This is not a surprise! Sprint is circling the drain so this kind of news does not surprise me in the least. Poor management, horrible customers service and an overall bad reputation in the market will bring the end for Sprint. Check out this bit of news.
Sprint Nextel Corp. and T-Mobile USA Inc. have been hit with new class action consumer suits in Florida and California federal courts, the litigation coming as Congress grapples with wireless consumer protection bills that could reduce state oversight of cellular operators.
The Florida suit alleges Sprint Nextel subscribers were charged for roaming charges on the No. 3 carrier’s network after being told they would not incur such fees under a major calling plan.
“Sprint knew or reasonably should have known that these representations were materially false, deceptive or misleading because it not only routinely charged PCS Free and Clear Plan customers roaming rates for calls made and received ‘on the network,’ Sprint even charged these customers roaming rates for calls in their home cities where the plan was sold and where Sprint purportedly provided comprehensive network coverage,” the suit stated. “In fact, Sprint not only charged its customers roaming charges for calls made on the Nationwide Sprint PCS Network, it even charged them roaming charges for calls received on the Nationwide Sprint PCS Network.”
A similar suit was recently filed against Sprint Nextel in federal court in North Carolina.
T-Mobile under fire
Elsewhere, a class action suit brought against T-Mobile in California federal court alleges the No. 4 mobile-phone operator provided inadequate disclosure of an “upgrade fee” of $18 levied on current subscribers who obtain new handsets. The suit said T-Mobile implemented the upgrade fee policy last November, but “not in a manner that reached or was intended to reach existing T-Mobile subscribers.”
The suit also takes aim at T-Mobile’s use of service contract clauses that impose mandatory arbitration and waive the right to participate in class action suits. Such contract clauses are standard in the wireless industry. The plaintiff noted, however, that a federal circuit court in San Francisco ruled in January that T-Mobile’s terms and conditions are unenforceable.
Such issues have given rise to consumer protection bills in Congress. Senate lawmakers are considering two wireless consumer protection bills, and there is draft legislation in the House. The three bills vary insofar as the design of the national framework for wireless carriers and the role of states under a new regulatory regime.
RCR
This is nothing, I was just charge almost $500 for call forwarding no answer/no response. A service that is free, clearly indicated in all documentation and by the rep who turned it on. They took off the charges, but imagine my surprise to find that they were charging me for it.
I guess the god news is if T-Mobile does buy Sprint, there could be a consolidated law suit. Less time in court? Naw...
Posted by: Mpaper | March 07, 2008 at 09:30 AM
You guys just love ripping on Sprint, don't you? It ranks up there with my anti-Apple fanaticism!
Anyway, this is no different than the stock drop yesterday-- lawsuits like this happen all the time. People get pissed off about billing errors, so they take out their frustration through the courts rather than dealing with customer service (which is the only legitimate frustration with Sprint that I've found) to get the error resolved.
In any case, these lawsuits rarely bring about the demise of a company, and they usually cause potential buyers to think twice, because of the legal risks they bring into the new company.
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Incidentally... I must sound like a die-hard Sprint fanatic, although I'm certainly not. I wasn't even a Sprint customer until October 2007, and I went to great lengths to research all the carriers before making a purchase. I found Sprint's pricing, phone selection, service coverage, and even their support to be better than the alternatives. As long as that continues, I'll continue my contract. Should that level of service genuinely drop, I would promptly transfer my contract to another company. I certainly don't need a lawyer or a court to go to bat for me! :)
Posted by: GoodThings2Life | March 07, 2008 at 10:44 AM
I've been a Sprint/Nextel customer for about 5 years and am completely satisfied with them. I've had problems as I would with any provider, and they have always come thru. What concerns me is that if Sprint is bought by another company; I am not happy with their history.
Posted by: artie | March 07, 2008 at 12:15 PM
The reason we beat up on Sprint is because they deserve it. I am not going to get into all the reasons why, but I will tell you that there is probably not one person who works there that actually respects the company or its upper management. The customers are proving that as well in the 100's of thousands per quarter. The place is literally falling apart at the seams and nothing is being done to stop it. Sorry you are stuck with them as a vendor because they "SUCK"
Posted by: The Sheriff | March 07, 2008 at 03:16 PM