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Comcast Avoids Hidden Modem Fee Class Action Lawsuit
By Matt O’Donnell
Comcast has managed — for now — to avoid a class action lawsuit claiming it suckers customers into signing up for bundled packages by failing to disclose they’ll incur additional equipment fees.
Lead Plaintiff Athanassios Diacakis alleged in the hidden modem fee class action lawsuit that Comcast offered him numerous deals over the phone, including a Triple Play package that bundles cable, phone and Internet services, without mentioning the additional fee to lease a modem.
Diacakis sued Comcast last year, claiming Comcast violated California’s consumer protection, unfair-competition and false advertising laws.
Comcast argued that equipment fees were adequately disclosed and authorized by Diacakis in the Services Agreement, and that no “reasonable consumer” would have been misled by Comcast’s alleged actions, and therefore the class action lawsuit should be dismissed.
U.S. District Judge Saundra Brown Armstrong agreed to dismiss most of the claims, saying they were not particular enough “to pass muster.”
“The [amended complaint] fails to specify when or where Comcast advertisements were viewed, the content of those advertisements, or which of them in particular Plaintiff relied upon,” Armstrong wrote.
Diacakis has 21 days to try his unfair competition and false advertising claims again in an amended class action lawsuit.
Updated February 15th, 2012
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2 thoughts onComcast Avoids Hidden Modem Fee Class Action Lawsuit
Signed up for Comcast Business Class March 2012 for a 3 year contract…upon talking with 5 or more techs and also a manager in the Gateway Florida store..all assured me that the price of 59.95 was the price for the next three years..no surprise charges for equipment and additional taxes..I caught this by looking through my bank records..and called numerous times..I was told there was no increase on the service..wrong..they broke the contract
Concast (no misspelling) has preyed upon customers by failing to disclose this fee for the separate telephone modem. Add to that, the fact that customer-owned telephone modems AND customer-owned cable-modems “somehow” wind up in Concast inventory despite proof of purchase details.