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LG backtracks on bootloop settlement, slashes cash reimbursement

Making matters worse, LG is only giving claimants one business day to agree to the new terms, or forfeit all claims.

Published onMarch 15, 2018

LG logo CES 2018 2
  • LG settled a class-action lawsuit with certain owners of its smartphones, promising them a rebate or reimbursement for every device they owned affected by the bootlooping issue.
  • Now, a letter shared with Android Authority makes it clear that LG is changing the deal last minute and only offering rebate/reimbursement for one device, and a warranty for any others.
  • Making matters worse, LG is only giving claimants one business day to agree to the new terms, or forfeit all claims.

At the end of January this year, LG settled a class-action lawsuit against the company related to several of its smartphones having bootloop issues, including the G4V10V20Nexus 5X, and G5. Those afflicted by the bootlooping had until February 12, 2018, to file a Proof of Claim which entitled them to either a $700 rebate towards a new LG device or $425 cash, for each device affected.

But now, an anonymous Android Authority reader has provided evidence that LG is backtracking on its promise, and now only offering to give a rebate/cash settlement for one LG device per claimant, and offering warranty service for any other devices.

To add insult to injury, LG is giving claimants one business day to file the form that will net them the cash or rebate for one device under these new terms.

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For those of you not familiar with this case, a “bootloop” is when a device starts up but can’t get to the operating system. It powers on, goes through its boot protocol, and then restarts before launching the OS, and does that over and over, rendering the device virtually useless. Many LG devices (and some from other manufacturers) were affected by this bootloop issue, and, almost exactly a year ago, disgruntled users filed a class-action suit against the company.

We had known about the bootloop issue for about a year before the suit was filed, with LG admitting fault in January of 2016. Now, when users are finally about to get their payoff, LG is pulling out the rug from under them.

The letter, which we’ve printed in full at the bottom of this article, explains in no uncertain terms that LG will not reimburse this user “for each phone – as we initially demanded,” and instead “settle your claims by paying you a single settlement benefit.”

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The anonymous reader received the email today, March 15, and the letter says, in bold type, “Your failure to sign and submit the revised Release by March 19, 2018 will constitute rejection of this settlement offer.” Today is Thursday, and March 19 is Monday, which gives users precisely one business day to consult with their lawyers and work out a solution.

The letter claims that “LG is within its rights to settle your claims in this manner and will not agree to settle your claims on any other terms,” which seems like it couldn’t possibly be true. How can a company agree to a settlement, get hundreds or even thousands of people to file a Proof of Claim by a specific date, and then, one month later, change the terms of the agreement and give only one business day to sign the new form?

Confusingly, the letter also says, “if you reject this settlement offer, we will direct you to contact LG, and LG will attempt to resolve your claims.” But good luck contacting LG and getting a response within one business day.

If you own multiple LG devices that were negatively affected by the bootloop issue, you should contact the legal team involved with your case to find out what your options are.

If you’d like to gripe, feel free to sound off in the comments with the other LG users who are inevitably disappointed by this turn of events.

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