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Thursday, March 28, 2024

Telecommunications companies sued for fraud

Lawsuits
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CHARLESTON — A South Carolina county and municipalities are suing Level 3 and Telcove telecommunications companies, alleging a violation of the Unfair Trade Practices Act.

They allege breach of fiduciary and statutory duty and constructive fraud.

South Carolina City, the county of Dorchester, South Carolina, and town of Summerville, South Carolina, filed a complaint on Oct. 25, in the U.S. District Court for the District of South Carolina Charleston District.

Named in the lawsuit are Level 3 Communications, LLC; Level 3 Telecom of South Carolina, LLC; and Telcove Operations, LLC et al., for an alleged violation of the South Carolina Unfair Trade Practices Act.

The plaintiffs opted to assert their statutory authority to impose a monthly charge each as a "local exchanged access facility" and a "voice-over Internet protocol service line."

Plaintiffs 911 emergency services, according to the lawsuit, allegedly are not properly and adequately funded, which leads to budget shortfalls that can have dire consequences for the public. 

Plaintiffs claim the defendants did not bill subscribers the required amount of 911 charges by under-remitting 911 charges to plaintiffs. 

The plaintiffs allege the defendants breached their fiduciary duties and standard of care by concealing from plaintiffs the actual number of local exchange access facilities and VoIP service lines; concealing the correct amount of 911 charges owed and failed to bill, collect, and remit to plaintiffs the full amount of 911 charges owed.

The plaintiff requests a trial by jury and seeks declaration and permanent injunction, award of costs, general and special relief as the court deems appropriate, and as justice and equity may require. 

They are represented by Marlon E. Kimpson, Lance V. Oliver, Max Gruetzmacher and Annie E. Kouba of Motley Rice LLC in Mt. Pleasant, South Carolina.

U.S. District Court for the District of South Carolina Charleston District Case number 2:18-cv-02891-RMG

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