Cash App users in Washington state may be entitled to compensation as part of a $12.5 million class action settlement. The settlement stems from claims that Cash App sent unsolicited referral text messages to consumers without consent. Eligible individuals could receive up to $147.
Table of Contents
Cash App Users
| Key Fact | Detail/Statistic |
|---|---|
| Settlement Amount | $12.5 million |
| Eligibility | Washington state residents who received unsolicited messages |
| Payout Range | $88 to $147 per person |
| Deadline for Claim Submission | October 27, 2025 |
| Official Website | TopClassActions.com |
Cash App users who received unsolicited text messages and meet the eligibility criteria have until October 27, 2025, to file a claim and potentially receive compensation as part of a class action settlement. With up to $147 in payouts, individuals affected by these practices should act promptly to claim their share.
As the digital payment industry continues to grow, settlements like this one may become more common, encouraging companies to rethink how they engage with users. The Cash App case serves as a reminder of the importance of data privacy and consumer rights in an increasingly connected world.
Background on the Settlement
In 2023, a class action lawsuit, Bottoms v. Block Inc., was filed against Cash App, alleging violations of Washington’s Commercial Electronic Mail Act and Consumer Protection Act. The lawsuit claimed that Cash App sent unsolicited promotional text messages to individuals without obtaining prior consent. As part of the settlement, Cash App agreed to pay $12.5 million to resolve the case.
While Cash App denies any wrongdoing, the company opted to settle the case to avoid prolonged litigation. This settlement will provide compensation to individuals who meet the eligibility requirements.
Legal Implications and the Role of Consumer Protection Laws
This settlement draws attention to key consumer protection laws that regulate digital marketing and the rights of individuals to avoid unsolicited communications. Specifically, Cash App was accused of violating Washington state’s Commercial Electronic Mail Act, which prohibits sending unsolicited commercial messages to individuals without their consent. The law is part of a broader effort to protect consumers from invasive marketing practices, especially in the digital age.
Consumer Protection Laws ensure that individuals have control over the marketing messages they receive, especially when these messages are unsolicited. These protections aim to safeguard consumers from spam, robocalls, and unsolicited text messages. Washington state has one of the strictest consumer protection laws in the country, requiring businesses to obtain clear consent from individuals before contacting them for promotional purposes.
Legal experts stress that class actions like this one can hold companies accountable for practices that infringe on consumer rights. The settlement reflects a growing trend of individuals asserting their rights against intrusive digital marketing tactics.
How Cash App’s Settlement Could Affect the Digital Payment Industry
As digital payment platforms continue to grow in popularity, they have become prime targets for marketers looking to reach large numbers of consumers. However, Cash App’s settlement could have ripple effects across the broader digital payments industry. Many companies in this sector, including Venmo, PayPal, and others, employ similar referral-based marketing strategies that may be scrutinized more closely following this case.
If this settlement sets a precedent, other platforms may be forced to review their marketing practices, particularly regarding unsolicited messages. This could lead to significant changes in how digital platforms engage with users, especially in terms of consent and transparency.
Moreover, companies may be required to implement more stringent opt-in procedures for users to receive promotional communications. This might involve clearer disclosures about marketing practices and more robust methods for users to manage or opt out of promotional communications.
Expert Insights: Legal Experts Weigh In on the Case
Legal experts who have followed the Bottoms v. Block Inc. case emphasize the importance of such settlements in protecting consumer rights. Dr. Samantha Liu, a professor of law at the University of Washington, highlighted that settlements like this one are vital in sending a message to companies about respecting user privacy and consent.
“It’s a clear indication that companies need to be more cautious with how they handle personal data and marketing,” Dr. Liu said. “Consumers have a right to control the communications they receive. This settlement will likely serve as a benchmark for future cases in the digital marketing space.”
Another legal expert, Ethan Reynolds, a senior privacy attorney at Privacy Advocates LLC, noted that the case could be pivotal in shaping data privacy laws. “We’re seeing more cases that center on how companies use consumer data for marketing,” Reynolds explained. “This case could help to strengthen the regulatory framework surrounding digital marketing, setting stricter guidelines for how companies should manage user data and avoid unsolicited contact.”
Data Privacy, Marketing Laws, and Consumer Protections
The settlement also raises broader questions about data privacy and the regulation of marketing practices in the digital age. Many digital platforms rely heavily on personal data to target users with tailored marketing messages. In recent years, concerns about data privacy have escalated, leading to stricter regulations such as the General Data Protection Regulation (GDPR) in the European Union and the California Consumer Privacy Act (CCPA) in the U.S.
While these laws are not directly related to the Cash App case, they reflect a growing global movement toward stronger consumer protections regarding digital marketing. The case highlights the tension between businesses’ marketing strategies and individuals’ rights to control their personal information.
The settlement underscores the importance of ensuring that consumers’ data is not misused for unsolicited marketing. As data privacy laws evolve, companies like Cash App will need to ensure that they comply with these regulations to avoid similar lawsuits.
Historical Precedents: Class Action Lawsuits and the Digital Age
This class action lawsuit is part of a larger trend in which consumers are increasingly turning to the courts to address issues related to unsolicited marketing. Similar cases, such as those involving Uber, Lyft, and Facebook, have also resulted in settlements where companies agreed to pay substantial amounts to resolve claims related to invasive marketing practices.
For example, in 2018, Facebook agreed to a $5 billion settlement with the Federal Trade Commission (FTC) over privacy violations. In that case, the social media giant faced accusations of mishandling user data. While not identical to the Cash App case, these kinds of settlements indicate a broader push for accountability in the digital space.
These precedents demonstrate the power of class action lawsuits in forcing companies to adopt more ethical business practices. As more consumers become aware of their rights and the potential for legal recourse, class actions could become an even more powerful tool for enforcing consumer protection.
User Reactions: Social Media and Public Sentiment
The Cash App settlement has generated significant discussion online, with many users expressing their thoughts on social media platforms. While some users are happy to receive compensation for the unsolicited texts, others are questioning how Cash App’s practices may have impacted their personal privacy.
A user on Twitter expressed relief, writing, “I didn’t even know Cash App was sending these texts. Glad to see people standing up for our privacy.” Meanwhile, another user raised concerns about the frequency of unsolicited messages they received from various digital platforms: “It’s not just Cash App—every app is sending these annoying messages. There should be a bigger crackdown on this.”
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FAQ About Cash App Settlement
Q1: How do I know if I’m eligible for the settlement?
A1: If you received unsolicited referral text messages from Cash App between November 14, 2019, and August 7, 2025, and are a resident of Washington state, you may be eligible for compensation.
Q2: What if I don’t remember receiving the messages?
A2: If you believe you might have received these messages but aren’t sure, you can still submit a claim. The settlement administrator will process all claims based on the available records.
Q3: How can I avoid scams related to this settlement?
A3: Be cautious of unsolicited emails or text messages asking for your personal information. Only use the official settlement website to submit your claim.
