Comcast has agreed to pay $7 billion to settle a class action lawsuit over the “cancel my account” feature, a move that marks the latest in a series of corporate apologies over the feature that allowed users to cancel their accounts.
The settlement was announced Wednesday in federal court in Seattle, where Comcast has spent the last four years battling to get the settlement approved.
The agreement also resolves a class-action lawsuit filed by Comcast customers who said the feature did not offer them a way to cancel.
Comcast is the largest cable company in the U.S. and is based in the Seattle area.
The lawsuit alleged that Comcast violated the Consumer Privacy Protection Act, a federal law that prohibits deceptive or unfair business practices.
The law also requires consumers to give notice of their rights before being required to pay for services, and it requires the company to stop using the feature by Dec. 31, 2020.
The complaint said the change would have saved Comcast customers $2 billion in fees, as well as made it more difficult for Comcast to collect from them.
“The settlement today makes Comcast an even better partner for the cable industry, while allowing us to continue to innovate and create innovative new products and services,” said Comcast spokesman Mike O’Brien.
“This is a win for consumers, the cable and wireless industries and for our customers.”
The settlement does not address the issue of how Comcast will use the funds.
The company will use them to improve its broadband service, O’Brian said.
The settlement was expected to be completed by the end of the month.