Discuss EVDO PCMCIA Cards, ExpressCards, EVDO USB, PDAs, Phones, Coverage and Mobile Broadband Cards. Discuss Verizon and Sprint Coverage. CradlePoint CTR350, CTR500, PHS300, MBR1000, MBR1200, PHS300. Discuss Improving signal with 3Gstore Antennas and Amplifiers.
EVDOforums.com
Discussion forum for EVDO users
 
 FAQFAQ   SearchSearch   MemberlistMemberlist   UsergroupsUsergroups   RegisterRegister 
 ProfileProfile   Log in to check your private messagesLog in to check your private messages   Log inLog in 

Our sites Include: EVDO Info :: EVDO Forums :: EVDO Maps :: EVDO Blog :: 3Gstore.com

To purchase your EVDO Card / Antenna / Amplifier / Router from the EVDO Experts, just contact us!

NY AGs Office: Verizon to Reimburse $1 million for Deception

 
Post new topic   Reply to topic    EVDOforums.com Forum Index -> Verizon EVDO Service (Mobile BroadBand & NationalAccess)
View previous topic :: View next topic  
Author Message
Alex
Site Admin


Joined: 19 Sep 2006
Posts: 3074
Location: Dallas, TX

PostPosted: Tue Oct 23, 2007 4:04 pm    Post subject: NY AGs Office: Verizon to Reimburse $1 million for Deception Reply with quote

Quote:
New York, NY (Oct 23, 2007) – Attorney General Andrew M. Cuomo today announced that Verizon Wireless has agreed to halt the deceptive marketing of its internet usage plans and reimburse $1 million to customers for wrongful account termination nationwide.

The settlement follows a nine-month investigation into the marketing of NationalAccess and BroadbandAccess plans for wireless access to the internet for laptop computer users. Attorney General’s investigation found that Verizon Wireless prominently marketed these plans as “’Unlimited,” without disclosing that common usages such as downloading movies or playing games online were prohibited. The company also cut off heavy internet users for exceeding an undisclosed cap of usage per month. As a result, customers misled by the company’s claims, enrolled in its Unlimited plans, only to have their accounts abruptly terminated for excessive use, leaving them without internet services and unable to obtain refunds.

“This settlement sends a message to companies large and small answering the growing consumer demand for wireless services. When consumers are promised an ‘unlimited’ service, they do not expect the promise to be broken by hidden limitations,” said Attorney General Andrew Cuomo. “Consumers must be treated fairly and honestly. Delivering a product is simply not enough – the promises must be delivered as well.”

The Attorney General’s investigation uncovered that while Verizon Wireless prominently placed print, television and online advertisements promising “UNLIMITED” NationalAccess and BroadbandAccess for $59.99 per month:

* “Unlimited” plans had hidden restrictions. Verizon marketed its NationalAccess and BroadbandAccess service plans to consumers nationwide as “Unlimited” despite the plans’ limitations. In fact, the plans only permitted limited activities such as web browsing, email and intranet access. Customers who used their plans for common activities such as downloading movies and video or even playing video games online, were unwittingly in violation of the terms and conditions of their service agreements.

* “Excessive use” of Unlimited Plans resulted in abrupt terminations. Verizon Wireless terminated heavy internet users claiming that the high levels of usage could only have been attained by activities, such as “streaming or downloading movies and video” prohibited by the terms and conditions. These usage restrictions were not clearly and conspicuously disclosed to consumers and directly contradicted the promise of “unlimited” service. Customers found their accounts abruptly terminated for excessive use, leaving them without internet services and unable to obtain refunds for their wireless access cards and cell phones.

From 2004 until April of this year, Verizon Wireless terminated over 13,000 consumers nationwide for “excessive” use of its “unlimited” internet access plans. These customers were subsequently unable to use their Verizon Wireless cell phones and modems to connect to the internet.

Verizon Wireless has agreed to reimburse all terminated consumers for the cost of wireless access cards or cell phones purchased by the consumer in order to utilize Verizon Wireless’s wireless internet service. Verizon Wireless estimates the total amount of restitution to be approximately $1 million nationwide. Verizon Wireless has also agreed to pay penalties and costs of $150,000 to New York State and revise the company’s marketing of its wireless internet access plans.

Verizon Wireless fully and voluntarily cooperated with the Office of the Attorney General throughout this inquiry. Since April of 2007, Verizon Wireless has voluntarily ceased cutting off customers based on their data usage and no longer prohibits common internet uses.

The case was handled by Justin Brookman, Chief of the Attorney General’s Internet Bureau, with assistance from Investigator Vanessa Ip.
Back to top
View user's profile Send private message Visit poster's website AIM Address
Polaro
EVDO User


Joined: 29 Mar 2005
Posts: 83
Location: Austin, TX

PostPosted: Tue Oct 23, 2007 6:50 pm    Post subject: LOL Reply with quote

To all you Verizon apologists who said they would get away with their lying, I guess I was right and you were wrong. Nice to see someone sticking up for truth in advertising. Unlimited means unlimited. I almost can't believe this happened because it is so right. Laughing
_________________
Victor
Back to top
View user's profile Send private message MSN Messenger
southsanfran
EVDO User


Joined: 21 Apr 2007
Posts: 55

PostPosted: Tue Oct 23, 2007 8:52 pm    Post subject: Reply with quote

Given that some of the most affluent and influential people in the world live in NY and would be naturally attracted to EVDO, it's no surprise Verizon was held accountable.
Back to top
View user's profile Send private message
Alex
Site Admin


Joined: 19 Sep 2006
Posts: 3074
Location: Dallas, TX

PostPosted: Tue Oct 23, 2007 9:13 pm    Post subject: Reply with quote

Here's a thought... will other states follow suit? will FCC get involved?
Back to top
View user's profile Send private message Visit poster's website AIM Address
southsanfran
EVDO User


Joined: 21 Apr 2007
Posts: 55

PostPosted: Wed Oct 24, 2007 5:18 am    Post subject: Reply with quote

According to the press release, Verizon has provided restitution nationally, not just for NY. This probably is because the cost of doing so is trivial to Verizon.
Back to top
View user's profile Send private message
jackrodgers
EVDO Addict


Joined: 23 Mar 2006
Posts: 1131

PostPosted: Wed Oct 24, 2007 5:45 am    Post subject: Re: LOL Reply with quote

Polaro wrote:
To all you Verizon apologists who said they would get away with their lying, I guess I was right and you were wrong. Nice to see someone sticking up for truth in advertising. Unlimited means unlimited. I almost can't believe this happened because it is so right. Laughing


It is not an issue of right or wrong, it is a court judgement. Court judgements get over turned all the time and the judges are appointed or elected based on certain biases.

My posts compared unlimited 'access' to unlimited 'downloads'. Two different concepts.

A court judgement doesn't show who's right and who's wrong but who has the best lying lawyer... Razz

I do applaud the judgement though as it will force more honest advertising, if that is possible. Isn't advertising acknowledged to mean 'lying'?

Hopefully in the future the wireless Telcos will be restricted to just selling air time but may have a subsidiary selling devices without the two being linked. Thus you could subscribe to an account without having to have a two year contract to cover the cost of the 'FREE' card or phone. As it is there are so many layers of commissions to pay that the price is terribly inflated. Thankfully we don't have to enter a two year contract to pump gas.

We should be able to get a simple, uncluttered with features, connection for both our phone and our data cards and not have to pay extra for the 'Free' equipment. That costs should be financed under a separate contract. Devices should work universally on similar networks. I should be able to buy a quality no feature phone at a reasonable price.

[Admin: Jack, political posts not allowed, comments below deleted. Please follow EVDOforums rules to be able to continue posting here]
Back to top
View user's profile Send private message
Alex
Site Admin


Joined: 19 Sep 2006
Posts: 3074
Location: Dallas, TX

PostPosted: Wed Oct 24, 2007 6:14 am    Post subject: Reply with quote

I'm going to put a lot of focus on this phrase in that release:

"Verizon Wireless has voluntarily ceased cutting off customers based on their data usage and no longer prohibits common internet uses."

The legal department would not allow that to have been published exactly that way, unless they were willing to get sued over it.

This explains why 3gstore has not heard of any verizon customer being terminated for 'abuse' in so long, even though they know they routinely transfer in excess of 5gb per month.

In my mind, the "5GB Issue" is a moot point, henceforth.
Back to top
View user's profile Send private message Visit poster's website AIM Address
Alex
Site Admin


Joined: 19 Sep 2006
Posts: 3074
Location: Dallas, TX

PostPosted: Wed Oct 24, 2007 8:34 am    Post subject: Reply with quote

Upon careful re-analysis of the NYAG release, I've come to form another opinion. (shocking. i know. go figure.)

During the past few months, I've had many potential verizon customers who fear the 5Gb threshold express concern that they would be subjected to an 'early termination fee' (ETF) if they were terminated for abuse. Some would mention reading on this forum or another, conflicting information about whether or not verizon charged an ETF to those they terminated for abuse.

The way I read it, the settlement clearly stated that the reimbursements were for the cost of equipment that customers were unable to get refunds on after being terminated.

There was never a mention of any ETF reimbursements, and in my mind they would have had to mention it, if thats what any of the reimbursements were for.

This leads me to form the opinion that customers who were terminated for abuse were never charged an ETF.
Back to top
View user's profile Send private message Visit poster's website AIM Address
Polaro
EVDO User


Joined: 29 Mar 2005
Posts: 83
Location: Austin, TX

PostPosted: Wed Oct 24, 2007 10:57 am    Post subject: Re: LOL Reply with quote

Jack, man, I know guys like you - who will make an argument out of anything and the more obscure the point the happier they are. If you're going to ramble on at least stop talking in circles trying to find silly ways to dissect the issue to support your losing point. Lying is lying and deceptive advertising = lying. Advertising does not equal lying as you state.

And if you think it is just having a better lawyer, want to bet Verizon does not appeal this decision. They got called on their BS and now they are paying their punitive fine and marching forward. It cost them a million bucks to basically keep everyone else in line out of fear. Guess it actually was a good investment for them. Shame it reinforces the stereotypical bumbling, inept utility view many people have. All they had to do in the beginning was to not put "Unlimited" in 40 pt type in their ads when they had no intention of honoring it.
_________________
Victor
Back to top
View user's profile Send private message MSN Messenger
bradsjm
EVDO User


Joined: 05 May 2005
Posts: 29

PostPosted: Wed Oct 24, 2007 11:02 am    Post subject: Reply with quote

Quote:
Verizon Wireless has agreed to reimburse all terminated consumers for the cost of wireless access cards or cell phones purchased by the consumer in order to utilize Verizon Wireless’s wireless internet service.

Great, now how do people like myself request this reimbursement for the card we purchased? I'm sure Verizon won't make this easy to do Sad
_________________
Jonathan Bradshaw
Back to top
View user's profile Send private message
rwithers
EVDO User


Joined: 01 Oct 2007
Posts: 51
Location: Louisa, VA

PostPosted: Wed Oct 24, 2007 12:13 pm    Post subject: Reply with quote

Quote:
Verizon Wireless has voluntarily ceased cutting off customers based on their data usage and no longer prohibits common internet uses


Although I see how this could be portrayed as they are no longer partake in this practice if you look at their website today there is nothing on their about unlimited service anymore and everything now references
Quote:
for internet & email


Seems like they might be ramping up to give themselves a case to disconnect people again.
Back to top
View user's profile Send private message
Alex
Site Admin


Joined: 19 Sep 2006
Posts: 3074
Location: Dallas, TX

PostPosted: Wed Oct 24, 2007 12:37 pm    Post subject: Reply with quote

rwithers wrote:
there is nothing on their about unlimited service anymore

thing is, they removed all reference to unlimited data back in the spring.

want proof? OK then. let's use the "wayback machine"

http://web.archive.org/web/*/http://b2b.vzw.com/broadband/bba_terms.html

you'll find a list of links representing stored/archived versions of verizons TOS.

load the one for Feb. 26, 2007 and search page for "unlimited". you'll find it.

but load the page for April 22, 2007 and search page for "unlimited". not there.
Back to top
View user's profile Send private message Visit poster's website AIM Address
headcase
EVDO User


Joined: 27 Aug 2005
Posts: 38
Location: Raleigh, NC

PostPosted: Wed Oct 24, 2007 4:10 pm    Post subject: Reply with quote

But in any case, their *existing* terms clearly state that:

"Data Plans and Features (such as NationalAccess, BroadbandAccess, GlobalAccess, and certain VZEmail services that do not include a specific monthly MB allowance or are not billed on a pay-as-you-go basis) may ONLY be used with wireless devices for the following purposes: (i) Internet browsing; (ii) email; and (iii) intranet access (including access to corporate intranets, email, and individual productivity applications like customer relationship management, sales force, and field service automation). These Data Plans and Features MAY NOT be used for any other purpose. Examples of prohibited uses include, without limitation, the following: (i) continuous uploading, downloading, or streaming of audio or video programming or games; (ii) server devices or host computer applications, including, but not limited to, Web camera posts or broadcasts, automatic data feeds, automated machine to-machine connections or peer-to-peer (P2P) file-sharing; or (iii) as a substitute or backup for private lines or dedicated data connections. This means, by way of example only, that checking email, surfing the Internet, downloading legally acquired songs, and/or visiting corporate intranets is permitted, but downloading movies using P2P file-sharing services and/or redirecting television programming content for viewing on laptops is prohibited."

Revised 7/24/07.
http://b2b.vzw.com/broadband/bba_terms.html

Some things never change... thank goodness Sprint isn't so ridiculous.
Back to top
View user's profile Send private message
mhtyler
EVDO Heavy User


Joined: 01 Jul 2007
Posts: 143

PostPosted: Thu Oct 25, 2007 2:55 am    Post subject: knowledge of fair usage Reply with quote

The issue of right or wrong is key in the case. I would never have chosen Verizon because the most casual information I gathered about their plan showed a fair usage clause. So I do wonder how ignorance can be claimed in New York.

I've never been impressed with Verizon and fair usage is a poor policy, but when you're not reading what your signing who is deceiving who? My sympathy is with the subscribers, but I wonder if the law will be ultimately.

mark
_________________
Mostly Harmless
Back to top
View user's profile Send private message
clownz
EVDO Fledgling


Joined: 23 Sep 2007
Posts: 21

PostPosted: Thu Dec 06, 2007 12:29 pm    Post subject: Reply with quote

If you read the last part where it says "common internet usage", who's not to say in a few months P2P will be labeled uncommon internet usage. See, that statement can also be deceptive. I had a friend who walked back into a Verizon store and asked them specifically, if I use Verizon's EVDO for gaming will I get termed', the rep adv him yes, he would get termed eventually.

Are they going to redisclose for new customers?, and maybe the agreement will only hold true for prev existing customers.

Verizon is a very smart company legally and is held together by many great investors (especially with FIOS) and has also cooperated in the past with turning info over against the ACLU's thoughts of customers privacy.

The questions is : Are their spying eyes with Verizon's new "unlimited usage" and is it good only for prev customers. Time will tell.
Back to top
View user's profile Send private message
Display posts from previous:   
Post new topic   Reply to topic    EVDOforums.com Forum Index -> Verizon EVDO Service (Mobile BroadBand & NationalAccess) All times are GMT - 6 Hours
Page 1 of 1

 
Jump to:  
You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot vote in polls in this forum







Buy from the 3G Experts @ 3Gstore.com


CradlePoint MBR1200 $269.99


Sprint MiFi $59.99


CTR500 $179.99

MBR1000 $189.99


CTR350 $89.99


PHS300 $159.99


Sprint 598U - Free


Sprint Rev A ExpressCard: Merlin EX720 - Free


Purchase an EVDO Booster Antenna


Purchase an EVDO Amplifier


Your Mac EVDO Experts









EVDO Antenna Booster





Digg Us :: del.icio.us :: technorati :: furl

4G :: 4G Forums :: PHS300 :: MBR1000 :: Novatel Ovation U760 :: Verizon USB760 :: CBA250 :: MBR800 :: 598U :: MBR1200 :: WiPipe Central :: U760 :: MP3450i