Attorney General Phil Weiser announced a national settlement of $10.25 million with major wireless carriers over misleading consumer practices involving free phones and unlimited data offers. The agreement involves AT&T, Verizon Wireless, Cricket, T-Mobile, Cellco Partnership, and TracFone Wireless.
The settlement resolves investigations by state attorneys general into the companies' advertising practices. It addresses misrepresentations related to "unlimited" data plans, "free" phone promotions, monetary incentives for switching networks, and comparisons of wireless carrier plans.
As part of the settlement terms, carriers must ensure future advertisements are truthful and non-misleading. They are also required to clearly disclose all fees and conditions associated with lease agreements and provide training for customer service representatives to comply with the settlement.
"For too long, wireless carriers have failed to live up to the misleading claims in their ads," said Weiser. "This bipartisan work across all 50 states to hold carriers accountable for their deceptive marketing will give consumers clearer, more honest information about what they are getting for their money from these companies."
Colorado will receive $147,408 from the settlement funds. This amount can be used for restitution or enforcement related to consumer fraud or antitrust issues, as well as consumer education or public welfare initiatives.
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