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Google Compensates Israeli Users...

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Google Compensates Israeli Users in Play Store Settlement

Published date:

Feb 16, 2025
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If you received an email message that you are eligible to receive compensation from Google, it is not a scam! Google has started compensating Israeli consumers following a class action settlement over its Play Store subscription policies. The lawsuit was filed in Israel in 2017 against the company over its auto-renewal policy and the difficulty of canceling subscriptions to apps purchased through the Play Store.

The total compensation from the settlement amounts to 46.5 million shekels (US$13.1 million).

The lawsuit, initiated in 2017 by Mordechai Malachi, claimed Google misled users about auto-renewing subscription policy. Malachi said that when he purchased a subscription in 2016, the auto-renewal terms were not clearly disclosed. At the end of the year, he was charged the fee again, and despite canceling the same day, his refund request was denied.

In September 2024, the Central District Court in Lod approved the settlement, granting eligible users 55% refunds of their subscription fees.  Those who canceled subscriptions before they expired will receive a one-time 25% compensation. 

Individual compensation amounts are anticipated to range from several dozen to a few hundred shekels per user.

Google has committed to paying a total of NIS 46.5 million ($13.1M), with any remaining funds after compensating all affected customers to be transferred to a designated fund.

Additionally, Google has agreed to modify how the Play Store operates in Israel. First, the company will clarify at the time of purchase that the subscription will renew automatically. Second, users will be able to request an immediate cancellation and receive a proportional refund for the unused portion of the subscription period.

The plaintiff, Malachi, will receive 1.9 million shekels (US$534,595), while attorneys will receive 8.06 million shekels (US$2.42 million) in legal fees.

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