AT&T Wireless Must Prep for Class-Action Suit

A federal district court said Wednesday a class-action suit against AT&T Inc. (T) may move to the next step.

Plaintiffs say millions of cell phone users were misled and overcharged when Cingular merged with AT&T Wireless in 2004. A judge agreed, despite AT&T’s insistence that a contractual clause allowed it to force customers to present claims individually, in arbitration, rather than in class-action format.

But a D.C. District Court said most AT&T subscribers wouldn’t have a shot at justice – if indeed AT&T is found culpable – without a class-action setup.