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A panel of judges on the California Court of Appeals refused to send a class action lawsuit accusing DirecTV of failing to disclose early termination fees into arbitration, finding that the class action waiver in the company’s arbitration agreement with customers was not enforceable under California law.
The DirecTV class action lawsuit, filed by plaintiffs Amy Imburgia and Kathy Greiner, alleges that DirecTV improperly assessed early termination fees (ETFs) because they did not disclose that customers were subject to a fee if they decided to cancel their service before the end of the contract.
DirecTV sought to compel arbitration based on the U.S. Supreme Court’s decision in AT&T Mobility v. Concepcion, which allowed companies to add an arbitration clause to customer agreements that prohibit them from filing a class action lawsuit to resolve a grievance. The company also relied on a recent ruling in its favor by the Ninth Circuit (Murphy v. DirecTV Inc.), which found a similar arbitration agreement was enforceable under Concepcion because the Supreme Court’s ruling preempted any state law.
The California Court of Appeals disagreed, sometimes pointedly. The judges focused on the section of the agreement that noted that “if the law of your state would find this agreement to dispense with class arbitration procedures unenforceable, then this entire [arbitration section] is unenforceable.” The state’s Consumer Legal Remedies Act bans the classwide arbitration DirecTV had sought.
Further, the panel argued that there is “no authority for the [Ninth Circuit] court’s position” that “contract interpretation is irrelevant because the parties are powerless to opt out of the FAA by contract.” Rather, if “parties have agreed to abide by state rules of arbitration, enforcing those rules according to the terms of the agreement is fully consistent with the goals of the FAA.”
Returning to the clause in question, the court agreed that the DirecTV class action lawsuit attorneys for the plaintiffs were right in arguing that two common law provisions should govern: one, that “a court should construe ambiguous language against the interests of the party that drafted it” and two, that a “specific provision controls over a general one[.]” The latter issue dictated the judges’ decision to ignore a U.S. District Court judge who thought that the waiver would render the general provision of classwide arbitration meaningless.
The DirecTV early termination fee class action lawsuits that the court referred to in its decision are In re: DIRECTV Early Cancellation Fee Marketing and Sales Practice Litigation in U.S. District Court for the Central District of California and Murphy v. DIRECTV Inc. in the U.S. Court of Appeals for the Ninth Circuit.
The plaintiffs are represented by class action lawsuit attorneys Paul D. Stevens, Mayo L. Makarczyk and Shireen Mohsenzadegan of Milstein Adelman LLP.
The DirecTV ETF Class Action Lawsuit is Amy Imburgia, et al. v. DirectTV Inc., Case No. B239361, California Court of Appeal, Second Appellate District.
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89 thoughts onDirecTV Must Face Class Action Lawsuit over Early Termination Fees
I am currently with Direct Tv, and every month my bill gets higher and higher with no reasoning when I call to ask about it just some run around in circles conversation that I just get tired of. But now my bill has gone from $80 a month to $228 a month. And still no answer from them other than I need to pay the bill to keep my services on. Are these people crazy?? How do I go about signing up for being a part of this class action lawsuit
They are thieves and needs to be put out of business they keep debit card number and then they take everything I had left couldn’t even pay my other bill’s they didn’t have my permission or did I have any knowledge of it they told me to reactivate my service and they would put $400out of $465 back on my card they put $180 back and started sending stupid bIlls for like15.49 then turned it off and Billed me 114 then111. What are they trying to screw people and need to be held accountable for their practices
It has gotten much worse now that ATT has bought DTV. 2 of the worst company’s have a Monopoly in some areas leaving customers with little or no Choice. If they call you and offer a 5$ discount or any kind of discount this automatically starts the contract over in some cases for 2 years.
i had cancelled early with directv because landloard not wont the dish on her property i call the explane to them my landlord not wont it in yard so had cancelled early thay still not care that sent me a over $400.00 bill
I WANT IN ALSO, please contact me! Here is my convo with the bastards [Presidents Office told me to go f&$%k myself] Laura WagnerDIRECTV
February 27 at 4:16pm ·
There ought a be a law against unethical, lying scumbags who will say anything to make a sale.
I spoke to several of DIRECTV’s hardcore reps for a good 25 minutes and was assured repeatedly that>>>>>
\your bill for internet, landline, choice package, HBO/Showtime-oh, PLUS you qualify for a BUNDLE, too!- will be between $30 and $40 a month less than Dish FOR 1ST 3 MOS…..\
( :o}) do go ooonnnNNN…
\…AFTER 3 mo. free premium channels end, then rates would understandably go up about $14-$18 since you said you wanted to keep HBO/Showtime, is that correct?\
:o)) yes, sounds good, both premium channels for less than $20… you guarantee this, right? $80 or less for 9 mo. of Choice package, HBO/Showtime and bundle discount?
\yes maam, that is correct, we are eager to welcome and keep you as a valued DIRECTV customer, we have the best customer satisfaction ratings in the industry! Once your first year is up you can call and renegotiate your contract…real easy!\
:-)) Enveloped in the radiant glow of all the secure, dreamy promises I signed up…
………………YEAH, with what turned out to be the worst boyfriend of my life!
First 3 mo. were GUARANTEED to be $61. Well goll-leee & surprise, SURPRISE! The second month went up $20 to $81 so I called them with my concerns.
\we have the right to change rates without notice, read your terms, it is all legal, you agreed to everything\
When HBO, Showtime fees kicked in, DIRECTV charges would zoom up to $120+ on mo. 4, making my bill $170, $20+ more than DISH!!!!!
…I got that knotty queasy feeling in my gut and sensed that once they had me hooked I’d be locked in their basement while they spent all my money pursuing some other tart.
Sometimes intuition reveals itself as the truth.
>:o(( It is cold down here and there is only a slight fraction of light in the distance, I weep and writhe amongst all the others as DTV laughingly empties our bank accounts with impunity. We scream but no one will hear us.
DTV SUPERVISOR again says \IT IS LEGAL. THAT IS MY FINAL WORD. YOU CANNOT PROVE HE SAID THAT.\
ATT INTERNET/LANDLINE $50-$55 mo.
add:
*DISH 200, HBO, Showtime $90-$100. =$155 or less
*DIRECTV, HBO,Showtime, Choice, bundle discount $120+ =$175 or more
How does a guaranteed quote of $61 for 3 mo., then an agreed to $80 rate when HBO/Showtime are added, jump to $120 when I spoke to another supervisor, Robin, just now???
\I’M SORRY YOU’RE GOING THROUGH HARD TIMES BUT WHAT WE ARE DOING IS LEGAL AND YOU CAN’T PROVE ANYTHING. READ YOUR CONTRACT!\
The calls are actually not recorded and filed as many of us thought, so they are free to say absolutely anything to rein you in.
THIS IS PREPOSTEROUS!
Why would I, having intact brain cells, willingly agree to pay them almost $30 more than the company I was in love with for over 20 years and leave them? Pure and simple, to save money. This scam is unconscionable and goes on and on with no restraints.
Yes indeed, I AM LIVID to think of how very many poor, sick people are being ripped off who can’t fight back.
BBB and class action suit, here I come!
Shame on you, DIRECTV.
Laura Wagner
DIRECTV Hello Laura, I’m very sorry you had a poor experience and received misinformation. Send us your account number in a Private Message so we can look into the issue for you.
Like · Reply · February 27 at 7:23pmDIRECTV
DIRECTV 8:18pm Feb 27
I looked at your account and it appears that you indicated several times that you just didn’t like our services and you were going back to DISH Network. I do see that you also said you were told you would get free premiums after the free period was expired and we are not able to find any documentation about that. That does not mean that someone didn’t tell you that, however, without documentation we were not able to honor that.
You ordered through AT&T and you were sent a confirmation prior to your installation showing your first estimated DIRECTV bill to be $76.99 before taxes. In checking your DIRECTV bill, that is what you were receiving. You would have received a separate confirmation from AT&T outlining their part of the order.
I am very sorry you are disappointed with your DIRECTV services and since you feel this was misrepresented I am sending the information to the appropriate management team for coaching to ensure that our customers receive correct information at all times.
February 27
Laura Wagner
2/27, 11:59pm
Laura Wagner
No, that is not correct, please reread.
I was told that after 3 mo. were up premium channels would discontinue, I completely understood that FROM THE ONSET and stressed repeatedly that I wished to retain only HBO/Showtime. Salesman GUARANTEED that I would be paying less than $20 for both.
I don’t care if it was AT&T, abominable snowman or Siegfried and Roy representing you-YOU LIED AND I WILL NOT BE HELD TO THIS $446.32 RANSOM. Is there some magic out if you say ‘guarantee’ and cross your fingers that gives you the right to screw me and so many others?
We went over it several times so I would be certain what I would be paying. For some reason he could not tell me exact price of HBO<Showtime, which I thought odd, why was that, because those price increases can keep being implemented cause somehow it's legal?
He was agitated and wouldn't let me change from the package he suggested to one that better suited my needs because …
"-deep sigh-then I will have to start all over and it will take about 20 MORE minutes, why don't you just try this and if you don't like it you can change" RUDE, UNPROFESSIONAL, MANIPULATIVE..
My only objective was to SAVE MONEY. I rescue/rehabilitate abandoned/abused dogs and every penny is precious for vet bills and food, I do not have the luxury of just auto paying on Visa and obliviously not noticing how my rates have soared.
My first 3 mos. were to be 'around $61'…'GUARANTEED' Jan. was $63.61. Second bill $81.60, HUH?
Spoke to Robin, supervisor, was told month 4 would go to over $120. There truly is so much chaos in communication and poor training policies between AT&T and you it is horrendous.
Stop acting as if i were imagining this and employing tactics that you think will wear me down and make me go away. I won't.
I really feel manipulated, angry, deceived; had you fulfilled what was 'guaranteed' and treated me like 'a valued customer' I would most certainly have stayed with you, perhaps over 20 years, like MY LOYALTY TO DISH, because they never lied, contradicted, misrepresented, conspired and tried to rape my wallet when they thought I wasn't paying attention, they treated me right.
It is ludicrous that I had to cancel after 1 month and deal with ongoing aggravation. I am NOT one whom switches frivolously between providers and I am not one who tries to get over on people. I am honest, fair, dependable and solid; expected the same from you….
Hello I’ve been robbed too how can I get a claim form for direct tv
How do I join this class action? I live in CO and this happend to me. I was never told of the commitment and when I canceled they charged my husbands bank, that I was not even on! When I asked for the contract they stated they did not have to provide it. Now they are attacking my credit and unwilling to provide proof of the commitment!
I need to email top class on this as Direct TV was bought out by AT&T who sales almost everything now from
TV service, home alarm service, cell phone service, U-Verse, etc.
Has anyone had an issue with AT&T???????????????
I have since this merge, but would like to hear others before I voice mine.
I have been fighting with AT&T since July, 28 2016 trying to get my service fixed. And, they still charge me monthly for a service that isn’t right. I have spent so many hours on this telephone doing their work for them free; no pay. I believe they take advantage of me because I’m 81 y/o and alone.
I hope someone can help me.
We live in
az. and also continually get ripped off with ficticious billings from Directtv. They change the channels without notifying us and when we inquire, they hit us up to another package of theirs at a higher price. Have they no shame??? 23 years with them and now we are cancelling our service with them!!! Is there a class action for Az. resldents. If so please advise. Transparency from them is lacking big time and they cheat all that they can . Does ATandT know what they are getting into with their offer to buy them???
I moved into a rented home KNOWING I would be there 5 months, but wanting dish. I called Directtv and gad them install. I asked the installer if I would have any charges for moving and he, assured me no. Well, I moved and they tried charging me $199 for the move…I fought and had it reduced to $99, but I never, agreed to the charges to begin with, and if I had been told the truth I would have waited until we purchased our home. They are complete scam artists and they need to be stopped. I feel awful for the seniors on fixed incomes that this has affected…so sad!
And after early termination fee Direct T.v sent it to collections of over 240.00 more than what the bill was!