Timberland offers $7 million text message spam settlement

Mobile consumers these days aren’t going to take text message spam lying down. The precedent has been set, forcing spammy text message senders to pay heft sums to angry mobile users. In that light, shoemaker and clothier Timberland has offered to settle a class-action lawsuit filed against itself and GSI Commerce by mobile customers complaining of being sent unsolicited SMS text messages.

The two companies have offered up a $7 million fund to reimburse angry mobile phone users for their text messaging fees. The class-action lawsuit accuses Timberland and GSI Commerce of sending out SMS text messages in violation of the U.S. Telephone Consumer Protection Act. Both companies announced that they would put $7 million in cash into the fund to help pay back customers who received the unwanted text messages.

The settlement is pending court-approval. Customer can apply for a $150 reimbursement by filling out the application here. Claims must be filed by Feb. 2, 2009 in order to qualify.

The settlement has ugly implications for the future of targeted mobile advertising. If consumers have the power to sue over unwanted SMS text messages, advertisers may be forced to consider other advertising solutions for the mobile space.

[Via: Infoworld]