Residents of Washington State have been discussing rumors of a payout from a major payment app for weeks. Today, the situation is finally clear. Block Inc., the parent company of Cash App, has agreed to a proposed $12.5 million settlement. This agreement resolves a class action lawsuit which claimed the company sent unsolicited spam texts to millions of people.
This legal agreement comes after a lawsuit titled Bottoms v. Block Inc. accused the fintech giant of violating strict state laws regarding electronic communications. With the settlement now on the table, eligible residents could soon see payments ranging from $88 to $147 depending on how many people file a valid claim.
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Why Cash App Is Paying Out
The core of this legal battle involves the popular feature used by Cash App that encourages users to invite their friends. The lawsuit argues that this tool was used to aggressively grow the user base by sending text invitations to potential new customers without their permission. Under Washington State law, sending unsolicited electronic text messages to residents is considered a violation of privacy statutes.
The complaint alleges that Cash App sent these promotional texts without consent and used an automated system to blast them out to phone numbers in Washington. While Block Inc. denies that they did anything wrong, they have chosen to settle the case. This decision allows them to avoid a long and expensive trial in a state that is known for being very strict about consumer privacy rights.
Who Qualifies for the Cash
The settlement is specific to a certain group of people. To qualify for a share of the $12.5 million fund, you generally need to meet two main criteria. First, you must have had a phone number registered in Washington State. Second, you must have received an unsolicited invite text from Cash App between November 14, 2019, and the final cutoff date which is currently being finalized by the court.
If you fit this description, you are likely considered a class member in this lawsuit. Current estimates suggest that up to 2 million phone numbers could be involved. The final amount of money each person gets will depend heavily on how many of those 2 million people actually step forward to file a claim.
How Much You Can Get
Financial experts watching the case estimate that individual payments will fall between $88 and $147. The settlement fund will first be used to pay for administrative costs, legal fees for the attorneys, and a service award for the plaintiff who started the lawsuit. The remaining money will be divided among the approved claimants.
It is important to remember that these numbers are estimates. In class action lawsuits, the payout per person often shrinks if a huge number of people apply. Conversely, if fewer people file claims, the payment amounts for those who do apply could be on the higher end of the projection.
When and Where to File
As of today, December 12, 2025, the official claims website has not yet gone live. The settlement is currently in a preliminary phase where it awaits final approval from the judge. Once the court gives the green light, a dedicated website will be launched where you can submit your information.
Notifications will be sent out to eligible people once the process opens. If the company has your email on file, you will receive a digital notice. Others may receive a postcard in the mail. The settlement administrators will likely offer modern payment options including checks, PayPal, Venmo, or direct electronic transfers to make receiving your money easy.
Settlement Facts at a Glance
The table below outlines the key figures and facts regarding this new class action settlement.
| Category | Details |
| Total Settlement Fund | $12.5 Million |
| Estimated Payout | $88 to $147 per person |
| Eligible Group | Washington State residents |
| Reason for Lawsuit | Unsolicited spam text messages |
| Claim Status | Pending final website launch |
| Payment Methods | Check, Venmo, PayPal, Transfer |
Critical Information for Claimants
- The lawsuit claims Cash App violated the Consumer Electronic Mail Act in Washington.
- Block Inc. has agreed to pay $12.5 million to resolve the issue without admitting guilt.
- You must be a Washington resident who received a text invite to qualify.
- Official notices will be sent via email or mail once the court approves the next steps.
- Scammers often target these settlements, so only use the official court approved website once it launches.
