November 15, 2006

T-mobile receives termination fee over termination fee

| | Comments (0)

Untitled-1.pngFeeling robbed over telecom termination fees, an Idaho lawfirm is suing T-mobile. T-mobile, who is infamous for their $200 termination fee, is accused of breaking laws in 13 states.

T-Mobile's fee is the same whether a customer cancels at the start or near the end of a contract, and is applied even if the customer is canceling because of poor service, according to the law firm Greener, Banducci, Shoemaker, the initial plaintiff. The firm is being represented by Boise attorney Curt McKenzie.

Under consumer protection laws the 13 states, if Bellevue, Wash.-based T-Mobile, a U.S. subsidiary of the German company Deutsche Telekom AG, can figure out how much damage it incurs from a broken contract on a case-by-case basis, it can't charge a standard fee, the lawsuit says.

Essentially, if the lawsuit goes through, T-mobile will incur tens of millions of dollars to pay back hundreds of thousands of customers in 13 states. Also, this lawsuit is being seen as a potential flagship for future lawsuits against all U.S. carriers who charge termination fees. With the recent Sony battery recall that continues to grow in money lost, brand slandering may be another devastating outcome of the suit filed today.

tags technorati :

Leave a comment

(moderated for inappropriateness)