Favorite Files

No favorite files added yet

Recent Posts

1. Comment - Verizon soon to face the biggest class action lawsuit yet

   (Jan 29, 2008 - 7:12 PM)

   @billweh,
   
   I agree with your call to RTFC.
   
   However, when writing the contract, a company has the choice to put a termination fee amount which covers their "loss," or use the fee as a loophole for increased profits. Which I think is the case with all subscription-based contracts I've seen (verizon, at&t, t-mobile).
   
   So, if I am looking at a "standard" contract in a fairly monopolized industry and see that one of the clauses requires me to agree to what I see as an extraordinary high penalty for leaving such contract, I get suspicious.
   
   Maybe Verizon will prove in court that $175 is indeed what they lose from each customer leaving early.
   
   But maybe this amount could be adjusted every quarter? I wouldn't think they "lose" the same amount on day 1 as on day 730.
   
   I actually think I am looking at a fat corporation pushing the limits of what it can get away with.
   
   Cheers
   -- Andre