Hmmm, it looks like another gray cloud is passing by overhead the Palm headquarters. Palm is involved in a pending class action lawsuit. The first complaint was filed on September 14th, 2005. I looked over the settlement agreement and read that the Palza Action, filed on behalf of a purported nationwide class, alleges violation of the California Unfair Competition Law, Cal. Bus. & Prof. Code 17200 et seq.,(the "UCL") violation of the California False Advertising Law, Cal. Bus. & Prof. Code 17500 et seq., (the "California Falso Advertising Law"), violation of the California Legal Remedies Act, Cal. Civ. Code 1750, et seq. (the "CLRA"), breach of express warranty, and breach of the Song-Beverly Act, Cal. Civ. Code 1790, et seq. Well, my eyes just glazed over after reading that part. Continuing on... The Palza Action alleges that Palm made misrepresentations and concealed material information in the marketing, advertising, sale and servicing of its Treo 600 and Treo 650 smartphones, and alleges that the products were inherently defective, failed at unacceptably high rates, and weren't of merchantable quality and workmanship.

Okay, here's what it's all about folks: The Palza Action alleges that the Treo 600 and Treo 650's had many defects, including poor sound quality, buzzing, choppiness, speakerphone problems, defective screens, camera problems, MP3 player problems, defective headset jack, SIM card problems, freezes, crashes, and electrical surges. Also alleged is that Palm replaced defective units with refurbished phones that were subject to identical problems.

Later on more plaintiffs came forward and filed complaints alleging misrepresentation and product defect claims regarding the Treo 600 and Treo 650 smartphones that are virtually identical to those in the Palza Action. So those six in total cases were consolidated into a single action.

Palm disputes the claims alleged in the Litigation and doesn't admit any liability or wrongdoing whatsoever. Palm agreed to enter into the Agreement in order to avoid further expense, inconvenience, and distraction of burdensome and prolonged litigation.

Well, the only problem I ever had with my Treo 650 was the volume quality and a few lockups that were due to 3rd party software. So I for one, won't be a part of that lawsuit.

So, are you affected? You're a "Class Member" if you are a United States resident who purchased in the United States a new Treo 600 or Treo 650 smartphone for your own use and not for resale.

The settlement will provide either:

• a cash rebate to any United States resident who purchased a Treo 600 or Treo 650 smartphone, experienced two or more repairs or replacements (in lieu of repair) on that device, adn purchases a new Palm smartphone within a defined time period; or
• a right of repair for hardware defects, beyond the expiration of the warranty on your Treo 600 or Treo 650, even if you did not experience two or more repairs or replacements.

If you qualify, you can send in a claim form to ask for a rebate, or a repair form to seek a repair. You can also exclude yourself from the settlement, or object. The United States District Court for the Northern District of California, San Jose Division, authorized this notice. The Court will have a hearing to cosider whether to approve the settlement, so that the benefits may be paid.

Here's what you can get from the settlement:

Palm, Inc. has agreed to provide a cash rebate to Class Members who experienced two or more repairs or replacements in lieu of repair, who purchase a new Palm smartphone within a defined time period, and who send in a valid claim form. The settlement provides for different rebate payments depending on whether you purchased a Treo 600 or a Treo 650 requiring repairs or replacements. Rebate amounts are as follows:

You get a payment by going to www.palzasettlement.com and getting a detailed notice and claim form package, which contains everything you need. You'll be required to sign a declaration under penalty of perjury that your Treo 600 or 650 was repaired or replaced at least twice and you'll be required to provide documentation for at least one of the repairs or replacements.

To find out more, go to www.palzasettlement.com.

A big Thanks goes out to TreoCentral forum member HandyDJs.com for the tip in the thread he started. Like HandyDJs.com, I'm thinking of filing to be excluded from the suite. As I mentioned earlier, my problems were minor. Plus, my husband has been using the Treo 650 for more than a year and I've never heard him complain about anything. I've offered to get him a newer model Treo over the last year and he always tells me that he's happy with his 650.

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