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New York City sues T-Mobile over 'rampant' customer sales abuses
Source: Reuters
BUSINESS NEWS SEPTEMBER 4, 2019 / 6:16 PM / UPDATED AN HOUR AGO
New York City sues T-Mobile over 'rampant' customer sales abuses
Jonathan Stempel
3 MIN READ
NEW YORK (Reuters) - New York City sued T-Mobile USA Inc on Wednesday, accusing the fourth-largest U.S. mobile phone company of engaging in “rampant” sales abuses of customers for its lower-priced, prepaid wireless brand, Metro by T-Mobile.
In a complaint filed in the state supreme court in Manhattan, the city said it had identified more than 2,200 violations by T-Mobile, whose “pervasive” illegal activity spanned 56 Metro stores in all five boroughs, including authorized dealers and stores run by its MetroPCS NY unit.
-snip-
In its complaint, New York City said it had evidence that many Metro stores sold used or reconditioned phones as new, and charged taxes that were excessive or appeared to be “made up,” including “device change taxes” and “device activation taxes.”
It also accused T-Mobile of partnering with third parties to enroll unsuspecting consumers in expensive financing plans without their consent.
The complaint cited one example in which a woman thought she had bought a phone advertised at $599 from a Bronx dealer, only to learn later that she had signed up for a 12-month lease costing $2,191.30.
-snip-
New York City sues T-Mobile over 'rampant' customer sales abuses
Jonathan Stempel
3 MIN READ
NEW YORK (Reuters) - New York City sued T-Mobile USA Inc on Wednesday, accusing the fourth-largest U.S. mobile phone company of engaging in “rampant” sales abuses of customers for its lower-priced, prepaid wireless brand, Metro by T-Mobile.
In a complaint filed in the state supreme court in Manhattan, the city said it had identified more than 2,200 violations by T-Mobile, whose “pervasive” illegal activity spanned 56 Metro stores in all five boroughs, including authorized dealers and stores run by its MetroPCS NY unit.
-snip-
In its complaint, New York City said it had evidence that many Metro stores sold used or reconditioned phones as new, and charged taxes that were excessive or appeared to be “made up,” including “device change taxes” and “device activation taxes.”
It also accused T-Mobile of partnering with third parties to enroll unsuspecting consumers in expensive financing plans without their consent.
The complaint cited one example in which a woman thought she had bought a phone advertised at $599 from a Bronx dealer, only to learn later that she had signed up for a 12-month lease costing $2,191.30.
-snip-
Read more: https://www.reuters.com/article/us-t-mobile-us-new-york-lawsuit/new-york-city-sues-t-mobile-over-rampant-customer-sales-abuses-idUSKCN1VP30N