Verizon loses class action ETF appeal, will pay $21 million settlement

Legal

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A California appeals court has ruled that Verizon Wireless is to pay some 175,000 customers current and former customers $21 million as a settlement in a class action lawsuit over early termination fees. The class action suit was filed in California on the behalf of customers who were upset that Verizon asked they pay a flat ETF of $175 regardless of how many months were left on their contract. Each customer is expected to receive $87.50 as a result of the ruling. Too bad history is bound to repeat itself now that Verizon’s ETF for “advanced devices” (i.e. smartphones) is set at $350.

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97 Comments
  • Hillbilly Jack

    Buy the phone at the no commitment price and shut up!

  • gee
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  • gee

    enough links for vwz sup.

    • VZWSupe

      Wow, my email was blowing up with this dribble. Gee, you are right, you are right you are right. As wrong as absolutely are about everything you posted, you are the customer and the customer is always right.

      Now for the rest of the fine readers of BGR who in fact do have common sense and know how to research info, here is the factual timeline of everything he posted:

      Jan 2008 – Class action lawsuit filed in County Court in California

      May 2008 – Judge rules Flat Rate ETFs illegal (thus the whole reason for this BGR article to begin with). Sprint, AT&T, VZW and T-Mobile required to pay fees. FCC steps in and negotiates settlement due to Judge’s ruling violating Interstate Commerce laws as well as other Federal statutes. Carriers agree to settle via an arbitrator, however, some plaintiffs disagree on the settlement amount.

      July 2008 – Verizon switches to pro-rated etf.

      November 2009 – Verizon increases Smartphone ETF to $350.

      January 2010 – FCC sends inquiry letter to Verizon and all other carriers regarding increased ETFs.

      May 2010 – FCC publishes guidelines advising customers to be sure to inquire of carriers when etfs do and do not apply. (Business Week)

      July 2010 – Final settlement reached in California class action suit regarding etfs.

      Just thought you all would like to know the facts.

      • gee

        haha vzwsupe, it was fun messing with you.

        Etf’s, should be illegal there a adhesive contract customer has no negotiating powers. Cali is the only state that really recognize this fact.

        Yes, i said “Should”.

        does not change the facts part of everyones mrc goes to subsidization, if your on sprint,att,vzw. t-mobile is the only carrier not to do this.
        if you terminate a contract early(i.e 13month) is it fair you have to pay twice(part of your mrc,etf) for your subsidization?

        these carriers make allot of unaccounted money on erroneous charges. verizon and att are the biggest culprit when it comes to erroneous charges followed by sprint. the amounts are in the billions.

        There is more to a carrier than just phones and plans and coverage.

        you have to consider junk fees,etf, contract changes and how it may effect my commitment., overall t&c, usage restrictions,technology issues, will i pay more for features that are free on other carriers.

  • Eh?

    Wow Gee, you just can’t let a discussion go huh? Do you have some psychological need to have others say you are right or something? Grats to you for finding all those links. You should have stopped at the links and left off the “enough links for vzw sup.”

    First off, vzwsupe was 100% correct in their information whether you like it or not. Second, people are well aware that the FCC is investigating etf’s and that CA made that document, so nothing really new here, and none of it disproves anything vzwsupe is saying. That last comment though just weakens any position you might have had and comes off as sour grapes…

  • http://alghienkad06.student.ipb.ac.id/ thea

    Let’s be honest

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