A California United States District Court recently ordered preliminary approval of a $3.3 million class action settlement in a case alleging Allstate taped conversations without notifying other parties on calls.

California prohibits recorded conversations without consent of the other person on a cellular phone being recorded, the suit filed by Maria Tobajian states.

The suit says Tobajian received a call to her cellphone from Allstate to discuss a recent accident the plaintiff was involved in. Allstate was providing insurance services to the other driver in the crash, according to the complaint.

Tobajian claims Allstate never informed her she was being recorded. The suit also claims Tobajian received a copy of a phone call recording that Allstate had with its own insured where details of the accident are discussed. The suit says Allstate failed to give any disclosure of the recording during this call as well.

“Based on the recordings between Defendant and Plaintiff, and between Defendant and Defendant’s insured, it is abundantly clear that Defendant, on a regular basis, records conversations without disclosing the calls are being recorded,” the suit says.

Tobajian discovered she was being recorded when she obtained the recordings through another litigator working with Allstate, it says.

The suit was filed in February 2023 in the Central District of California. Allstate responded with an answer to the complaint in September 2023.

It admitted to having a phone call with Tobajian on or around Dec. 19 but said it didn’t have sufficient knowledge or information to know if Tobajian was told she was on a recorded line.

On Feb. 6, Tobajian and Allstate filed a notice stating the parties had reached a settlement in principle on a class basis. It asked for a stay of all pending deadlines while the parties finalize the settlement and the plaintiff drafts a motion for preliminary approval.

Tobajian filed the settlement motion on June 16 stating Allstate will pay $3.3 million that will cover settlement relief, attorneys’ fees and costs, notice and administrative costs and any service award will be deducted.

The court preliminarily approved the settlement June 21 and a final approval hearing will be held Jan. 10, 2025.

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