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US government sues Walmart, Branch Messenger over $10M in delivery driver ‘junk fees'
WMTWalmart(WMT) New York Post·2024-12-24 03:42

Core Points - The Consumer Financial Protection Bureau (CFPB) has filed a lawsuit against Walmart and Branch Messenger for allegedly forcing over a million delivery drivers to use accounts that incurred more than $10 million in junk fees [5] - The lawsuit claims that Walmart misled drivers about their access to wages, stating they would have instant access, while in reality, they faced delays and fees [4][7] - Walmart and Branch Messenger have denied the allegations, asserting that the CFPB rushed to file the lawsuit without allowing them adequate time to respond [6] Summary by Category Lawsuit Details - The CFPB's lawsuit alleges that Walmart threatened to fire drivers unless they opened Branch accounts without their consent [2] - The agency is seeking to end the alleged conduct, return funds to affected consumers, and impose fines to be paid into the CFPB's victim relief fund [8] Company Responses - Walmart has expressed its intention to vigorously defend itself in court, emphasizing the importance of due process [2][6] - Both Walmart and Branch Messenger have criticized the CFPB for not allowing them time to provide explanations before the lawsuit was filed [6]