SiriusXM Faces Invoice Fee Class Action

February 11 2013

SiriusXM Faces Invoice Fee Class Action New York, NY: A federal consumer fraud class action lawsuit has been filed against SiriusXM Radio Inc, over allegations the satellite radio company illegally charges a $2 invoice administrative fee to “hundreds of thousands” of subscribers, in violation of its subscription agreements.

Plaintiffs Alvin Kaufman and Richard Laluna, who filed Kaufman v. Sirius XM Radio Inc., Index No. 650420/2013, in the Supreme Court of New York, County of New York, allege in their lawsuit that SiriusXM has been improperly charging a $2 invoice administration fee to annual renewals paid by credit card, debit card or prepaid Sirius or XM subscription charge, even though its own subscription agreement stipulates customers will be charged a $2 invoice administration fee if they pay with a check or money order.

Specifically, the lawsuit states: “Sirius was well aware of this improper charge and yet it neither informed its subscribers of the nature of the charge nor offered a refund of the administration fees or adequate compensation once it became apparent to Sirius that the invoice was paid by a means other than check or money order or simply not paid by check or money order.”

This revised class action, which follows a consumer fraud class action lawsuit also filed by Kaufman, in 2009. The original lawsuit alleged the company was liable for breach of contract and violations of New York’s deceptive practices law resulting from illegal fees. In this latest, revised lawsuit, the plaintiffs state the terms and conditions of the subscription agreement provides that “all disputes would be resolved in state and federal courts in New York” under the laws of the state and the FCC.

The revised SiriusXM invoice fee class action lawsuit, filed on February 6, 2013, is brought on behalf of two classes: all current and former New York SiriusXM subscribers and all current and former subscribers in other states who were improperly charged an invoice administration fee. Plaintiffs are represented by of Mase Lara Eversole; and Daniel A. Osborn of Osborn Law PC.

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