?
In this instance, the case is being fought for plaintiff Kimberly Bottoms by lawyers from the well-established law firms Terrell Marshall Law Group PLLC and Berger Montague PC.
The case is filed in the U.S. District Court of Washington with case number: 2:23-cv-01969-MJP.
Soon, preliminary approval is expected from the court, after which the official website will go live and the claim process will begin.
Lesson for common citizens
This case is not just an opportunity to get money, but it is also a big lesson in digital rights and consumer protection.
What can we learn?
- No app has the right to use your personal information without your permission
- You have to protect your data yourself – like not sharing OTP, checking privacy settings
- If you have had a bad experience with a company or it has violated your rights, you can take legal recourse
Conclusion – Not just money, but a victory of rights
This $12.5 million settlement by Cash App is not just a legal matter. It is a true recognition of the voice of the common people, their complaints and their rights.
If you live in Washington state and you receive a referral message from Cash App without consent If you have received it, then this is your chance. Make a claim, get paid and know that your data is yours.
Disclaimer:
This article is for informational purposes only. All the information given in it is obtained from various sources and may change over time. Please make any claim or take a decision only after checking the official website and court documents.
Gaurav Tagore is a forward-thinking Director known for his impactful work in the education media space. He leads content that helps students make informed academic and career decisions while offering a window into real campus experiences. With a strong focus on clarity and relevance, Gaurav continues to be a trusted voice for student communities across the country.