A court filing on 3 June states that a preliminary settlement had been reached, but the parties will have until 9 July to file a written settlement agreement with the court, reports Law360.com.
The class action lawsuit, filed in 2005, accuses HP of “deceptive and unconscionable conduct designed to increase the sale of its very profitable replacement ink cartridges to the detriment of, and at the cost to, unsuspecting consumers”.
It alleges that HP’s smart chips are designed to trick consumers into buying new ink from them when the cartridges are still usable and not empty. It further alleges that some models are designed to fail at predetermined dates, regardless of the amount of ink left.
Plaintiffs Nicklos Ciolino and Daniel Feder launched the action after discovering their home-use printers gave low ink alerts when the cartridges still had “substantial” amounts of ink inside
They are seeking to end HP’s “deceptive and unconscionable practices” relating to its use of its smart chips, as well as damages in excess of $5m.