The District of Columbia filed a lawsuit against AT&T in January 2017 after finding that the company had repeatedly overcharged its customers. It claims that AT&T failed to honor a long-term contract it had with the district, which required the company to offer the most affordable cell phone plans and use a standard base plan across the District. Instead, it submitted invoices that were incomplete and inaccurate. The District also claims that the company had failed to provide a fair price for cell phones.
In August 2012, the two companies agreed to create a standardized plan, but the actual charge was much higher.
The District claims that the company charged DC more than it should have, including fees for data and add-ons. However, even after agreeing to create standardized plans, AT&T refused to do so, forcing the District to find and credit overcharges on an ad hoc basis. The District found that AT&T throttled its customers’ data service when they hit the limits of their monthly billing period, which led to thousands of dollars of overage charges.
According to the lawsuit, AT&T knowingly and improperly overcharged its customers. The company billed the District for services that it did not provide, thereby wasting millions of dollars of taxpayer funds. The lawsuit seeks penalties and damages from the wireless company for violating both D.C. law and the Federal Communications Act (FCA). It may take several years for the case to go to trial, but the company is making great strides toward settlement.
In the newest case, the government issued AT&T over a similar practice.
The District claims that AT&T’s throttling of customers’ data service is part of their broader scheme of denying consumers the freedom to browse the Internet, which in turn limits their ability to pay bills. Furthermore, the company has denied the plaintiffs’ requests to recover the money and interest. This case is being litigated in the U.S. Court of Appeals and is expected to proceed to trial in the coming months.
The settlement agreement between the District of Columbia and AT&T has settled worth $1.5 million. The lawsuit is based on the fact that the company overcharged government entities by charging them for extra services that they did not want. The Department of Justice alleges that AT&T did not follow the contract and billed the customers for the entire billing cycle even after canceling the service. It also claims that the plaintiffs received additional compensation for their losses.
In the lawsuit, the OAG has also noted that AT&T’s failure to provide standardized plans and quarterly price optimization reports led to overbilling the District. The company has since settled the case with the OAG, which seeks treble damages, or three times the amount of overcharged services. The penalties are meant to prevent the company from using the same tactic again. In the end, consumers have to choose between filing a class-action lawsuit and a settlement.
The lawsuit was filed against AT&T Mobility after the company failed to provide quarterly price optimization reports and standardized plans. The District paid for the overcharging using taxpayer funds. The OAG is seeking damages and penalties against the company. The goal of the suit is to protect the consumer from future fraud against the government. It is important to note that the plaintiffs’ complaint is not limited to the District. The complaint is filed against all the major US carriers.
The OAG also claims that AT&T failed to provide standardized plans and prices to the District.
This led to a dramatic overcharge. Its customers were left without adequate data service. In addition to the overcharging, the company also allegedly overbilled the city. The OAG’s claim argues that the District was obligated to provide the best service for its customers. The federal government must protect its interests by imposing this lawsuit.
A third lawsuit claims that AT&T knowingly overcharged DC customers. This is a serious violation of D.C. law, and the company is now facing an unprecedented amount of money in penalties. The OAG is also seeking to recover lost profits and compensate its customers. In addition to this, the OAG is pursuing damages against AT&T. The OAG wants to recover a proportional share of the costs and penalties for the government’s overcharges.