A District Court judge in Virginia has finalized a $2.5 million settlement after student loan servicer Navient was accused of violating the Telephone Consumer Protection Act by using an automatic telephone dialing system to contact the cell phones of third parties for location information calls without the proper consent.
Terms of the settlement were originally reached last June. A copy of the final settlement order can be accessed by clicking here.
The plaintiff sued after being contacted by Navient in regards to a student loan taken out by her brother, who used the plaintiff as a reference on the application. The plaintiff requested that Navient stop contacting her, subsequently filing suit saying she never gave the company permission to be contacted on her cell phone.
About 18,000 individuals are eligible to be part of the settlement, and each will receive about $75. Lawyers representing the plaintiffs will receive nearly $850,000 of the $2.5 million settlement. The named plaintiff will receive $15,000.
Navient did not admit any wrongdoing as part of the settlement.
