The Federal Trade Commission and Washington state have filed a proposed settlement with Riverside Payments, its affiliate Cascade Equipment Leasing and two executives over allegations that the companies misled small businesses about processing costs, contract terms and cancellation rights.
The complaint, filed in the US District Court for the Western District of Washington, names Brandon Skinner and Jason Reese alongside the two companies. It alleges that sales staff promised savings of 40% to 60% while failing to disclose recurring fees, automatically renewing processing agreements and separate equipment leases that could run longer than the processing contracts.
Regulators also allege that customers who were told cancellation was “risk-free” encountered a $695 early-termination charge and repeated obstacles when they tried to leave. A separate part of the complaint says Riverside advertised annual earnings of $75,000 to $95,000 for commission-based sales agents, although the average was about $3,787.
The defendants have not admitted the allegations. Under the proposed stipulated order, they would pay $600,000. A $32.08 million monetary judgment would be suspended because of their stated inability to pay, but could become due if their financial disclosures were materially inaccurate.
Current customers would receive a 60-day period in which Riverside must waive early-termination charges or other penalties for rescinding merchant-processing agreements. The order would also bar specified misrepresentations and require clearer disclosures and consent procedures.
The settlement remains subject to approval by the federal court. The FTC’s case record, complaint and proposed order were filed on 2 November 2026.
