AT&I has agreed to pay a record $30 billion to settle a class-action lawsuit over its alleged deceptive marketing tactics.
The settlement comes a day after AT&t agreed to settle the case with the U.S. Department of Justice, which accused the company of deceptive business practices.
The settlement is subject to approval by the U-S.
Federal Trade Commission (FTC).
“We have always vigorously defended the right of consumers to know how their choices are influenced by financial institutions, and will continue to do so,” AT&ts Chief Executive Randall Stephenson said in a statement.
“We are proud to be a part of a company that has fought for decades to ensure consumers have the best choices available to them.”
The class action lawsuit accused AT&Ts marketing practices of deceiving customers about its ability to provide the fastest and most reliable broadband.
The company’s misleading claims included claims about the speed of its DSL network and its network coverage.
In 2015, AT&TS settled a class action suit against Verizon over claims that the company was deceptive in its claims about its network speed.
Verizon’s class-actions lawsuit also accused AT%s network of having “low reliability, low performance and/or low cost.”
The settlement also includes an $8 billion cash payment to settle claims that AT&s business practices caused customers to lose money on their phone and internet bills.
The payment also includes the company’s admission that it had engaged in an “inadvertent practice” to sell customers misleading consumer information about their telephone and broadband plans.AT&ts has said that the settlements do not amount to a partial restitution of damages, but that the $30-billion settlement includes a significant portion of the total value of the class action settlement.
AT&ters lawyers had argued that the settlement included only the $8-billion amount.