The state attorney general's office says Dish Network Corp. will reimburse Washington state customers about $2 million for what it calls a deceptive surcharge, but the satellite TV provider denies any wrongdoing.
Dish general counsel Stanton Dodge said Tuesday that the surcharge was not deceptive or illegal. He says it was imposed after Washington increased a business tax.
Dodge says the company decided to settle with the state to avoid a court fight.
Under the agreement, the Colorado-based company will also give existing customers cash credits or free programming and pay the state nearly $570,000.
Dish charged its Washington customers a dollar fee between May and December 2012.
The attorney general says the company didn't accurately advertise the total cost of TV packages because it listed the surcharge separately.
Explore further: Dish chief: Pay TV mergers needed to offset fees