Block Inc., the parent company of Cash App, has agreed to a $12.5 million Cash App Settlement in a class-action lawsuit filed in Washington state. The lawsuit targeted Cash App’s “Invite Friends” referral feature, alleging it sent unsolicited spam texts to Washington residents, violating the Washington Consumer Electronic Mail Act and other consumer protection laws.
Who Qualifies for the Cash App Settlement?
To be eligible, claimants must:
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Reside in Washington state.
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Have received an unsolicited Cash App referral message between November 14, 2019, and a date to be determined.
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Not have consented to receive such texts.
Based on phone data, approximately 2 million Washington residents may qualify for the settlement.
How Much You Could Receive
Individual payout estimates are as follows, depending on the number of valid claims:
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100,000 claimants: ~$125–$147 each
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200,000 claimants: ~$88–$110 each
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500,000 claimants: ~$50 or less
Claimants can expect payouts via Venmo, PayPal, or paper check, with exact amounts determined pro rata after administrative costs and legal fees are deducted.
How to File a Claim
While the official claims process is not yet active, Block is expected to notify eligible users via email and postal mail. Once open, the process will likely involve:
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Visiting the settlement website
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Entering your phone number and contact information.
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Selecting a payment method.
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Submitting your claim before the deadline.
No documentation is required for most claimants, as the plaintiffs’ legal team will verify messages via Cash App’s internal record.
The class action was brought by Washington resident Kimberly Bottoms, who alleged that Cash App’s referral texts violated:
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Telephone Consumer Protection Act (TCPA)
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Washington Consumer Electronic Mail Act (CEMA)
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Washington Consumer Protection Act
Although Block denied any wrongdoing, it agreed to settle to avoid prolonged litigation.
This latest settlement follows earlier issues faced by Block, including:
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A $15 million settlement in 2024 over unauthorized data access by an employee.
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A $175 million penalty imposed by the Consumer Financial Protection Bureau (CFPB) for inadequate security practices.
Block has consistently avoided admitting fault while resolving disputes through payouts, indicating ongoing concerns around consumer privacy and data protection.
What You Should Do Now
If you fit the eligibility criteria:
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Monitor communications from Cash App for your claim notification.
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Prepare your preferred payment details (Venmo, PayPal, or mailing address).
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Submit your claim promptly once the portal opens.
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Watch for deadline announcements—likely several months after notices are sent.
Even if you received only one unsolicited text, filing may result in a payout.
The Cash App settlement is an important reminder of users’ rights under privacy laws. As digital fintech platforms like Cash App continue to scale, legal actions like this reinforce accountability and highlight the need for transparent consumer practices.
Whether you received a referral without consent or simply want to stay aware, being informed and acting quickly will ensure you receive what you’re owed.
