Los Angeles, CA: A federal judge in Philadelphia has approved a US$50 million settlement that closes a decade-long consumer antitrust class-action lawsuit against Comcast.
The preliminary decision entitles about 800,000 current and former Comcast cable-TV subscribers in Bucks, Chester, Delaware, and Montgomery Counties and Philadelphia to USD 15 in credits, or Comcast services valued at USD 30-43.90, according to court documents. Those services include temporary internet upgrades, six free pay-per-view movies, or two free months of the Movie Channel. Comcast is required to notify its customers in monthly bills and to advertise the settlement in newspapers and magazines throughout the Philadelphia region. A Comcast spokesperson said that former Comcast cable-TV customers in the five counties could also participate in the settlement, if they were subscribed between 1 January 2003, and 31 December 2008. They will be eligible for US$ 15 in cash.
The suit, first filed in Philadelphia federal district court in December 2003, claimed that Comcast engaged in anti competitive behaviour by concentrating its cable systems in the broader Philadelphia area and making it difficult for RCN, a competitor, to expand telecommunications services here. Comcast could charge higher prices for its cable-TV service, the suit claimed. The plaintiffs originally sought US$ 875 million. In 2013, the US Supreme Court ruled in Comcast's favour in the case, sending the litigation back to federal district court. Plaintiffs narrowed the case to the five counties, and the two sides negotiated the settlement.