Class Action Settlement Summary

I. OVERVIEW
This settlement resolves a lawsuit over whether Locus Telecommunications, Inc., (“Locus”) adequately and/or accurately informed consumers about rates, applicable fees and other charges for its Prepaid Calling Cards and Prepaid Calling Services. Locus denies the claims and charges but has agreed to settle this matter to avoid the expense and uncertainty of further litigation. Once the settlement is formally approved by the Court, Locus will provide Refund PINs to Class Members if they properly submit the Refund Form, it is determined that the claimant is eligible for a Refund PIN, and funds remain in the settlement fund.

II. INITIAL SETTLEMENT
In settling this action, Locus agreed to provide Refund PINs worth up to $1.4 million to eligible customers of Locus prepaid calling cards and prepaid calling services. The prepaid calling cards and prepaid calling services eligible for Refund PINs are listed in the List of Eligible Prepaid Calling Cards & Prepaid Calling Services. Customers who purchased Locus prepaid calling cards or prepaid calling services between September 28, 2007 and November 27, 2013 may be eligible to receive a Refund PIN. The Refund PINs are valued at $1.50 for: (1) domestic calls at $0.10 per minute, and (2) international calls to certain destinations at $0.25 or $0.50 per minute. For a list of the select international destinations and applicable rates, see the List of Eligible Destinations and Rates. The Refund PINs may not be used from payphones and are valid for 18 months from the date of issuance to claimant.

III. OPT OUT
If you are eligible, you may claim these benefits, as provided for in the Settlement Agreement, or you may exclude yourself from the Settlement Agreement or object as provided for in the Notice of Settlement if you do so by February 3, 2014.

IV. CLAIMS SUBMISSION
All claims must be made during the claims submission period which commences on December 20, 2013 and closes on July 1, 2014. In order to receive a Refund PIN, you must complete the Refund Form and mail the form and any required documentation to the address provided by July 1, 2014. If the status of the claims submission period changes, the relevant information will be posted in this section.

V. PRELIMINARY AND FINAL APPROVAL
The Court that is supervising this case granted preliminary approval of the settlement on November 27, 2013 by issuing an Order of Preliminary Approval. The Court still must decide whether to grant final approval. The final approval hearing will be held on February 24, 2014. Refund PINS will be distributed only if and after the Court grants final approval of the settlement and any appeals are resolved.

VI. QUESTIONS
For any questions, please call 888-572-6124 or write to: Claims Administrator: c/o Locus Telecommunications, 2200 Fletcher Ave., Fort Lee, NJ 07024

1. Refund Form
2. Settlement Agreement
3. Notice of Settlement
4. Summary Notice
5. List of Eligible Prepaid Calling Cards & Prepaid Calling Services
6. List of Eligible Destinations and Rates
7. Order Granting Preliminary Approval Dated November 27, 2013

 

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