The Australian Competition and Consumer Commission alleges that statements made by Telstra call centre representatives to consumers about early termination fees payable by One.Tel Next Generation customers, were misleading and deceptive.
"The ACCC is alleging that consumers were advised by Telstra representatives, as late as yesterday, that if they transferred their mobile phone service to any mobile phone service provider other than Telstra, or did not transfer to Telstra before a certain date, the One.Tel administrators may seek termination fees", ACCC chairman, Professor Allan Fels, said in a statement.
However, it's the view of the ACCC that as One.Tel Administrators turned off the Next Generation mobile phone network on June 9, 2001 no termination fees can apply to customers who transfer to any other service provider after One.Tel withdrew its service.
The customer must not incur a penalty when it is the business that stopped providing its services, according to Fels.
"This appears to be a case of a service provider taking advantage of the confusion surrounding the demise of a competitor. Clearly we are concerned if a service provider has obtained customers via misinformation, especially vulnerable and confused previous customers of One.Tel", he said.
The ACCC is seeking declarations that Telstra engaged in conduct that was misleading or deceptive and an injunction that restrains Telstra from making misleading representations in the future.
The ACCC also wants the court to force Telstra to give misled customers 14 days to rescind their contract with Telstra without penalty and order the telco to place corrective advertisements in major metropolitan newspapers and write to affected consumers.
The hearing will be held in the Federal Court, Melbourne at 2:15pm today.
What was being conducted by the ACCC is what Telstra deserved. Tht's for sure! Lots of former one tel customers were not given any time or chance to switch to the telco they want after the unfortunate dismissal of the one tel.
This court case will serve a good reminder to any organisations that trying to monopolise an industry is totally unacceptable!!