Attorney General Hood Announces $3.8 Million Multistate Settlement with Sirius XM

JACKSON, Miss. (Press Release) — Attorney General Jim Hood, along with the attorneys general of 44 states and the District of Columbia, announced today that Sirius XM Radio Inc. of New York has agreed to pay $3.8 million to the states and to provide reimbursement to eligible consumers to resolve claims that the satellite radio company engaged in misleading advertising and billing practices.

Consumers who have not previously filed a complaint with their attorney general for the practices covered by this settlement have until May 3, 2015, to file a complaint to be considered for reimbursement. The amount a consumer can recover is not limited and will be based on the actual loss of the consumer.

“I hope eligible Mississippians will take advantage of the settlement so they can get their money back,” Hood said.

The attorneys general allege that Sirius XM engaged in unfair and deceptive practices. The states were particularly concerned about cancellation requests that were not honored, automatic renewals which occurred without consumers’ notice or consent, and unauthorized fees.

Under the terms of the settlement, Sirius XM will make significant changes to its business practices. Specifically, Sirius XM agrees to:

— Clearly disclose all terms and conditions at the point of sale,
— Make no misrepresentations about the available plans,
— Provide advance notice of upcoming automatic renewals for plans longer than six months,
— Improve cancellation procedures, and
— Prohibit incentives for customer service representatives based solely on retaining customers who attempt to cancel.

To be considered for reimbursement under this settlement, consumers must file a complaint concerning conduct from July 28, 2008, to Dec. 4, 2014, involving an identifiable loss that was not previously resolved. An example of identifiable loss might include a loss of money from instances where the consumer unsuccessfully tried to cancel or did not want to renew, but found themselves stuck paying for another term. Identifiable loss may also include a loss of time, such as when the conversation took much longer than reasonably expected due to problems with customer service.

Consumers who have a complaint regarding Sirius XM’s business practices addressed by this settlement are urged to contact their state attorney general at 1-800-281-4418 or to file complaints with Sirius XM directly before May 3, 2015. Consumer complaints can be sent to Sirius XM by mail to PO Box 33059, Detroit MI 48232-5059, by going to www.siriusxm.com and using the search tool or the “contact us” portion of the web site, or by going to www.siriusxm.com/settlementprogram.