MIAMI, Fla. (CBS12) — Thousands of service members who canceled their home security contracts after receiving military orders will get money back, as ADT agreed to pay more than $1.3 million to settle federal allegations that it illegally charged them fees.
The U.S. Department of Justice announced Tuesday that ADT LLC, doing business as ADT Security Services, violated the Servicemembers Civil Relief Act by imposing a 30-day notice requirement on customers who were legally entitled to cancel immediately. The practice affected at least 3,400 servicemembers nationwide, federal officials said.
When active-duty servicemembers receive relocation orders, the law allows them to terminate certain consumer contracts — including home security services — without penalty beyond the current billing period. The Justice Department says ADT crossed that line by continuing to charge customers after they had already provided military orders…