NY Wrests $1 Million From Verizon Wireless
netbuzz writes "Unlimited really means unlimited, even in advertising. So says the New York State Attorney General's Office in squeezing a $1 million settlement out of Verizon Wireless for disconnecting 13,000 of its customers who had the temerity to believe that the unlimited service they were promised came with unlimited service. Verizon's statement explaining the settlement is a gem, too."
Eighty dollars per person. That'll make a big impact. Take that, Verizon!
Floating face-down in a river of regret...and thoughts of you...
As I read this response I couldn't help but hear the voice of the G-Man in my head:
"We are pleased to have cooperated with the New York Attorney General and to have voluntarily reached this agreement," a company spokesman told Associated Press. "When this was brought to our attention, we understood that advertising for our NationalAccess and BroadbandAccess services could provide more clarity."
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. A person engaged in prohibited uses continuously for one hour could typically use 100 to 200 MB, or, if engaged in prohibited uses for 10 hours a day, 7 days a week, could use more than 5 GB in a month.
For individual use only and not for resale. We reserve the right to protect our network from harm, which may impact legitimate data flows. We reserve the right to limit throughput speeds or amount of data transferred, and to deny or terminate service, without notice, to anyone we believe is using one of these Data Plans or Features in any manner prohibited above or whose usage adversely impacts our network or service levels. Anyone using more than 5 GB per line in a given month is presumed to be using the service in a manner prohibited above, and we reserve the right to limit throughput speed or immediately terminate the service of any such person without notice. We also reserve the right to terminate service upon expiration of Customer Agreement term.
Verizon Wireless Plans, Rate and Coverage Areas, rates, agreement provisions, business practices, procedures and policies are subject to change as specified in the Customer Agreement. Emphasis mine.
They now have a site defining acceptable use.
So they really haven't learned their lesson. I personally think that CmdrTaco should sign up and start hosting Slashdot through it. Either that or point the loyal readers to a page he's hosting through it.
I would recommend prospective customers of Verizon to think twice and assess if they want to sign contracts with a company so inclined to assume a user of the service is guilty of copyright violations just because of the amount of data they are transferring. Couldn't someone watching YouTube all day or streaming video from another TV network site rack up this sort of data transferring?
My work here is dung.
Geez I wish I could be a corporate spin doctor like that. With my skills -- I could be a Hundredaire!!
Do not mock my vision of impractical footwear
All they had to do was turn one of their execs upside down and shake the change out of his pants.
Sheesh.
--- Grow a pair, liberals... stop letting the Republicans bully you!
Let this set precedence and all the other states go after Verizon,Comcast and the others hard like this. hell please go after the Cellphone assholes as well.
They thrive on blatantly lying to the customer, Unlimited internet, unlimited calling, unlimited this that the other... they know they are lying. they need to be spanked hard and forced to not lie.
Do not look at laser with remaining good eye.
What a bunch of sleazeballs, both Verizon AND the New York State's Attorney. I got halfway down TFA (Sorry, I know that's unslashdottish of me to RTFA but I'm not feeling well) before my stomach started turning and I was forced to hit the "back" button.
What Verizon did, from TFA, was FRAUD plain and simple. Their CEO and board of directors should be in prison, not made to take petty cash and give it to New York. In their defense I must say, why isn't MY nad-free AG doing anything?
However, I'm not the least surprised. Nobody from Sony went to prison for rooting millions of PCs, despite the fact that if you did to them what they did to me you'ld be in the slammer for years.
I didn't read far enough to see if they agreed to stop defrauding their customers. But hell, you expect thieves and con men to tell the truth in a contract? I mean, the agreement is about their LIES to begin with!
I'm looking for a new cell phone company. Is there one out there that is reletively sleaze-free? I was happy with Cingular for years, never went over my minutes (always had rollover minutes) and the bill was always the same, under $50. Then AT&T bought them out, and all of a sudden I got hit with a $150 bill. I didn't pay it. The next month they tacked on another $450 on top of the $150, and shut off my service. After shutting off my service, they tacked ANOTHER $150 for the month I was without service, including taxes on the service they never provided.
Verizon was on the list of possible replacements (I'm using pay as you go right now), so this story was just in the nick of time. Thank you, slashdot!
You iknow, I'm a geezer; I don't remember businesses being run by thieves and sociopaths when I was young. Maybe my memory is bad, or I was naive. Or maybe we're heading for another world wide depression like tha 1930s?
-mcgrew
(Oblig link to my blagh posting about Sony rooting my box, titled "SONY MUST DIE!!!!")
mcgrew's razor: Never attribute to stupidity that which can be explained by greedy self-interest
Are they still branding their wireless as "unlimited" to new customers? Existing customers that signed up for "unlimited" wireless should have exactly that - at least until their contract expires.
Despite their cute (though repetitive at this point) commercials, VZW is still a bad choice for a cell company in my opinion. T-Mobile OTOH seems to make good where verizon fails. Heck, they keep sending me free phones with a couple months of free service to try them out. Ok, so i'm a corporate customer but meh.
You can get rich if you own a politician, but you have to be rich to buy one in the first place.
I like turtles. Disclaimer: This does not mean that I like all turtles. I only like some turtles which I will not specify.
So download OpenOffice twice in an hour and you are busted. Nice! Glad I don't use Verizon.
with a company so inclined to assume a user of the service is guilty of copyright violations just because of the amount of data they are transferring
That's not what they are assuming. What they are assuming is that you violate terms like "[prohibited activities:] (i) continuous uploading, downloading, or streaming of audio or video programming or games".
First off, I bet Verizon spends more then 1 million dollars a year in trying to find these folks that are abusing the 'Unlimited Plan'... I guarantee that all telcos that offer unlimited plans have systems put in place to catch 'abusers' of these plans and are monitored on a regular basis. Shutting them off in my mind is a little harsh, they should have created another price plan and tried to upsell the customers...
"You iknow, I'm a geezer; I don't remember businesses being run by thieves and sociopaths when I was young. Maybe my memory is bad, or I was naive. Or maybe we're heading for another world wide depression like tha 1930s?"
You grew up in the period between the 1930s and the 1980s? I'm sure there were corporate thieves and miscreants in that period, but the tale of the stats say they weren't as rampant as today. Not even close.
Before the 1930s, man, they were effin' brutal. These days, they're trying really hard to bring back those 'Good Old Days' of yankee 'caveat emptor' capitalism. Really really hard.
It's up to us, the people, to stop being so apathetic, turn off that stupid Nip/Tuck, and call for and vote in some corporate responsibility. Start with boycotts and then put pressure on politicians. Stop letting these people think we don't care.
--- Grow a pair, liberals... stop letting the Republicans bully you!
There are two things Verizon could do: change the service or change the ads. They can't change the service because it's economically not feasible.
So, what this will mean is simply that ads will get slightly more prominent disclaimers saying something like
Verizon Unlimited Bandwidth*
*Subject to terms of service; file sharing, bandwidth sharing, public servers, or continuous data transfer are examples of prohibited activities.
"Verizon Wireless" is the cellphone asshole.
http://www.cbc.ca/technology/story/2007/09/19/tech-cellphones.html
And yes, the money will go to the individual users. If this works, I should be getting about $1200 in another 5 years (because that's how long it will take to go through the courts, appleas, etc).
And those are Canadian dollars to boot !!! w00t!
It should have been , a fine of $1,000,000 USD per customer. THAT would have sent a message.
Yawn.
Well, I was increasingly thinking of giving up my wired broadband entirely and switching to cellular "unlimited" broadband (maybe a bit slower, but useable everywhere).
Still want to.
So much for Verizon when my contract ends in a couple months.
Does AT&T have an affordable deal on a 4-way (2 iPhones, 2 notebooks, 1 bill) unlimited (actual, not a paltry 5GB limit) data plan?
Can we get a "-1 Wrong" moderation option?
That'll teach them! That's probably the equivalent of me having to fork up $2.
Isn't there someway we can penalize them for such a blatantly Orwellian response? PLEASE!? I think that suing companies for overspin is a feature that language users want!
...Comcast?
rj
This would probably be a public relations nightmare if people cared more. Googling the term "Verizon Unlimited", the first page doesn't even contain Verizon's website itself, except in the sponsored links. What it does contain are things such as:
"Verizon Limits Its "Unlimited" Wireless Broadband Service"
"Who's a Bandwidth Bandit? - The Checkout"
"Verizons Unlimited Data Plan Not So Unlimited"
"Verizon: "Unlimited bandwidth means 5GBs or less or we cancel your service"
You'd actually break 2 of their not-to-be-used rules with that one. One for the fact you're playing a 'streaming' (client-server model) game, and the other for usage of a P2P program (WoW updates through P2P).
The 5GB limit would also severely impact me doing any work for the company through that sort of link, since a backup of a database for installation on a test machine would already get to over 15G. So I wouldn't even be able to do that once.
Coz eternity my friend, is a long *ing time.
I looked into buying this plan or ATT but read that part and said NO! I was going to sign up for it and use the Gizmo Project and Grand Central to make unlimited free cellphone calls? This made me realize that VZW just couldn't handle what they sold and the saw VOIP as a predator to their precious money making scheme, if I get unlimited bandwidth that is a decent quality I can exploit have unlimited calling for $40 a month which compared to $60 for my cell plan $25 for my land line is a good deal.
Come on, is Dr. Evil the NYAG? That's not going to deter Verizon one bit.
The term unlimited means no limits.
There's no way to change the definition no matter what *legalsleeze* you throw at it.
If it's not unlimited, you can't use the term.
Just like most chocolate flavored cereals, if not made using real chocolate, have to say "chocolatey"..
Maybe they need to have the term "unlimitedey" or "unlimitedlike" or "pseudounlimited" instead.
Who is general failure, and why is he reading my hard drive?
Ok, they nailed one. Whos next? I can not believe the number of false advertisements I see on the net. Most from legitimate companies that know better than to do it!
I have gone over to reporting them when I find them, you just need to go to
https://rn.ftc.gov/pls/dod/wsolcq$.startup?Z_ORG_CODE=PU01
and fill out the report. They will do the rest.
I am sure we can find lots of examples to keep the FTC busy.
There's no way to change the definition no matter what *legalsleeze* you throw at it. Then you're obviously working with the wrong lawyers. **** Johnnie Cochrans' out of thread ****
From a European point of vue, this really sucks :
... . Moreover they are the reason why people by these access. I could understand banning heaviest user running private very high traffic servers. This is definitely not what they are doing here.
* Unlimited means "unlimited". Not "unlimited as long as you don't use it".
* Though a very high limit might be denfendable, the limits set are far too low : 5 Gb is nothing
* Most of the activities they are trying to ban are fair and reasonable use of an high speed access. Online gaming, fiel sharing ,
The US needs class action lawsuits as an after the fact correction because your government does not, and probably can not be trusted to, protect the consumer/citizen. In fact, considering how weak consumer protection is in the US, without it corporations would start feasting on babies' entrails(*) if it made them any money.
* cf. John Edwards
Download the x86 and AMD64 ISOs of Gutsy Gibbon. You'll easily hit 8GB, and probably in a single day if the transmission speed can handle it. It's also 100% legal based on their limitations, as it could be considered browsing, or connecting to your corporate intranet and accessing files there.
The cesspool just got a check and balance.
The key point, from the AG's press release, is "Since April of 2007, Verizon Wireless has voluntarily ceased cutting off customers based on their data usage and no longer prohibits common internet uses." So they do have to provide "unlimited" service. The "voluntary" part means "did it before the state got a court order".
Disclaimers, by the way, don't help. It's a false advertising lawsuit. The big print said "unlimited", and if the small print disagrees, that's false advertising.
I have to include this chat exchange from a few months ago with Verizon Wireless - Greg: Hello. Thank you for visiting our chat service. May I help you with your order today? You: Yea, I am trying to figure out a family plan that 1) has fewer minutes and 2) has free text messaging. Greg: No, plan has free text messaging. You: there was a splash thing about free messaging Greg: I do not know what that means? Splash? You: Splash page? ad? select family plans have unlimited text You: here let me just cut and paste for you: You: * Unlimited Text, Picture, Video & Instant Messaging to anyone on any network in the U.S. * Unlimited IN Calling to any Verizon Wireless Customer and Unlimited Night & Weekend Minutes. * Access to America's Most Reliable W Greg: Yes, we offer the select plan that has unlimited messaging, but it is not free. You: ? what does unlimited mean? Greg: Do you not know what the definition of unlimited is? You: I think you might br having the definition problem. That McDonalds sells you hamburgers does not mean they offer you unlimited hamburgers. Unlimited means as many as you want, for one low price. They do have unlimited refills on their beverages, for example. Greg: Okay so you get as many messages as you want on the Select plan. You: ? You: isn't that what I asked? Greg: It is UNLIMITED. Greg: Is there anything else I can help you with today? Greg: I guess. Greg: Do you have any other questions for me? You: yes, i will cut and paste from the first thing I typed, Greg,: ea, I am trying to figure out a family plan that 1) has fewer minutes and 2) has free text messaging. I guess we mean "no charge per message". - I think there is a corporate brain block on the concept of unlimited
It's all very well to try that, but I can't in good conscience recommend against Verizon for the friends & family I support, knowing what I know of the coverage of every other cell carrier in my area.
Get some real competition on coverage, then we'll talk.
Dan Aris
Fun. Free. Online. RPG. BattleMaster.
Comcast's secret slowing of P2P traffic is much worse than this. In that case they were actually meddling with the service. Here, Verizon just decided to stop doing business with certain customers that were not profitable. They didn't cap their bandwidth, they just said "starting next month we've decided not to do business with you anymore." Isn't that their right? Customers have the right to cancel, Verizon has the right to cancel.
Broadband internet access is unlimited in a lot of ways...there's no set cap. But there are always realistic limitations. I don't see the problem with advertisers assuming their customers aren't completely stupid. Somehow I just have this mental image of thousands of slashdotters at a buffet screaming "I've only eaten 700 pounds of food, now you claim you're out of food....I was told this buffet was unlimited?!?!
But does Verizon even have a billion? Of course they do. That, and many more billions that they can spend on the FCC 700MHz auction. Slap 'em, and slap 'em hard!
"It's the height of ridiculousness to say for those 9 lines you get hundreds of millions."
Might I propose a new term that means not unlimited? I would like to propose "limited".
This is weak. The government should not have settled as this sets no precedent and the fine is relatively paltry....
The chocolatey vs. chocolate probably resulted from some national council on chocolate trying to protect the good name of their product. I guess we will need to start a national council on unlimited to protect its good name.
GENERATION 27: The first time you see this, copy it into your sig on any forum and add 1 to the generation.
Had disconnected 13,000 users, he'd be in jail.
A corporate executive does it, and gets off scott free.
The society for a thought-free internet welcomes you.
--- Do you believe in the day?
http://greenobyl.com/ please.... think of the children!!
Your all-you-can-eat buffet argument is actually quite apt. People's eating habits can be mapped, the limit being based on how much one person can physically consume, so restaurants rarely end up with problems.
Verizon should have played it safe, looking at their resources and the real limits, (a customer using the maximum bandwidth 24/7), and they should have charged appropriately for that service package based on their ability to deliver it. Promising unlimited usage to everybody was unrealistic. 10 or 20 people using the full bandwidth is a spike, but 13000 users is evidence of normal mass behavior which they obviously didn't plan for. --They made promises they couldn't keep and they lost the gamble.
The nature of contract law is that people and companies must be held accountable to the promises they make. Why should Verizon be treated any differently? When other companies fail to meet their obligations, the ideal model is to find some way to sever the deal in a manner which leaves the customer feeling that they were dealt with in good will, either through a refund or similar. Verizon handled itself without grace. They could have been up-front in saying, "Oops. We screwed up by signing a contract which we couldn't fulfill. To make it up to you, we'd like to offer the next two months at the same service level for the price you are currently paying, but after that we have to charge more. This will give you enough time to find another service provider. --Or if you want to cancel immediately, we'll give you back your money for the last two months." --Something like that would have shown good will and would have established new systems to avoid future problems with new clients. Instead they chose to act like dicks in the hope that nobody would sue.
I'm glad to see they lost that gamble as well.
-FL
First, you could make tons of money by not growing corn.
Now it seems like you can make money by not providing internet.
Hey everyone, come buy my new internet device! Sure it looks like a 9600 baud modem I found in a thrift store but it will provide you with unlimited bandwidth provided you never ever try to turn it on and use it!
To boldly use to and too two times and get it right too! They're not gonna believe their eyes when they see it there!
Yes, but we're talking legalsleeze here. They want it to sound like or imply unlimited without giving unlimited goodness. While you and I would agree that limited is the proper term, they want something that while it will sound like unlimited, would imply not unlimited without using limited.
This would be just like chocolatey implies chocolate-like, yet some folks take it as being chocolate, which is what the suits are aiming for.
Who is general failure, and why is he reading my hard drive?
They meant the fees were unlimited.
Part of this settlement should be that VZW isn't allowed to use the term 'unlimited' unless they are not going to limit it. Merely adding a few paragraphs buried in a TOS or EULA that nobody is going to read and still using the term 'unlimited' in all of the advertising is still deceptive at best.
This isn't the first time Verizon's billing has screwed their customers. Check out this blog with audio of several phone calls where numerous accounts people and managers are completely unable to understand that 0.002 dollars and 0.002 cents are, in fact, different quantities. This was also previously posted on Slashdot
I don't know what everyone's complaining about, Verizon were being completely truthy!
This whole thing is talking about internet access over mobile phones. Not a single thing you posted is valid. if I had mod points i'd bitch slap this post.
Looks like aside from the usual P2P suspects, it was slingbox users that were the real thorn in their side....
I am not a number, I am a free man!
Verizon is Comcastic!
If you RTFA, you'll find that Verizon was "pleased to cooperate" with the AG.
That may be PR lackey talk, but I really don't doubt that they are pleased with themselves. This "punishment" is chump change and we're the chumps.
From TFA: (emphasis mine)
Therefore, the above examples are entirely relevant.
"Nobody ever went broke underestimating the intelligence of the American Public." - H.L. Mencken
They used to be known as Qworst, for the hell people said they put them through.
Of course, recently I heard that they refused to comply with that NSA wiretap thing. Champion of freedom vs allegations of shitty service? The sheep go one way but if I lived in Qwest territory I'd be sorely tempted to go the other.
--- Grow a pair, liberals... stop letting the Republicans bully you!
Um, what do you think the pcmcia and usb Verizon wireless cards are for? They plug directly into a computer...
Did you read the contract excerpt?
BTW- most companies with more than a few phones/data cards are actually paying $20-30 less than the average consumer for the unlimited access. I also found if you complain enough you can get the same discount.
Very well-said.
Looking at the larger picture, this gives precedent towards the teleco's having to pay for a lie. Now lets look at this larger: The United States payed a total of 200 BILLION to the telicos to roll out a new broadband infrastructure by, well, now.
Thats 200 Billion of our money. Which, given there are 301,139,947 people as July of 2007, would mean we are all due $6.64... With inflation of both people and currency, lets make it an even seven... Trust me, if we were all payed $7, the telecos would start hurting something fierce... They might even band together and deliver on the promises they made all those years ago... Particularly if a fraud charge is added towards all the executives that spent that money on a place in the Hamptons instead of where it should of gone...
3 degrees of separation from Vladimir Putin
They have a file for the canceled check in the accountant's office. It reads "Cost of Business."
Boot Windows, Linux, and ESX over the network for free.