Class ActionCenturyLink Shareholder Derivative Litigation
Class PeriodTBA to TBA
CourtWestern District of Louisiana
Case No. 3:18-cv-00870-TAD-JPM (WD. LA)
It is alleged by CenturyLink shareholders that the Company’s officers and directors breached their fiduciary duties by causing the CenturyLink to engage in a pattern and practice of establishing fraudulent accounts, lines, and other services for customers who did not request them, and without the customers’ knowledge. CenturyLink then billed for those unwanted accounts and services and forced customers to pay for them. CenturyLink managers and executives were aware of these practices, and incentivized and encouraged employees to engage in them. These practices were brought to the attention of the highest levels of management, including at least one Board member, in 2017.
As a result, consumer class action lawsuits have been brought against the Company in numerous states, giving numerous specific examples of CenturyLink’s billing for services the customer did not request and did not want. Additionally, various government agencies are investigating and suing CenturyLink for this same misconduct. CenturyLink recently settled a lawsuit by the State of Minnesota for its illegal sales and billing practices. According to Minnesota’s Attorney General, they received hundreds of complaints from CenturyLink customers. The Minnesota AG obtained a consent decree requiring CenturyLink to cease its unlawful practices and intends to seek restitution and civil penalties.