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AT&T Residential Internet Billing Class Action Lawsuit
By Matt O’Donnell
AT&T customers have filed a class action lawsuit against the company to stop its “unlawful practice of systematically overcharging customers for residential Internet service” by promoting plans for $19.95 a month, but then charging them $40 a month for either the entire year or a portion thereof.
“AT&T advertises many promotional plans at reduced rates for residential Internet service and then bills those who sign up for the promotions at the standard higher rates,” claims the AT&T Internet class action lawsuit. “Unfortunately, AT&T has breached its contracts with its customers of AT&T Residential Internet service by failing to live up to the terms offered and accepted.”
The crux of the problem, the class action lawsuit says, stems from AT&T not applying the bill credit within the first two billing cycles and then either not apply the credit at all, thus forcing the consumer to pay the standard rate for the entire duration of the contract, or applying the bill credit for only a portion of the contract duration, thus forcing the consumer to pay the higher standard rate for some of the months.
“As a result, consumers only receive the promotional pricing for 0 to 11 of the first 12 months of service, rather than 12 of the first 12 months, even though they contracted to receive the promotional pricing for 12 of the first 12 months of service,” the class action lawsuit states.
The AT&T Internet plan class action lawsuit is brought on behalf of anyone in the U.S., and a subclass of individuals who live in Illinois, that signed up for a promotional rate plan for residential Internet service with AT&T but were charged the standard rate for all or part of the duration of the promotional rate period between July 26, 2007 and the present. It is seeking economic, monetary, actual, consequential and compensatory damages in addition to other relief for alleged Breach of Contract, Violations of the Illinois Consumer Fraud and Deceptive Business Practices Act, and Unjust Enrichment.
A copy of the AT&T Residential Internet Class Action Lawsuit can be read here.
The case is Richard Sherman v. AT&T, Inc., Case No. 11CH26265, Circuit Court of Cook County, Illinois.
Updated August 3rd, 2011
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79 thoughts onAT&T Residential Internet Billing Class Action Lawsuit
I received your card and would like to file for a claim please let me know .
I had to call at&t every month about overcharging me for internet and phones service and kept every bill. What is the status of this lawsuit?
is there any part of this suit, or another law suit, that addresses the issue of AT&T taking money out of my bank account for services I cancelled? and then it takes them 14 days to return the money?
I don’t understand how this is legal?
Here it is late Nov. 2012 and the same problems persist. Someone is handing someone money to stay out of court. I have had the same problem with speed being so slow, etc. Why not a class action lawsuit for slow internet speed even though you’ve upgraded twice to a faster speed. They are horrible! It’s just a waste of time calling tier I, II or any tier. No good support that I can’t understand.
I too fell for the $14.95 SCAM!
A T and T gets you with the NO CONTRACT. They can charge you whatever they like.If you don’t have a Written Contract you can’t take them to Court.You might as well be getting Internet Service off of Craig List. I fell for the 14.95 a Month and I am going through what everyone else is going through.The Government should look into this and shut this down.I am leaving A T and T U Verse Internet this Month.The Nightmare is finally over.
I have been dealing with this billing issue now for 3 years. I was told $14.95 and they are trying to charge me 48.00. then I moved and did the bundle deal with at&t and direct tv. They told me I would get the $14.95 for one year. Well, I am still having to call them EVERY month to straighten out the bill. I have talked to everyone from Calif., Texas, Virginia, etc. I get told a different story everytime and the last time I was told I was speaking to a manager and that he fixed the problem. Well, now I have a bill for $277.74.!!!!!!!!!!!!! I am so over this and now I have to spend another hour and a half on the phone again…
For the second time in four months I received a bill for internet in the amount of $43.00 despite my contract for 19.95. I again called them, and this time let them have it! They again gave me some ridiculous excuse that the timing of my previous payment (which was well before the deadline), caused the system to bill at a higher rate. I told the customer service person I was sick and tired of AT&T’s predatory billing practices, as I am sure there are many people who go ahead and pay the billed amount. This company needs to be put out of business!
Our story is exactly like so many others I’ve read on this site. We ordered service for one year advertised by mail at $19.95, were “bumped” to $24.95 because “that offer has expired”. The first 4 moinths were billed and paid at full rare $37.95, and after many calls to CS $13 credits began to appear each month in October. After one year from orig date of service, we ordered a cancellation, but were told by CS we had to continue to Sept — or 12 months of lower rate. This seems to a classic “bait and switch”. Please add me to your class action lawsuit. Full name, address, copies of bills plus noteswashope void provided upon request.
Anything lawsuit wise going on in Texas??? This family can only take so much of the lies coming out of AT&T’s mouth! We sooooooo want to switch to another provider – but they are the only game in town.