In an attempt to settle a class action lawsuit, Epson America has announced a $45 credit for eligible American customers. The suit was filed because Epson ink cartridges are engineered to monitor ink levels and incorrectly read cartridges as empty and therefore unusable, even though there is still ink in the cartridge.

The terms of the class action suit, which are available at www.epsonsettlement.com, state that Epson’s false cartridge readouts constitute a “breach of contract, breach of implied warranties, unjust enrichment, [and] fraudulent concealment” (epsonsettlement.com, 2006).

In response, Epson America states the unused ink in a cartridge is there to ensure the print-out quality by acting as a safety reserve. Epson America denies the lawsuit allegations, however they are offering a proposed settlement (POP, 2006).

The settlement, which is available to American consumers who purchased an Epson printer between April 8, 1999, and May 8 2006 includes a $45 credit per printer purchased (Hoffman 2006). The credit can be used at Epson’s online store, and will be automatically provided to class member’s who have registered their printers with Epson America. There are other options to the settlement claim if class members want to reject the credit. Instead, by filing a claim form, a class member can receive a $25 cheque and $20 credit, or a 25% discount (of up to $100 discount). To view a list of printers eligible for the settlement, visit www.epsonsettlement.com.

The settlement does not require Epson to modify cartridge software and technology so that ink cartridge readings reflect the true level of ink in a cartridge (Hoffman, 2006). Instead, in order to bypass any lawsuits or claims in the future, Epson will indicate on its software and packaging that there is an ink safety reserve and will provide online literature explaining the need for the ink safety reserve in their cartridges. To file a complaint against the resolution, class members must do so before June 23rd, 2006.

Epson will also be paying the Plaintiff’s Attorney’s fees (undecided amount), as well as any other settlement benefits determined by the Court (POP, 2006). A final hearing for the proposed settlement is scheduled for August 15th, 2006. Credits will be issued by Epson 90 days after the final hearing.

Sources:

"Epson America and Counsel Announce Class Action Settlement". Popular Photography Magazine. April, 2006.
http://www.popphoto.com/article.asp?section_id=5&article_id=1980&print_page=y

epsonsettlement.com
http://www.epsonsettlement.com

Hoffman, Michael. "Epson Inkjet Printer Customers To Receive $45 Credit In Class Action Lawsuit". April 15, 2006. Dailytech.com.
http://www.dailytech.com/article.aspx?newsid=1790