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LAWSUITS NEWS & LEGAL INFORMATION

Undisclosed Charges

Atlanta, GA: (Jan-07-08) New York Attorney General Andrew Cuomo's office brought charges against EarthLink Inc., unit PeoplePC, alleging that the company billed its customers excessive amounts in undisclosed charges. The suit stemmed from an investigation carried out by state prosecutors, which revealed that PeoplePC advertised its dial-up Internet service as unlimited and low-cost, offering local telephone connections to access the Internet at prices as low as $5.47 per month for the first 3 months. Customers complained, stating that several of them incurred more than $500 in undisclosed long-distance charges while using the service.

As part of a settlement reached, PeoplePC agreed to pay the state $20,000 to resolve allegations. Additionally, PeoplePC has agreed to clearly disclose any hidden charges consumers may incur in addition to the advertised monthly rate and provide refunds to customers across New York who incurred long distance charged by using telephone access numbers suggested by PeoplePC. [ATLANTA BUSINESS CHRONICLE: INTERNET BILL]


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Published on Jan-8-08


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