Purchasers of Locus Telecommunications, Inc. Calling Cards May Claim Settlement Benefits

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Fri Dec 12, 2008 12:02pm EST

Purchasers of Locus Telecommunications, Inc. Calling Cards May Claim
Settlement Benefits
Monday v. Locus Telecommunications, Inc., Civil Action No. 07-2659 (PGS)

ENGLEWOOD CLIFFS, N.J., Dec. 12 /PRNewswire/ -- Locus Telecommunications,
Inc. announced that it has reached a settlement with plaintiffs in a
nationwide class action lawsuit related to its sale of prepaid calling cards.
In the lawsuit, plaintiffs alleged, among other things, that Locus distributed
or sold prepaid and rechargeable calling cards without fully disclosing the
applicable rates and charges associated with those cards to consumers. As part
of the settlement, Locus denies any wrongdoing or liability. The parties
agreed to the settlement to avoid further costs and uncertainties related to
litigation.
    The class action, Monday v. Locus Telecommunications, Inc., Civil Action
No. 07-2659 (PGS), remains pending before the United States District Court for
the District of New Jersey until the settlement agreement is given final
approval by the Court. The settlement affects customers who purchased a Locus
calling card in the United States at any time between January 1, 1997 and
November 13, 2008. The settlement will provide refund PINs to those people who
either submit a PIN number from an eligible Locus calling card, or submit a
notarized, written statement declaring that they were the purchaser of an
eligible Locus calling card. Locus agreed to provide refund PINs worth up to
$3,663,520 to eligible consumers of Locus calling cards. Eligible consumers
are entitled to a refund PIN with a value of $0.50 for domestic calls at $0.10
per minute and international calls to certain countries at $0.25 per minute.
Eligible consumers of Locus rechargeable calling cards are entitled to a
refund PIN with a value of $0.50 for domestic calls at $0.10 per minute for
every $5.00 worth of calling time that was loaded onto the card when it was
first purchased and charged. In addition, Locus has agreed to make additional
cy pres relief to the class, including: (1) $300,000 or the equivalent dollar
value of donations to charitable organizations such as educational
scholarships and/or donations of calling cards; and (2) $200,000, or the
equivalent dollar value, in prospective product discounts.
    If the settlement receives final approval by the Court, members of the
settlement class with PIN numbers can submit a claim by accessing Locus's
interactive voice response telephone system by either calling a toll-free
number (1-888-292-1832) or any Locus calling card access number or customer
service number, or by accessing a link on Locus's website
(http://www.locustelecom.com) or plaintiffs' counsel's website
(http://www.freedweiss.com). They must then enter a PIN number from a Locus
calling card that was purchased on or before November 13, 2008. Settlement
class members without PIN numbers can submit a claim by mailing a notarized,
written statement to "Locus Telecommunication, Inc. Claims Administrator, c/o
The Garden City Group, Inc., P.O. Box 9314, Dublin, OH 43017-4214," declaring
that they were the purchaser of an eligible Locus calling card. Members of the
settlement class may be required to provide their names and addresses, and the
name of the calling card associated with the PIN number. Locus will then
determine whether the member of the settlement class is eligible for a refund
based on confirmation of a legitimate PIN and remaining funds in the pool. If
eligible, Locus will provide members of the settlement class with a refund
PIN.
    The plaintiffs in Monday v. Locus Telecommunications, Inc. are represented
by Plaintiffs' Co-Lead Counsel, James Cecchi of Carella, Byrne, Bain,
Gilfillan, Cecchi, Stewart & Olstein, and Paul M. Weiss of Freed & Weiss LLC
and by other class counsel. Class members may contact Class Counsel at
Info@FreedWeiss.com or (312) 220-0000. Locus is represented by Philip R.
Sellinger and Peter J. Gallagher of Greenberg Traurig, LLP.
    About Locus Telecommunications, Inc.
    Locus Telecommunications, Inc. is an established, leading provider of long
distance, wireless, point-of-sale and wholesale carrier services. Utilizing an
extensive nationwide distribution network, Locus delivers reliable access to
advanced, affordable telecommunications products and services that meet its
customers needs at home and around the globe.
    Contact for Locus: 201-595-3600 or media@locus.net

    Media Contact(s):

    Paul M. Weiss

    Freed & Weiss LLC

    Info@FreedWeiss.com
    (312) 220-0000

SOURCE  Freed & Weiss LLC

Paul M. Weiss of Freed & Weiss LLC, +1-312-220-0000, Info@FreedWeiss.com; or
Locus, +1-201-595-3600, media@locus.net
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