NZXT Settles $3.45 Million over Flex PC Rental Dispute
NZXT and its partner Fragile agreed to a $3.45 million settlement to resolve a class-action suit over the Flex PC rental program. The preliminary settlement was filed in a California federal court on April 7. Plaintiffs alleged a civil RICO claim, deceptive marketing, and aggressive debt collection affecting 19,322 customers.
Terms of the agreement
The settlement provides multiple forms of relief for impacted users. It includes debt forgiveness, cash payouts, and transfers of device ownership.
- Up to $5,000 in debt forgiveness for customers more than 90 days past due. Debt relief is expected to be applied automatically to eligible accounts.
- A $1.2 million fund for customers who paid into the program for two years or longer. Those customers will be granted full ownership of their PCs.
- Cash payments for former users who returned devices and have no outstanding balances. Payment amounts depend on the number of valid claims filed.
Eligibility and timeline
Customers who subscribed between October 19, 2023 and March 30, 2026 can file claims. The court filing states the claims portal should open around April 28.
Final judicial approval is expected in September. If approved and uncontested, the case will not go to jury trial.
Program disclosures and pricing
As part of the deal, NZXT must disclose that Flex is not a rent-to-own program. The company had marketed Flex as a rolling rental subscription with prices starting at $69 per month.
Influencer promotions reportedly implied ownership paths. Plaintiffs said such promotions contributed to consumer confusion.
Background and allegations
Plaintiffs accused NZXT and Fragile of deceptive marketing and improper collections. The complaint asserted the companies defrauded 19,322 customers through the Flex program.
The Flex offering was described by NZXT as a flexible alternative to buying or financing a gaming PC. The lawsuit, filed as a civil RICO case, sought broader remedies before the settlement.
Next steps for customers
Eligible users should monitor the claims portal when it opens. Filmogaz.com will follow developments and provide updates on payouts and relief distribution.
This settlement resolves the central claims if the court grants final approval. Customers with questions should review the official court notices once the portal is live.