Penalty Amount
$45,000,000
Attorney General Tong announced a $45 million multistate settlement with Block, Inc., the company behind Cash App, for misleading consumers about the safety of the platform, failing to protect users from fraud, and not providing promised fraud protection and resolution services. The settlement requires Block to implement major reforms including real customer support, transparent communications, and security commitments, and reaffirms Block's commitment to distribute between $75 million and $120 million to compensate consumers as part of a separate CFPB settlement.
Block must pay $45 million to 46 states, maintain customer support with live phone support 13.5 hours/day and live chat 18 hours/day, stop false safety claims, discontinue marketing practices known to increase fraud, educate consumers about fraud, and fulfill legal obligations to investigate fraud claims and reimburse users for unauthorized transactions. Block also reaffirmed commitment to distribute $75-120 million to consumers via the CFPB settlement.
In-house legal teams should review vendor agreements with payment processing and fintech partners to ensure they include robust fraud protection obligations, clear customer support service level agreements (SLAs) with specified response times and availability, and unambiguous liability allocation for unauthorized transactions. Customer-facing terms of service should be updated to accurately describe security protections and fraud resolution processes, avoiding any misleading claims about bank-like safeguards. Additionally, marketing agreements and promotional contracts should include provisions requiring review of fraud risks associated with campaigns, and data processing agreements should mandate adequate identity verification and account security measures.
Entity
Block, Inc.
Industry
TechnologyOfficial Press Release
https://portal.ct.gov/ag/press-releases/2026-press-releases/attorney-general-tong-announces-multistate-settlement-over-deceptive-practices-on-cash-app
cash app stipulated judgment fully executed6196464161970701.
https://portal.ct.gov/-/media/ag/press_releases/2026/cash-app-stipulated-judgment-fully-executed6196464161970701.pdf?rev=35f7326725234166800b4db0f486322b&hash=60618C0A1212258E6DF1E283A464FB00
Connecticut Attorney General Enforcement Page
https://portal.ct.gov/AG/Privacy/Privacy-Resources
"Block, Inc."
"$45 million multistate settlement"
"Block misled consumers about the safety of Cash App, failed to protect users from fraud on the platform, and didn't provide the fraud protection and resolution services that it promised"
"Maintain customer support that can resolve fraud complaints, account lockouts, and other problems"
"46 participating states"
"Oregon and Texas led the investigation"
$45.0M
Attorney General Ken Paxton secured a $45 million multistate settlement with Block, Inc. (Cash App) for misleading consumers about the safety of its platform and failing to protect users from fraud. The settlement requires Cash App to maintain 24-hour customer support, cease deceptive safety claims, and fulfill its legal duty to investigate and reimburse unauthorized transactions.
$45.0M
New York Attorney General Letitia James and a bipartisan coalition of 45 other attorneys general secured $45 million from Block, Inc., the company behind Cash App, for misleading users about the platform's security and failing to protect them from fraud. The settlement requires Block to implement changes including maintaining live customer support, stopping misleading marketing, and fulfilling legal obligations to investigate fraud claims and reimburse users for unauthorized transactions.
$45.0M
Block, Inc. agreed to a $45 million multistate settlement with 46 states for allegedly misleading consumers about the safety of Cash App, failing to protect users from fraud, and not providing promised fraud protection. The settlement requires Block to improve customer support, stop misleading claims, and educate consumers about fraud.
$45.0M
Block, Inc., the parent company of Cash App, agreed to a $45 million multistate settlement with 46 states for misleading consumers about the safety of Cash App and failing to protect users from fraud. The settlement requires Block to improve customer support, stop deceptive marketing, and fulfill legal obligations to investigate fraud and reimburse unauthorized transactions.
$45.0M
Attorney General Phil Weiser announced a $45 million multistate settlement with Block, Inc., the company behind Cash App, for misleading consumers about the safety of the platform and failing to protect users from fraud. The settlement requires Block to implement antifraud measures, provide customer support, and stop deceptive marketing practices.
$45.0M
Attorney General Keith Ellison announced a $45 million multistate settlement with Block, Inc., the company behind Cash App. The settlement resolves allegations that Block misled consumers about the safety of Cash App, failed to protect users from fraud, and did not provide promised fraud protection and resolution. Block agreed to implement responsible practices including maintaining customer support, offering live support, stopping misleading claims, and fulfilling legal obligations to investigate fraud and reimburse users.