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View Full Version : [Merged] Cellular System Access Fee Class-Action Lawsuit



devilsknight
Sep 19th, 2007, 08:44 AM
Looks like this thing is going to court as a class action suit, so i figured i would share the site where you can register to join to class action suit and the article on the latest news.

Let's get our $$$ back lol !!!

http://www.thestar.com/Business/article/258049

http://www.merchantlaw.com/cellular.html

J_u_n_i_o_r_3
Sep 19th, 2007, 09:25 AM
they way to go
6.95 is too much money

J_u_n_i_o_r_3
Sep 19th, 2007, 09:25 AM
if this goes thorugh stock prices |
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4flava
Sep 19th, 2007, 10:29 AM
It's about time..we've been raped long enough.

mself084
Sep 19th, 2007, 10:49 AM
I like it.. I mean, carriers would probably just bump up your plan by $6.95/month to make up for the lost fee, but still the costs of cellphone use would be up front.

akito925
Sep 19th, 2007, 11:14 AM
I like it.. I mean, carriers would probably just bump up your plan by $6.95/month to make up for the lost fee, but still the costs of cellphone use would be up front.

umm I don't think so canada is the most expensive for cell phone plans.. look at our neighbours cell phones USA cell phone plans

purple_rabbit
Sep 19th, 2007, 11:24 AM
whatever added my name....let's see what happens..

cdnNick
Sep 19th, 2007, 11:59 AM
The carriers have showed time and time again that they will just raise the cost of the plans or offer less feaures and charge you for what you want to use. Look at voicemail and caller ID these were included when I got my first cell 10 years ago, now they are an add-on.

No system access fee will mean higher rate plans.

Shaner
Sep 19th, 2007, 12:03 PM
The carriers have showed time and time again that they will just raise the cost of the plans or offer less feaures and charge you for what you want to use. Look at voicemail and caller ID these were included when I got my first cell 10 years ago, now they are an add-on.

No system access fee will mean higher rate plans.

Then so be it. But when I am told that my plan costs $25.00, I expect to pay $25.00 and not a penny higher. I understand taxes will be added on, but that's to be expected. I don't expect to sign up for a plan that costs $25.00 and end up paying close to $40 by the time all the fees and taxes are added on. It's completely misleading and should be made illegal by parliament.

hyperion
Sep 19th, 2007, 12:56 PM
This is a boat I want to be on. *cross fingers* that a class action lawsuit that deals with Bell's billing practices also comes along.

mself084
Sep 19th, 2007, 12:57 PM
What about the 911 Access fee (or something similar)? Is this in the same boat?

st7860
Sep 19th, 2007, 05:37 PM
http://news.sympatico.msn.ctv.ca/TopStories/ContentPosting.aspx?feedname=CTV-TOPSTORIES_V2&newsitemid=CTVNews%2F20070919%2Fcellphone_suit_070 919&showbyline=True

The lawyer at the head of a massive class-action lawsuit against Canadian cellphone companies said the service providers have become "addicted" to collecting unnecessary fees from customers.

"When the companies first had cellular service you had to have a wireless fee, and the companies got into the habit of charging this," Tony Merchant, the lawyer who initiated the suit, told CTV Regina.

"When they weren't required to pay the wireless fee, it was sort of like a crack cocaine that they were used to," he said. "They just kept charging, taking the money and mis-describing the money they were receiving."

A Saskatchewan court certified the lawsuit against Canada's cellphone providers on Tuesday.

The suit, first launched in 2004, alleges Canada's cellphone users are owed $12 billion plus interest for unfair "system access" fees collected over the years.

After two weeks of arguments from lawyers for the class action and the cell phone companies, the Court of Queen's Bench in Regina ruled Tuesday that the suit has enough validity to go forward.

It is described as the largest class-action in Canadian history, potentially affecting every cellphone user in the country. Currently, there are 7,500 complainants signed onto the suit.

"As a financial story for these companies it has an absolute blockbuster impact upon them. So if the industry has a judgment of $20 billion delivered, the impact would obviously be huge," Merchant said

The suit claims the companies are practicing "unjust enrichment" by charging the so-called "system access" or "licensing" fees.

Merchant maintains cellphone service providers have convinced customers the fees are required under federal regulations.

"They're gouging people. They're receiving money they ought not to receive and people believe they're paying it with good and just cause, and they're not."

The practice effectively allows companies to advertise lower prices, then boost the cost of cellphone plans through hidden fees, he said.

Here are the monthly subscriber access fees charged by Canada's major cellphone providers:

Rogers Wireless: $6.95
Telus Mobility: $6.95
Bell Mobility: $8.95, after a recent $2 increase
An investigation by the Toronto Star several years ago revealed many employees of cellphone companies were incorrectly telling customers the fees were required by the Canadian Radio-Television and Telecommunications Commission.

While required by the CRTC when the cellphone industry was in its infancy, the fees are no longer legally required, but are still being charged.

The investigation also found the fees would generate about $800 million annually for the industry.

Merchant said that number is now closer to $1.3 or $1.5 billion.

Critics argue the fees are necessary in order to allow cellphone companies to continue doing business, and point out that the court's certification of the class-action suit doesn't mean the case has been deemed to have merit.

White Comet
Sep 19th, 2007, 05:43 PM
At last people are realizing about the system access fee, what a rip. I remember asking them many years ago what this was...and they mumbled a bunch of crap that I already forgot about it.

There is also link to news here

http://www.citynews.ca/news/news_14888.aspx

and apparently...you can join in the lawsuit


What about the 911 Access fee (or something similar)? Is this in the same boat?

911 emergency fee is different from the system access fee (SAF) the 911 is only $0.50/month but the SAF is $6.95/month. I'm using Fido btw

hyperion
Sep 19th, 2007, 06:17 PM
and apparently...you can join in the lawsuit


That's the best part.

d_jedi
Sep 19th, 2007, 06:31 PM
Sign up here:
http://www.merchantlaw.com/cellular.html

What's particularily galling is Bell increased this fee for people who were on contract with them. There is nothing, technically, preventing them from raising the fee to $20/month or something.. and wanna cancel? That'll be $$$, please.

Scrap the system access bull$hit.. and end this deceptive, consumer-hostile practice!

Shaner
Sep 19th, 2007, 07:40 PM
Sign up here:
http://www.merchantlaw.com/cellular.html

What's particularily galling is Bell increased this fee for people who were on contract with them. There is nothing, technically, preventing them from raising the fee to $20/month or something.. and wanna cancel? That'll be $$$, please.

Scrap the system access bull$hit.. and end this deceptive, consumer-hostile practice!

Unless I'm mistaken, once a contract is modified, all parties are able to void the contract without penalty provided written notice is provided within 30 days of the new contract. Sure, Bell can raise it to whatever they want, but all customers on contract can opt out within 30 days.

felixdd
Sep 19th, 2007, 08:01 PM
Unless I'm mistaken, once a contract is modified, all parties are able to void the contract without penalty provided written notice is provided within 30 days of the new contract. Sure, Bell can raise it to whatever they want, but all customers on contract can opt out within 30 days.

Indeed that is the case

from Toronto Star

The Competition Bureau has looked into the issue, but according to a recent filing by Rogers it has been dismissed. A spokesperson for the bureau would not comment.
The Competition Bureau is inept in this matter. It's the same bureau that allowed Rogers to purchase Fido and establish what is today the monopoly GSM market in Canada.

st7860
Sep 19th, 2007, 08:14 PM
now i bet over on mofo dog treats and the crew will be all over each other justifying why the system licence fee is necessary etc.

hyperion
Sep 19th, 2007, 08:18 PM
Unless I'm mistaken, once a contract is modified, all parties are able to void the contract without penalty provided written notice is provided within 30 days of the new contract. Sure, Bell can raise it to whatever they want, but all customers on contract can opt out within 30 days.

Many people don't know that though.

killoverme
Sep 19th, 2007, 11:20 PM
are companies like rogers waving these fees now or going to continue to charge for them

Kasakato
Sep 19th, 2007, 11:22 PM
are companies like rogers waving these fees now or going to continue to charge for them

Thats not a question, after all this is Rogers! Of course they continue to charge them.

White Comet
Sep 19th, 2007, 11:55 PM
I just got my bill...and its still there (Fido btw)

TurboRegal
Sep 20th, 2007, 12:10 AM
Personally I've had tons of bad experience with Merchant Law and Tony Merchant in the past... I won't say anything else in the risk of getting sued for libel...:lol:

Thalo
Sep 20th, 2007, 12:39 AM
They're still on about the whole "system access fee" BS? I thought that was so 2 or 3 years ago. I'm more pissed about the regular service fees on wireless plans in Canada, way higher than in any other developed country in the world.

cko64
Sep 20th, 2007, 12:51 AM
Thanks, entered.

Oh, this is not a contest? I probably have just as much chance to get some money back as any contest. Yet, I still enter contests. So, entered.

hyperion
Sep 20th, 2007, 01:13 AM
They're still on about the whole "system access fee" BS? I thought that was so 2 or 3 years ago. I'm more pissed about the regular service fees on wireless plans in Canada, way higher than in any other developed country in the world.

The legal system is very slow. This lawsuit was filed years ago.

TheZodiac
Sep 20th, 2007, 09:40 AM
So would we actually see any money back?

mlc2000
Sep 20th, 2007, 10:24 AM
The telco's may offer out of court settlement to avoid costly litigation.

Best thing to do is call your provider, and get the start date of of your original contract. Then sign up.

Kerlo
Sep 20th, 2007, 10:24 AM
This may be a bit off topic but ppl whouls know about it . . .

The Wireless competition debate is acutally heating up.

Here are the two sides of the coin:

Saying there is enough:
http://www.cwta.ca/wirelesscompetition/

Calling for more Compettition:
http://www.wirelessfuture.ca/
( I think this is mainly being fuelled by Quebecor and other comm providers)

drunkgoat
Sep 20th, 2007, 12:44 PM
This issue needs more public attention.

patrob
Sep 20th, 2007, 12:45 PM
Just signed up...let's see if we will get our money back :twisted:

ricenice
Sep 20th, 2007, 01:00 PM
Burn, Rogers, Burn!!!

rfdrfd
Sep 20th, 2007, 01:03 PM
So does it cost us anything to sign up? Is that law firm going to charge us any fees later? Win or not ?

fatboy_jim
Sep 20th, 2007, 01:04 PM
I don't know hardly anything about class-action lawsuits, but I'm curious about one thing: if the suit fails, who pays the lawyers (in this case, Merchant Law)? Is their bill split up between the 75,000+ people who signed up to reap the rewards?

FJ

drunkgoat
Sep 20th, 2007, 09:34 PM
You wouldn't have to pay anything for signing up, win or lose.

The lawyers are basically doing this in the hopes of a big payout from the Cellular industry.

kevbodian
Sep 21st, 2007, 05:41 AM
I am pretty sure the suit will succeed. There is almost no such thing as an unbiased person in this matter. Even people who do not have cell phones will say that the SAF is unjust once they see the proof.

Not only this... but the only people on the Rogers side of things who will argue SAF's case are the 3% of Rogers who actually benefit from this (plus the lawyers who are getting paid to argue it and possibly the stockholders who are most likely mostly the 3% of the top management with rogers).

Whether or not the price of plans will go up if the case is successful is moot; Rogers/Telus/Bell etc should be honest in what they charge and not throw up this mystical wall of mystery that is the SAF.

Lol, watch them start waiving SAF before the case finishes (1 by 1 of course) in an attempt to lure customers their way.

kevbodian
Sep 21st, 2007, 05:44 AM
I don't know hardly anything about class-action lawsuits, but I'm curious about one thing: if the suit fails, who pays the lawyers (in this case, Merchant Law)? Is their bill split up between the 75,000+ people who signed up to reap the rewards?

FJ

If the case fails, Merchant Law will get nothing and therefore their own clients will have to pay their fees if the case is from a client.

If the case is Merchant's own thing to get famous... and they lose... they get nothing so they just wasted time (appeal?).

If the case fails and the companies want retribution... they could most likely sue Merchant for their fees which would more than likely see Tony Merchant working in a Subway restaurant in the near future.

hyperion
Sep 21st, 2007, 12:24 PM
I am pretty sure the suit will succeed. There is almost no such thing as an unbiased person in this matter. Even people who do not have cell phones will say that the SAF is unjust once they see the proof.

Not only this... but the only people on the Rogers side of things who will argue SAF's case are the 3% of Rogers who actually benefit from this (plus the lawyers who are getting paid to argue it and possibly the stockholders who are most likely mostly the 3% of the top management with rogers).

Whether or not the price of plans will go up if the case is successful is moot; Rogers/Telus/Bell etc should be honest in what they charge and not throw up this mystical wall of mystery that is the SAF.

Lol, watch them start waiving SAF before the case finishes (1 by 1 of course) in an attempt to lure customers their way.

I think most likely thing to happen is an out-of-court settlement. I hope it doesn't though, I really want to see these companies lose billions and their stocks to take a plunge for being what they are.

woodstock827
Sep 21st, 2007, 12:34 PM
So all these time, when I ask for a new cellphone plan, and they say the system access fee is paid to the government, they're lying?
Can we sue false advertising or fraud?

Kasakato
Sep 21st, 2007, 12:57 PM
So all these time, when I ask for a new cellphone plan, and they say the system access fee is paid to the government, they're lying?
Can we sue false advertising or fraud?

If your rich...

hardcoredummy
Sep 22nd, 2007, 07:32 AM
I really hope this class-action lawsuit is successful. I don't care if i don't personally get a penny out of it, but these companies are simply crooks. Some people say they will just raise the prices by $6.95 or whatever it is, then at least it will be upfront. AND if you sign a contract, the contract will stay the same price throughout the term. As it is now, the system-access fee is not part of the contract, so if they raise it, those on contracts gets hit as well.

What i would really like is the winnings from this lawsuit to be used to go after the CRTC and get them to open the cellular market.

MizTEcK
Sep 22nd, 2007, 10:53 AM
This may be a bit off topic but ppl whouls know about it . . .

The Wireless competition debate is acutally heating up.

Here are the two sides of the coin:

Saying there is enough:
http://www.cwta.ca/wirelesscompetition/

Calling for more Compettition:
http://www.wirelessfuture.ca/
( I think this is mainly being fuelled by Quebecor and other comm providers)

on the CWTA site it says there are more than 24 wireless providers within canada... ?????? name them plz??? :confused:

Piro21
Sep 22nd, 2007, 01:12 PM
on the CWTA site it says there are more than 24 wireless providers within canada... ?????? name them plz??? :confused:

They're probably just shell companies owned by the other providers. Like how Fido is such a distinct company from Rogers, with valid motivations to compete with them :rolleyes:

konfusion666
Sep 22nd, 2007, 02:46 PM
After signing up for the class action at Merchant Law, I do believe I got an email from them which got flushed away in my Spam. I looked at my Spam folder and by reflex, clicked the Clear button right away... but in the 1-2 second "Internet Delay" I noticed one of them mentioned Merchant Law Firm... too late, it had already gotten deleted permanently!

Anyone know if that email they send you is important?

konfusion666
Sep 22nd, 2007, 02:50 PM
I don't know hardly anything about class-action lawsuits, but I'm curious about one thing: if the suit fails, who pays the lawyers (in this case, Merchant Law)? Is their bill split up between the 75,000+ people who signed up to reap the rewards?


If the case fails, Merchant Law will get nothing and therefore their own clients will have to pay their fees if the case is from a client.


Although IANAL I believe that for class-action's, there is no fee required from the 75000 participants if it "fails".

Kasakato
Sep 22nd, 2007, 02:50 PM
After signing up for the class action at Merchant Law, I do believe I got an email from them which got flushed away in my Spam. I looked at my Spam folder and by reflex, clicked the Clear button right away... but in the 1-2 second "Internet Delay" I noticed one of them mentioned Merchant Law Firm... too late, it had already gotten deleted permanently!

Anyone know if that email they send you is important?



WELCOME TO Cellular Class Proceedings


Thank you for your registration concerning the Cellular Class Proceedings. You should receive information regarding progress of the litigation periodically.
If you ever wish to unsubscribe from this mailing list, please send a message to cellularmail(REMOVEME)@merchantlaw.com with the following subject:
Remove

ibanker
Sep 22nd, 2007, 04:34 PM
signed up. hope they win

CheapScotsman
Sep 22nd, 2007, 11:32 PM
maybe somebody can tackle the law profession next with their system access fee, oops, sorry ... disbursements.

Nikita
Sep 23rd, 2007, 02:22 PM
Although IANAL I believe that for class-action's, there is no fee required from the 75000 participants if it "fails".

That's correct. There is no fee. The lawyers get paid only if they are successful and then they will take a percentage off the top, so you won't actually get 6.95 per month back. The percentage that the lawyers get would have to have already been ok'd in the certification hearing by a judge.