Attorney General Liz Murrill has announced a $10.25 million settlement involving several major wireless carriers, including AT&T Mobility, LLC, Cricket Wireless, LLC, T-Mobile USA, Inc., Cellco Partnership doing business as Verizon Wireless, and TracFone Wireless, Inc. This settlement addresses investigations by state attorneys general into alleged deceptive advertising practices by these companies.
The agreement includes specific assurance terms aimed at correcting misleading advertising practices. These terms focus on issues such as "unlimited" data plans that previously did not clearly disclose limitations, "free" phone offers with undisclosed conditions, and monetary incentives for switching networks without clear information on how they would be provided. The settlements also address misleading comparisons of wireless carrier plans.
Under the new terms, the wireless carriers are required to ensure future advertisements are truthful and non-misleading. They must clearly disclose any restrictions or conditions related to their offers and services. For instance, unlimited data plans must specify any limits on data speed and triggers for those limits. Offers to switch carriers or receive free devices must come with full disclosure of all relevant terms and conditions.
Additionally, the companies must appoint a dedicated employee to handle consumer complaints in cooperation with attorneys general and train customer service representatives to comply with these new standards.
Attorney General Liz Murrill stated: “Cell phones are an integral part of our daily lives, and this bi-partisan settlement makes it clear that deceptive and misleading advertising will not be tolerated. This settlement further demonstrates the Louisiana Department of Justice’s commitment to protecting Louisiana consumers by providing transparency from their wireless carrier.”
As part of this multi-jurisdictional settlement, Louisiana will receive $177,113.15.