The EZ Pass Cash Grab in the Era of Automated Suffering
The Penalties are excessive, the outcry is there, it's time for change.
By Sander Hicks
In 2018, Deloris Ritchie, her two children, and her 79 year old mother were stopped on the RFK Bridge by local police. Due to an EZ Pass toll violation, her vehicle was impounded. They were left in the Bronx at 2 AM on Thanksgiving morning, in the freezing cold.
She is not alone. Many stories from this time reported that the cashless toll system EZ Pass was excessively penalizing NYC area drivers. People were being hit hard with sudden extra $100 fees, multiplied by hundreds of missed tolls. Vehicles were seized. Drivers were forced to pay excessive impounding and tow fees on top of the other heavy penalties. Families were pulled over, forced out of their cars, abandoned by police.
Now it’s 2024 and EZ Pass is still charging huge $100 fines for each missed toll. People are still getting their vehicles get taken away. I know, because it It happened to me.
Back in May, I was pulled over in Freeport, NY, and surrounded by a swarm of local police and tow trucks. They impounded my work van, which disrupted my business. I got upset. I almost ended up in handcuffs. It felt like 1984.
I run a carpentry business. Our records show we paid $11,467 in tolls to EZ Pass from 2019 to 2023. Early in 2024, there were a few months that the debit card was out of sync with EZ Pass. OK I admit it! And I would have fixed it if I had known. But EZ Pass didn’t notify me or the company. At the tolling place, the digital message just says “Call EZ Pass” when what they really mean is, “we will bill you an extra $100 on top of each toll you do not pay.”
That’s right. An extra $100 to EZ Pass for missing a $10 toll.
In my case, those fees quickly added up to $18,900. I thought we were alright because we had already paid $6,127 to EZ Pass in 2024 alone. We were not alright.
If you don’t pay, you get hell. EZ Pass works with the NY DMV to “suspend your registration.” This means that you can no longer drive, and you could go to jail for driving. Plus, even if you have been paying your insurance, the NY DMV decides that that insurance is invalid. Why? Because your registration is invalid. This makes sense to them. So police write you another ticket for “driving without insurance” even though you paid your insurance.
They give you a ticket six feet long. Then they take your car.
I wanted to scream. I tried to roll up my windows so the arresting officers there in Freeport wouldn’t get their ears hurt. But they thought I was trying to lock myself in my vehicle, so they pounced on my van doors.
The main police officer promised that if I left my van, I could get a payment plan. But EZ Pass, I later found out, does not offer a payment plan. (Lawyer Michael Palumbo on his blog advises you that Port Authority or the ThruWay authority, the agencies behind EZ Pass, do offer payment plans. But you have to circumvent EZ Pass and go direct. He also calls the fines “insane.”)
Freeport Police gave me a ticket that was literally six feet long. Like a scroll. The police officer admitted that this isn’t her favorite part of her job. The police called a private tow truck agency and they took my van away.
The next day I paid $5,247 and change to EZ Pass. I also paid the towing company their impounding, storage, and towing fees. But when I got the van back, it had no plates, so I had to run back to the Village of Freeport and get the license plates.
The $5247 was a settlement EZ Pass gave me, a compromise from the $100 per toll, which had caused a penalty of $17,350 for tolls of $1,817. But EZ Pass was willing to reduce the crazy $17,350 to $3,430. The problem was that I didn’t have the $5,247 to pay to get my van back. I had to borrow it from a relative and that caused more stress.
Why doesn’t someone fight this in court? On June 17, I went to the Village Court hearing in Freeport. The DA offered to reduce the “suspended registration” and “no insurance” tickets to misdemeanors. And that was considerable. But then, we got to talking….
Wasn’t the extra $100 on each unpaid toll excessive? Doesn’t the US Constitution in Amendment 8 say we the people are protected against “excessive fines and penalties?” The DA rolled his eyes, and said, “I don’t get paid enough to discuss the Constitution with you.” He also threatened to send me to jail for two weeks if I lost at trial. He really didn’t want me to fight him at trial.
I said, “it just doesn’t seem right that so many people are suffering from these huge fines.” He curtly responded, “OK then we go to trial!” (It got scheduled for five months later.)
Farina Vs. MTA
EZ Pass is big business. According to the Port Authority of New York and New Jersey, 83% of vehicles crossing its six bridges and tunnels used E-ZPass for toll payment during all of 2016. (I know that that was eight years ago, but it seems that that was the last time EZ Pass published such private data.)
And what is EZ Pass? But who actually owns EZ Pass? That’s complicated, because no single entity actually owns EZ Pass. It’s a network of state governments who each own their state’s EZ Pass operation. Who benefits from the huge excessive fines?
What would it be like to take on EZ Pass, the three huge tolling agencies it works for and the multi-billion dollar corporation that bills people? That’s what the lawsuit Farina et. al. Vs. MTA et. al. was all about. And even though they lost, they made a strong case. And EZ Pass tried to cover it up.
Similar lawsuits later summarized Farina Vs. MTA as a case that argued all the extra $100 EZ Pass fees were “subject to scrutiny under the excessive fines clause” of the Bill of Rights.
In his lawsuit, Jason Farina and four other co-plaintiffs sued the MTA but also Conduent, the high-tech billing corporation. The lawsuit alleged that “Plaintiffs — who operate those systems and collect tolls from drivers — have used the cashless toll system to line their own pockets at the expense of drivers, primarily by collecting improper fees and penalties in addition to collecting the tolls.” The suit claimed Conduent collected $3 billion in revenue for the MTA’s bridges and tunnels and the Port Authority of New York and New Jersey in 2015.
The suit was dismissed in 2018. But the opinion of the Court is interesting. It seems that Farina and the other plaintiffs did have a case with merit. They did have “Article III” standing, which is the Constitution’s requirements to file a lawsuit. The penalties they paid did constitute a real injury. The Constitution’s 8th Amendment does protect us against fines that are “grossly disproportional.” The Court did seem to agree.
But in the end, EZ Pass got lucky and got away on a technicality. In the Court’s final decision to dismiss, they took issue with the fact that Farina hadn’t told them specifically what he paid EZ Pass in tolls, separated out from what he paid in fines. Read it yourself:
Because the Complaint fails to set forth the amount of fines paid by Farina, it fails to plausibly allege a violation of the excessive fines clause. The allegation that Farina was initially was billed "more than $6,000" in fines (Compl't ¶¶ 7, 18, 74) does not reflect the amounts he paid to resolve the matter. With no allegation as to the amount of fines actually paid by Farina, it is not possible to undertake the four-factor analysis of whether his fines were "grossly disproportional" to the underlying offense and therefore a plausible violation of the Eighth Amendment. Viloski, 814 F.3d at 111.
Farina's excessive fines claim will be dismissed.
In another part of the decision, the Court noted you need “ripeness” or appropriate timing for a lawsuit. And without a specific fine amount, there’s no “ripeness.”
"[C]hallenges under the Excessive Fines Clause are ... generally not ripe until the actual, or impending, imposition of the challenged fine." Cheffer v. Reno, 55 F.3d 1517, 1523 (11th Cir. 1995).
However, the Court did agree that these penalties and fines that the MTA and EZ Pass are handing out are certainly “punitive” and that that would satisfy the requirements in future proceedings around this issue and “excessive penalties” clause of the 8th Amendment.
The Court did seem to often believe that his case deserved judicial review, and that it had merit. The Court seemed to agree that the EZ Pass fines that are “grossly disproportional” to the offense, and are potentially a violation of our 8th Amendment rights.
The forces behind EZ Pass, MTA and TBTA and others tried to completely seal the case. Maybe they didn’t want the public to see how close the courts came in 2019 to judging that the fines were excessive, and a violation of your rights.
An Automated Form of Suffering
Forbes.com reported that a hacker found a way to open up his EZ Pass, wire it up to some sound effects, and make it go “Mooo” everytime it was “dinged” by a government agency tracking your data. That’s right, your EZ Pass is sending your information wherever it wants to–not just to toll agencies. Your EZ Pass is a data cow - getting milked not just for your money, but also your private location information. NYC explained that they were just using it to track some innocent traffic patterns in midtown.
But did you know that your EZ Pass is reporting to strangers exactly where you are? The 4th Amendment protects you allegedly, against “unreasonable search and seizure” and that should include your private data. Justice Louis Brandeis once summarized the 4th Amendment as your “right to be left alone.”
EZ Pass is part of an emerging technocratic, harsh urban experience that is fast making NYC unlivable. The average cost of living in Manhattan is 130% higher than the US national average; housing costs in Manhattan are 412% higher than the national average.
EZ Pass technology has a cousin in the NYC camera ticket program. The spike in tolls drivers have to pay this year is an automated form of suffering brought on by greedy government and new tech. Drivers in NYC get dinged almost daily with the new camera tickets. The new speed limit is 25 MPH throughout the city, it’s a robotic speed trap. NYC is deeply in debt and can’t resist taking the easy hi-tech way to rake in huge dollars. The new speed camera program drags in a fast $109 million a year according to NYC’s own website.
From the current Mayor on down, is this a city that can be trusted with an extra $109 million a year of our money? Where is it going? The city chirps that it is looking to get even more income in soon, expecting major “increases due to the new 25 mph speed limit and expanded enforcement capabilities.”
On the other hand, the thousands of new speed cameras and automatic tickets have led to 25% less traffic deaths in NYC. Which I guess can make you feel better. We the People gave up $109 million last year and we did get something for it. We got safer streets. But is excessive taxation really the only way?
What if NYC made the buses and subways, cheaper, easier, and a more pleasant experience? Heck, what about making buses free? Zohran Mamdani is the State Assembly Member who made buses free and got more people to ride them. It was a big success for him. And now he’s running for Mayor. Hmmm….
Speed Cameras and excessive penalties are not the only way to calm traffic. Urban planners in NYC could also use speed cushions, which are small humps on the road, or we could design “raised intersections” which are proven to slow down traffic. They work especially well in intersections with a lot of pedestrians and bikes. There are also speed strips and traffic circles, and…. the classic speed bumps. But none of those inexpensive solultions put an extra $109 million into the pockets of a corrupt city.
Hope For Change
According to a TV station in Maryland, in 2022, 12,000 citizens signed a petition to reform EZ Pass. They demanded Maryland Governor Hogan investigate billing problems.
In a similar way, here in New York State, We take hope in the brewing legislation in the form of NY State Senate Bill S1258, and urge its passage. The bill aims to provide “sensible, rational, consumer-friendly relief and reform to the MTA's Cashless Tolling System by (1) Enacting toll amnesty for a period of six months; (2) Providing for public disclosure of the current MTA Fee Waiver Policy; and (3) Capping fees for toll charges at no more than twice the original toll charge for the first three months and no more than three times the original toll charge for fees in the four to six month range.”
There is similar proposed legislation in New Jersey.
My trial date in the Village of Freeport is November 14th. I will fight the charges on Constitutional grounds. I will fight them because working people shouldn’t have to pay excessive fines to the government. I drive a van because I am a maker, and a doer. I am a part of a team of craftsmen. We buys raw materials, move them with a van, and we make useful things. There are a ton of taxes, fees, and penalties that I have to already pay. It’s time to stand up to an unconstitutional and excessive penalty.
MORE INFO:
With my team, we have assembled a paper trail of past media reporting on this issue, as well as some other class action lawsuits, and lawyer posts and commentary.
[Thanks to Randielle Salonga for research assistance.]
NOTABLE VICTIMS of EZ PASS Excessive Fines:
Cheyenne Samu, 2022 - a 26-year-old from Jamaica, Queens, accrued nearly $5,800 in penalties from a $735 toll balance. Her fees accumulated over time, starting in 2020, and she struggled to resolve the charges as the fees multiplied.
SourceKrystina Valinotti, a Bronx resident, discovered she owed an astonishing $100,000 to the MTA after two years of unpaid tolls from a car registered in her name. She managed to negotiate it down to $15,000 after reaching out to the MTA’s Toll Payer Advocate, but only after significant effort and confusion. Her case started in 2019 when she was unaware of the tolls racking up under her name.
SourceDaniele Gates, known from 90 Day Fiancé: The Other Way, found herself in deep financial trouble, with $80,000 in tolls and related fees due to her frequent travels for work. This significant debt was highlighted during her 2022 bankruptcy filing, alongside other financial struggles like $60,000 in student loans. The bankruptcy filing did not cover the toll debt, adding to her financial stress while living beyond her means in New York City. This financial burden added drama to the storyline on her reality TV show.
SourceJason Farina has been at the center of a lawsuit against the Metropolitan Transportation Authority (MTA) related to cashless tolling practices. His case highlighted significant concerns about how the system has been implemented. His lawsuit, Farina Vs. MTA, was filed in February 2018. It alleges that the cashless tolling system unfairly penalizes drivers,. Farina claimed that after receiving erroneous toll charges, he ended up facing $6,100 in fines for not paying tolls he believed were already settled
SourceDeloris Ritchie of Spring Valley, NY said that she, her elderly mother and her two children were pulled over by police on the RFK Bridge at 2 AM on Thanksgiving because her registration had been suspended. She and her family were left on a Bronx street in near freezing temperatures. Ritchie discovered that she had an outstanding toll bill of $12,000, with the Thruway Authority, who claimed she hadn’t made any payments since April 2016, although she has copies of the checks written to pay for the tolls. When she called the Thruway Authority to discuss her account, they offered to settle her bill for $3,900.
SourceJanet Berg of Ossining has been fighting E-ZPass and cashless tolling for a dozen years. She took out $5k from her IRA to pay her debt in tolls and fines, in 2018.
SourceArthur Sobers - Sobers received a surprise summons to appear in court for 29 toll violations on the 495-Express Lanes in March and May of 2013. The grand total Sobers owed was $29,667, for missed tolls.
Source
For More Info and Our Sources on This Story:
NYC GOV on Camera Tickets
Our Source on NYC Camera Tickets: https://www.nyc.gov/html/dot/html/pr2024/nyc-dot-mobile-speed-camera.shtml
List of Sources on EZ Pass:
1. Source: PIX 11 News - Mar 6, 2023
Bronx Assemblyman Kenny Burgos is on a mission to reduce the late fees charged for unpaid bridge and tunnel tolls in New York.
NY Lawmaker Pushing for Relief from Toll Violation Fees - This video features a New York lawmaker Kenny Burgos advocating for relief from the excessive toll violation fees, providing a legislative perspective on the issue. (Update - Unfortunately, AssemblyMember Burgos resigned suddenly, in Summer of 2024.)
2. “The City” NYC news website -
Motorists Say E-ZPass Routinely Racks Up Unfair Fees for Unpaid Tolls
Proponents of a state bill already killed three times are still trying to pass measures to shield drivers from surprise fees and collection agency harassment.
March 1, 2023
Summary: This article discusses the impact of $100 fines on NYC drivers, emphasizing how missed payments can lead to significant financial burdens.
Full story: E-Z Pass Fees and Fines -
3. If You Need an Anti-EZ Pass Lawyer…..Michael Palumbo, Esq. Law Blog
This article discusses how the $100 violation fee imposed by E-Z Pass can lead to severe consequences, including vehicle registration suspension and collection actions. The blog post emphasizes that these fines are often unfair and disproportionately affect individuals who may not have received proper notice of missed tolls
Date of Post:
October 11, 2021 | by Michael Palumbo |
Full post here:
Palumbo & Associates, PC
Palumbo contact info: (914) 777-2990.
4. NY State Senate Proposed Legislation
Legislation has been introduced to address the issue of these high fines, proposing a cap on the penalties to make them more reasonable. This bill seeks to limit the fees to twice or three times the original toll amount, depending on how long the payment has been overdue. Details on the bill.
The third point below from the bill’s summary, is most relevant:
To provide sensible, rational, consumer-friendly relief and reform to the MTA's Cashless Tolling System by (1) Enacting toll amnesty for a period of six months; (2) Providing for public disclosure of the current MTA Fee Waiver Policy; and (3) Capping fees for toll charges at no more than twice the original toll charge for the first three months and no more than three times the original toll charge for fees in the four to six month range.
5. ABC News Channel 7 NYC - - “Thousands In Fines Causing Commuters E-Z Pass Exasperation”
Summary: Many drivers are being hit with unexpected and exorbitant fines due to missed toll payments, often without prior notice or the ability to address the issue before penalties are applied. The report highlights the frustrations of these drivers and calls attention to the need for better communication and fairer practices in toll collection.
full article here.
6. Jason Farina v. Metropolitan Transportation Authority
As reported by: Top Class Actions -
A class action lawsuit has been filed against E-Z Pass, alleging that the $100 fees for toll violations are unconstitutional. Many users report issues with being charged exorbitant fees, sometimes amounting to thousands of dollars, even when they had already paid the tolls or had sufficient funds in their accounts. The lawsuit highlights the struggles of users facing registration suspensions and collection agency actions due to these fines
The MTA Toll Fee Class Action Lawsuit is Jason Farina v. Metropolitan Transportation Authority, et al., Case No. 1:18-cv-01433, in the U.S. District Court for the Southern District of New York.
Farina is represented by Stephen J. Fearon Jr. of Squitieri & Fearon LLP.
Date of Post: February 20, 2018
7. LoHud online newspaper
(part of USA Today) February, 2018
Lawsuit: cashless tolling a scheme with 'secret agreements' to divvy up millions in fees
Thousands of motorists have been hit with tens of millions of dollars in fees, the lawsuit claims
Contact the Writer: Thomas C. Zambito
Rockland/Westchester Journal News
Article covers the Jason Farina lawsuit, which challenges New York's cashless tolling system, alleging that it operates as a "scheme" with secret agreements between the state and private contractors to divide millions of dollars in fees collected from drivers.
The lawsuit argues that the system unfairly targets drivers, leading to excessive fines and penalties without proper notice. The case raises concerns about transparency and fairness in how these tolls and fees are administered.
Full article here.
Forbes Story Video on Hacker Hacking EZ Pass to Expose Privacy Violations:
And other articles that connects to that story, here they are:
1. Is Your E-ZPass Spying on You? - https://scottschober.com/is-your-e-zpass-spying-on-you/
2. Does E-Z Pass Track Cars Outside Of Toll Roads https://bigfrog104.com/e-z-pass-track-cars-outside-of-toll-roads/?utm_source=tsmclip&utm_medium=referral
Conduent Controversies, these are stories relating to the malpractice of the company Conduent, aside for the EZ Pass issue they had other issues in the past, see below:
1. Broadleaf and Conduent to Pay $120,000 to Settle EEOC Disability Discrimination Lawsuit - https://www.eeoc.gov/newsroom/broadleaf-and-conduent-pay-120000-settle-eeoc-disability-discrimination-lawsuit
2. Conduent CEO Responds To Controversy Surrounding Cashless Tolling Contract - https://www.crn.com/news/components-peripherals/woe-beset-conduent-nonetheless-perseveres
3. CFPB fines student loan servicer $3.9 million for unfair practices
- https://www.dfs.ny.gov/reports_and_publications/press_releases/pr1901041
More information on EZ Pass Billing subcontractors:
But some research into the billing and collections contractors that EZ Pass uses are quite interesting. Transworld Systems and Conduent have both faced scrutiny and legal action for their handling of EZ Pass debt collections. Transworld Systems is one of the largest debt collectors in the U.S., and it has been accused of aggressive tactics, and has many consumer complaints. Allegations include unauthorized collection attempts, confusing communications, and insufficiently explaining debt details in their collection letters, leaving consumers uncertain about amounts owed and accruing fees. This lead to several class action lawsuits under the Fair Debt Collection Practices Act (FDCPA) for violations including misrepresentation and harassment.
Similarly, Conduent, the company responsible for managing EZ Pass customer service in some regions, has faced criticism and legal actions due to customer reports of poor service, billing issues, and alleged mishandling of payments and violations, causing unnecessary fines and penalties. Lawsuits suggest that both Transworld and Conduent have inadequately addressed consumer rights.
Transworld Critical Dispute Website: https://stop-collections.com/agencies/transworld-systems-inc-info-dispute-guide/
This link here shows numbers of people who complained about Transworld Systems - Consumer Complaints Regarding Transworld Systems filed with Consumer Financial Protection Bureau (CFPB) - I have read some and most of the people are saying that they are being asked to pay for the money they don't owe.