Anyone who signed up for an annual storage plan with Cord Blood Registry (CBR) to bank their child’s cord blood or cord tissue.
What’s Going On?
Attorneys working with ClassAction.org are looking into complaints that CBR is quietly and significantly increasing customers’ annual fees. They’re investigating whether a breach-of-contract lawsuit can be filed against the company.
How Could a Class Action Help?
A class action lawsuit could help parents get back the difference between what they paid in annual storage fees and what they expected to pay. It could also force CBR to change the way it represents its fees.
August 31, 2021 – Lawsuit Filed
A proposed class action lawsuit has been filed accusing Cord Blood Registry of charging undisclosed and increasing costs to continue to preserve the cord blood of their customers’ children. Specifically, the suit claims that CBR “slyly and substantially” increases its annual storage fees over time, leading consumers to pay hundreds more than what they initially agreed to for cord blood storage. Read more about the filed case here.
Attorneys working with ClassAction.org would like to talk to anyone who signed up with Cord Blood Registry (CBR) to store their child’s cord blood or cord tissue.
They’re looking into complaints posted online that the company is quietly – and significantly – increasing customers’ annual storage fees. In light of these claims, attorneys are investigating whether a breach-of-contract class action lawsuit can be filed to help parents get some of their money back.
Online Complaints: Were CBR Customers Misled About Pricing?
Complaints posted online with the Better Business Bureau (BBB) have led attorneys to investigate whether customers of CBR who chose the annual storage plan were misled about pricing and ultimately overcharged. Several parents have complained that they thought their annual fees were fixed or did not expect them to increase as much as they have due to representations made by CBR.
One parent was told they would have to pay a lifetime storage fee of $3,995 to avoid the annual charges or find and refer expecting parents to obtain referral credits, according to a complaint posted to the BBB’s website on April 10, 2020. Another customer complained to the BBB on May 3, 2020 that CBR “was really taking advantage,” that the yearly increases are “not just a matter of a few bucks” and that they feel there is “no other option” but to keep paying the annual fee.
Additional complaints posted to CBR’s BBB page include the following [sic throughout, emphasis ours]:
Started banking our sons cordblood with CBR in 2010 the yearly fee was 125. until our daughter was born we banked hers and now, the storage fees have gone up steeply every year, since banking my daughters in 2014 the fees for my sons has gone up 55 dollars more and daughters went up as well. When we signed up the storage fee was supposed to be fixed! I have also requested paper statements every single year and every year they draft from my bank with the unkown increase amount while I wait for the paper statement. I have contacted them with no response.” — September 19, 2020, BBB.org
I was in market for finding right bank during 2nd quarter of 2018. I been told by CBR sales representative that CBR has record of not increasing storage fees in last 15 year…I was shocked by my 1st bill in 2019 with $50 increase. Then again $10 increase in 2020. I am going to cancel my plan and wish no longer to keep blood /tissues. I will freely suggest all my social media friends to stay away from this company for this reason. Anyone who reading this please think twice before joining with them. STAY AWAY FROM CBR.” — June 22, 2020, BBB.org
I have banked both my kids cord blood with CBR. I have signed up for $125 storage fees for the first kid and $130 for the second kid and have set up auto pay for the annual fees. I have now realized that CBR has been increasing the annual storage fees pretty steeply. The $ 125 has become $180 in a matter of few of years and the 130 and has become 145. This is pretty steep increase in annual fees and I am not sure where this will stop. It was not made obvious or stated while signing up that the fees will increase sharply every year.” — April 22, 2020, BBB.org
When I signed up for this CBR service for both kids - the annual fee was reasonable. It has gone up every year - 60$ for one child and 55$ for the second child. I was told from the beginning that the annual fee would remain close or intact - but this is not what is happening. I reached out to the company last year got a call back which i returned several times and never heard from the representative. The increase in fees is irresponsible and also taking advantage of long-term customers. I would never recommend anyone banking with them.” — April 4, 2020, BBB.org
How Could a Class Action Lawsuit Help?
A class action lawsuit, if filed and successful, could argue that CBR breached its contract with customers and allow parents the chance to get back the difference between what they paid in annual payments and what they expected to pay. It could also force the company to change the way it represents its yearly fees.
Before attorneys can even consider filing a lawsuit, however, they need to speak with customers of CBR to learn more about the company’s billing practices.