Politics

AT&T Sued for Fraudulent Data Usage Billing

By Anne Landman

A class-action lawsuit filed against AT&T alleges the company routinely overstates web-server data traffic on its monthly bills by 7 to 14 percent, most notably for IPhone users. Plaintiffs allege that AT&T "bills for phantom data traffic when there is no actual data use initiated by the customer." Independent consultants report that they bought a new IPhone and disabled every possible source of data connectivity they could possibly find on it, yet within ten days their account had logged 2,292 KB of data usage on the phone. The suit says, "This is like the rigged gas pump charging you when you never even pulled your car into the station." Plaintiffs allege breach of contract, unjust enrichment, fraudulent and unfair business practices. AT&T intends to defend itself vigorously against the suit, and that "Transparent and accurate billing is a top priority" for the company. 

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Full post as published by PR Watch on February 01, 2011 (boomark / email).