A new class action settlement could mean a payout for people who received unsolicited Cash App referral messages between 2019 and 2024. Parent company Block Inc. has agreed to a $12.5 million settlement to resolve a lawsuit accusing it of violating state consumer protection and electronic messaging laws.
Who qualifies for the Cash App settlement?
The lawsuit applies only to individuals who:
- Live in Washington state, and
- Received promotional “Invite Friends” texts from Cash App between November 14, 2019 and 2024
Court documents estimate that roughly 2 million people make up the settlement class based on phone records.
Eligible users do not need to prove financial harm, only that they received the messages. Block plans to notify eligible users via email and direct mail with instructions on how to claim compensation.
How much can claimants receive?
Claim administrators expect payouts to range between $88 and $147, depending on how many people submit valid claims. They will determine the final amount once the claims window closes.
As of July 21, 2025, no deadline has been announced, but legal representatives say users should watch for updates soon. Once active, the claim portal will allow online submissions.
Why was Cash App sued?
The lawsuit, filed in late 2023 by Kimberly Bottoms, alleged that Cash App’s referral program violated two Washington laws:
- The Washington Consumer Electronic Mail Act, and
- The Washington Consumer Protection Act
The complaint claimed users were sent spam messages without consent, a violation of electronic communications regulations. While Block Inc. did not admit wrongdoing, it agreed to settle to avoid prolonged litigation.
More legal trouble for Block Inc.
This isn’t Block’s first regulatory challenge:
- In 2024, the company paid $15 million in a separate settlement over employee-related data breaches
- It also faced $175 million in fines from the Consumer Financial Protection Bureau (CFPB) for inadequate user data security
The Cash App settlement highlights ongoing scrutiny of digital finance firms as regulators tighten controls over consumer privacy and messaging compliance.
What’s next for users?
Claimants should:
- Monitor email and mailboxes for official claim instructions
- Check Cash App’s legal updates page or future settlement websites
- File their claim once the window opens (likely in the coming weeks)
Failure to file before the deadline—once announced—will disqualify users from receiving any compensation.
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