AG Tong Announces Settlement with Wireless Carriers (2024)

(Hartford, CT) -- Attorney General Tong today announced three settlements totaling $113,774.89 between the State of Connecticut and AT&T Mobility, LLC, Cricket Wireless, LLC, T-Mobile USA, Inc., Cellco Partnership, d/b/a Verizon Wireless, and TracFone Wireless, Inc. (collectively, the “Wireless Carriers”) resolving investigations into the Wireless Carriers’ deceptive and misleading advertising practices.

The settlement addresses a series of deceptive and misleading advertising practices, including untruthful marketing of so-called “unlimited” mobile data plans with hidden restrictions, offers for “free” devices riddled with terms and conditions, misleading financial incentives to “switch” networks which failed to disclose how the incentives were to be paid, and unsupported promises to “save money” through product purchases, among other concerns.

Connecticut is among fifty jurisdictions today announcing a series of settlements with Wireless Carriers totaling approximately $10.25 million.

“These Wireless Carriers—including biggest and most dominant in the industry—lured consumers with false promises of unlimited data, savings, and free devices. These were deceptive and misleading. Our settlement today forces major reforms across the wireless industry, requiring these companies to be truthful and transparent in their advertising and marketing. And, if consumers continue to get the run around from customer service representatives, we will now have a dedicated liaison working directly with state attorneys general to get consumers the answers and help they deserve,” said Attorney General Tong.

“Like the internet, cellphones and mobile data plans have become a necessary utility for most people in today’s world,” said Department of Consumer Protection Commissioner Bryan T. Cafferelli. “Taking advantage of this necessity by utilizing misleading advertising tactics to extract more money from consumers is wrong, and we hope this settlement will result in more truthful promises up front, better service for consumers along the way, and quicker fixes when issues do arise.”

In addition to the monetary terms, the settlements require the Wireless Carriers to be more transparent in their advertising and marketing practices with Connecticut consumers.

The assurance terms will, among other things, require the Wireless Carriers to:

(1) make all future advertisem*nts and representations truthful, accurate and non-misleading;
(2) refer in marketing to “unlimited” mobile data plans only where such plans do not set any numerical limits on the quantity of data allowed during a billing cycle and clearly and conspicuously disclose any restrictions on data speed, as well as the triggers of such restrictions;
(3) offer to pay for consumers to “switch” carriers only where they clearly and conspicuously disclose the type of fees and amounts that they will pay consumers, the form and schedule that such payment will take and all material requirements that consumers must satisfy in order to qualify and receive such payment;
(4) offer wireless devices or services for “free” or similar terms only where they disclose clearly and conspicuously all material terms and conditions that the consumer must meet in order to receive the “free” devices or services;
(5) make offers to lease wireless devices only where it is made clear to the consumer that the consumer will be entering into a lease agreement;
(6) make representations that a consumer will save money by purchasing its products or services only where it has a reasonable basis to do so based on comparisons with the prices of comparable goods or services of other providers, or where any material differences between those goods or services are clearly and conspicuously disclosed;
(7) appoint a dedicated employee to work with the attorneys general to address ordinary complaints filed by consumers; and
(8) train its customer service representatives who speak with consumers to comply with these terms and implement and enforce a program to ensure compliance with these terms.

Please click here to view the state’s agreement with AT&T Mobility, LLC and Cricket Wireless, LLC.
Please click here to view the states’ agreement with T-Mobile USA, Inc.
Please click here to view the state’s agreement with Cellco Partnership, d/b/a Verizon Wireless, and TracFone Wireless, Inc.

Assistant Attorneys General Michael Nunes and Brendan Flynn and Deputy Associate Attorney General Michael Wertheimer, Chief of the Consumer Protection Section assisted the Attorney General in this matter.