New York, NY: A $32 million settlement has been reached in a consumer banking class action lawsuit filed against Bank of America (BoFA). The lawsuit, filed on behalf of 7.7 million Bank of America customers, alleges the bank used a robotic debt collection service to harass debtors.
The case could set precedents. Reuters believes the cash payout to be the largest ever under the Telephone Consumer Protection Act of 1991, a law designed to protect consumers against unsolicited calls.As part of the settlement Bank of America has also agreed to cease calling customers' cell phones unless given express permission by the customer.
The Bank of America cases covered by the settlement include Stephenie Rose v Bank of America; U.S. District Court, Northern District of California, No. 11-cv-02390; Duke v Bank of America, U.S. District Court, Northern District of California, No. 12-cv-4009; and Sandra Ramirez et al v Bank of America, U.S. District Court, Southern District of California, No. 11-cv-2008.
