City of Detroit $4.45M Water Rate Class Action Settlement

City of Detroit $4.45M Water Rate Class Action SettlementIndividuals who paid for Detroit water service between Aug. 1, 2022, and May 31, 2026, may be eligible to claim a cash payment from a class action settlement.City of Detroit $4.45M Water Rate Class Action SettlementWeekly NewsletterClass actions settlements delivered to your inbox.Thank you! Check your inbox for a welcome email.Oops! Something went wrong while submitting the form.William C. GendronEditor in ChiefPublishedAugust 4, 2026 3:56 PMUpdatedAugust 24, 2026Join the DiscussionIndividuals who received water services from the City of Detroit between Aug. 1, 2022, and May 31, 2026, and used an average of at least 1.0 MCF (thousand cubic feet) of water per month during that period may be eligible to claim a refund from a class action settlement.The City of Detroit agreed to pay $4.45 million to settle a class action lawsuit alleging the city’s tiered water rates resulted in certain higher-volume users being charged more than the actual cost of providing water service. Who are the class members?Class members must meet the following criteria:They are a person or entity who received water services from the City of Detroit between Aug. 1, 2022, and May 31, 2026.They used an average of at least 1.0 MCF of water per month during that period.They paid or incurred charges for water service to the City of Detroit.How much are City of Detroit settlement payments?The settlement administrator will distribute the net settlement fund among eligible class members based on the proportion of water charges each paid during the class period compared to the total charges all class members paid. The settlement divides eligible class members into three groups based on their customer status and account balance as of Aug. 26, 2026:Group 1: Current water customers as of Aug.