Termination fees ruled illegal: California judge rules early cell phone termination fees illegal, how do you feel about this?

Question Technology

Termination fees ruled illegal: California judge rules early cell phone termination fees illegal, how do you feel about this?

by Eric Posted July 31, 2008 23:00:09

28 answers
Read all 22 comments
+9 raves

In one of the most significant legal rulings in the tech industry this year, a Superior Court judge in California has ruled that the practice of charging consumers a fee for ending their cell phone contract early is illegal and violates state law.

The preliminary, tentative judgment orders Sprint Nextel to pay customers $18.2 million in reimbursements and, more importantly, orders Sprint to stop trying to collect another $54.7 million from California customers (some 2 million customers total) who have canceled their contracts but refused or failed to pay the termination fee.
Read The Rest of the story here

Thu Jul 31, 2008

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Recommend This

		Great News! I want to get out of my contract
		Sounds good but how long before I can take advantage of it?
		Illegal Shmegal, I love my provider and I wouldn't leave it for anything!
		They will just find another way to beat the system!
	None of the above (Please leave a comment)

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+7 raves byebye ,I love you,gotta go August 01, 2008 00:24:07

Answered: They will just find another way to beat the system!
Great get out while you can!
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Comments

runningintriangles August 04, 2008 14:16:55

Answered: None of the above
I don't really care as I don't reside in California.
Eddie August 02, 2008 18:04:33

Answered: Great News! I want to get out of my contract
I'm so glad this is illegal. It was just another way to gouge us out of money. I"m sure they'll think of something else though.
texana2008 August 01, 2008 22:34:35

Answered: They will just find another way to beat the system!
They will change the name of it like the movie rental places did when a judge ruled that they couldn't charge late fees. It was changed to extended viewing fees.
compufreek August 01, 2008 21:55:41

Answered: Sounds good but how long before I can take advantage of it?
The Cellphone providers should be reimburst for the cost of the phone. If you get a really fancy phone (e.g. Smart Phone), for cheap because you signed a contract you & you early terminate the contract, you should have to pay full price on the phone. But if the phone is one that they are just giving away as a promotion then the phone companies should just eat the loss or find some other incentive to give a customer to stay. I am glad that it was ruled that they are illegal. Those early term fees are too over priced.
Shelvis August 01, 2008 17:52:20

Answered: Great News! I want to get out of my contract
moderated...
bigeasy628 August 01, 2008 15:23:08

Answered: Sounds good but how long before I can take advantage of it?
will it cover ohio?
Jamie (goofygirl) August 01, 2008 11:45:24

Answered: None of the above
Sounds like a good idea right, but no, the problem is, the judge is not just asking to eliminate a fee, they are asking to eliminate a marketing strategy. The whole idea in signing a contract is that you are able to guarentee the company you will stay with them, and this has caused most companies to offer similar rates at reasonable prices. I am not stating that the fees for early termination are not steep, but usually you are going to keep your service for some time. The idea behind the agreements is the ability to keep customers and usually satisfied ones. I have known people that had nextel and were not satisfied, they were able to end the contract without penalty. This seems to be more government control on free market. Look at the bills they pass against free market under the guise to "protect the consumer". look there will be another way for any business to not only pass the new fee on, but to also pass the millions of dollars of restitution. We in this country need to hold ourselves acountable and read before signing the dotted line.
◘Nau©herš◘ August 01, 2008 05:24:59

Answered: Sounds good but how long before I can take advantage of it?
YES thank god YES!!!.... but lets see how long before they start charging a "we want your money" fee
Journeydrifter August 01, 2008 04:33:45

Answered: They will just find another way to beat the system!
tey are in it for the money and nothing else, so they will find a way.
Crazy C August 01, 2008 03:32:24 (edited)

Answered: They will just find another way to beat the system!
They will start charging for their cell phones. They wont be free with the bundle and either way, we're the cute little puppies and their the fleas. We can stop the itch on one side but we'll soon be scratching the other.
Janie August 01, 2008 03:26:31

Answered: Sounds good but how long before I can take advantage of it?
It's about time we all stop being robbed. This is just one of many out there taking advantage of us. Good for the court system----they got something right.
kat[Ninja]™ August 01, 2008 02:30:00

Answered: They will just find another way to beat the system!
I like my phone service now But....... I had another carrier that I hated.
it's soo stupid not to have the freedom to change when you want too.....
+1 raves
Angel August 01, 2008 02:29:34

Answered: Sounds good but how long before I can take advantage of it?
that is excellent news for those who want to terminate the contract early .....i hated those high fees
Deleted August 01, 2008 02:26:20

Answered: They will just find another way to beat the system!
moderated...
Dave Sawyer ♥ Child of God ♥ August 01, 2008 02:19:55

Answered: Sounds good but how long before I can take advantage of it?
That's why I use a pre-paid phone.
nightm4825 In god we trust August 01, 2008 02:18:52

Answered: Great News! I want to get out of my contract
Chris [Ninja]™ August 01, 2008 02:16:57

Answered: They will just find another way to beat the system!
I swear cell phone companies are the biggest sharks out there! It blows my mind how many cell phone stores there are around and I think the average person keeps a cell phone for more than a year. I get mine online through Verizon, but yet there are still so many shops! Seriously how do they all stay in business?? They'll figure something else out, just like the sharks they are! I am kind of excited though because that means I can possibly get out of my contract and get an iPhone :-)
+7 raves
byebye ,I love you,gotta go August 01, 2008 00:24:07

Answered: They will just find another way to beat the system!
Great get out while you can!
+1 raves
ronnie July 31, 2008 23:43:36

Answered: Great News! I want to get out of my contract
I hope we can get that enacted in Georgia!!!! I want to get away from AT&T and fast!!!
+1 raves
Tracy July 31, 2008 23:13:42

Answered: They will just find another way to beat the system!
So many charges that make little sense. That's why I got rid of mine!!!!
+Brave+Black+Twilight+ July 31, 2008 23:09:45

Answered: Sounds good but how long before I can take advantage of it?
W00T! HECK YES!
+1 raves
kmay July 31, 2008 23:02:48

Answered: Great News! I want to get out of my contract
Many practices and laws are illegal until challenged.