Salahi PC has filed a class action lawsuit against PayByPhone US Inc. and PayByPhone Technologies Inc., alleging that the company starts parking timers before users complete payment in its mobile app, causing drivers to pay for time they never receive.
The complaint, filed in the U.S. District Court for the Northern District of California, alleges that PayByPhone’s design contradicts basic consumer expectations about how parking meters work. Traditionally, drivers pay first and then the clock starts running. According to the lawsuit, PayByPhone begins counting down parking time while users are still on the payment screen, before they tap “Pay.” As a result, consumers may receive less time if minutes run off the clock during checkout. The complaint alleges that consumers are not clearly informed that their time begins before payment is finalized.
The lawsuit seeks to represent consumers in California, Florida, Massachussetts, New Hampshire, Pennsylvania, and Washington under those states’ consumer protection laws, as well as for fraud and unjust enrichment. You can read the complaint here.
If you believe you were affected by this practice, please feel free to contact us through the form below, and let us know what states you used the application in.