Manuel Valdes

Dish Network will reimburse Washington state customers about $2 million for a surcharge officials called deceptive, but the satellite TV provider denied wrongdoing in the agreement announced by the state attorney general's office.

The Colorado-based company also will give existing customers who were charged the fee cash credit or access to free programming and pay the state nearly $570,000.

Dish denies the fee was illegal or deceptive, saying the state raised its business tax and the company was informing customers why prices were going up by listing a "Washington surcharge" on bills. Dodge said the company decided to settle with the state to avoid a court fight.