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Forums » Sprint Pays $30 Million For USF Overcharging
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Comments on news posted 2007-09-14 11:08:40: Several users sent in this Associated Press report that says Sprint will be paying $30 million to settle a class action lawsuit alleging it overcharged in passing along a federally mandated phone service subsidy (aka the USF). ..

page: 1 · 2
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dcurrey
Premium
join:2004-06-29
How much did they keep.

Sprint settled for $30 million. Didn't mention how much they have been over charging us. My guess is they came out way ahead with this so called settlement.


retrogame

join:2003-04-14
Auburn, MA
Especially since it's $25 millions dollars of calling cards and $5 million in cash to the lawyers. The $25 million in calling cards is retail value, which means Sprint gets away with "paying" alot less to settle.

stevephl

join:2000-11-27
Colorado Springs, CO
·Comcast

Illegal USF Tax

The best case scenario now would be too repeal the USF law and stop taxing the American public with this illegal tax. I am sure the rural areas now have phone service, which they should be responsible for funding themselves not the rest of the country. A note most rural areas are not an impoverished third world country but fairly affluent especially compared to most other countries, too that end they can provide their own telephone service.



tommy13v
Premium
join:2002-02-15
Glenville NY
reply to retrogame
Re: How much did they keep.

And I certainly could care less about a calling card. I simply wouldn't even use it.


TKJunkMail
Enjoy the sun
Premium
join:2002-03-03
Avalon, NJ
·Sprint Mobile Broa..
·Comcast


1 edit
reply to retrogame
said by retrogame See Profile :

Especially since it's $25 millions dollars of calling cards and $5 million in cash to the lawyers. The $25 million in calling cards is retail value, which means Sprint gets away with "paying" alot less to settle.
And the consumers in this case actually made out better than usual if the lawyers only got 16.7%. In class action lawsuits, the fees and especially the expenses make up a much larger percentage of the total award.

But the USF should just be ended. Being government controlled, it will never be fixed to the point where outright fraud isn't massive. Too little actually goes to why it was created. So, it is better that it be killed off and let the rural areas do the best they can. »Illegal USF Tax
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collusion

@rcn.com

How are IXCs colluding? LD is imploding.

The collusion allegation is bogus. The suit alleges the IXCs colluded by fixing the USF line item on customers bills, but doesn't acknowledge that end-user prices have plummeted. Why? Wireless and RBOCs. The claim is equivalent to taking change out of your left pocket and putting a fraction of that change into your right pocket. How are consumers harmed?

dentman42

join:2001-10-02
Columbus, OH
reply to tommy13v
Re: How much did they keep.

Wonder if calls made with the calling cards will get dropped as much as calls made with my Sprint PCS service did...

MGD
Premium,MVM
join:2002-07-31
Fort Lauderdale, FL
reply to retrogame
Yes indeed, how many of these will end up being used, and Sprint's net cost will be considerably lower than that.

It is hard to find any class action settlement where the the victims didn't get tokens, and the lawyers got the cash.

MGD


en102
Canadian, eh?

join:2001-01-26
Valencia, CA
reply to stevephl
Re: Illegal USF Tax

With Wireless and Internet (cable or DSL), USF is becoming less of an issue.
Boonie Telecom can go out of business or charge more.
--
Canada = Hollywood North


idjk

@sprintlink.net
reply to dcurrey
Re: How much did they keep.

Give me a billion and I will be happy to pay a 900 million fine!


brooklynman4

join:2004-09-07
Brooklyn, NY
reply to collusion
Re: How are IXCs colluding? LD is imploding.

They gonna see how fast they gonna sprint when there cuastomers leave em lol.


Dezbend
Premium,MVM
join:2001-04-20

reply to stevephl
Re: Illegal USF Tax

I agree that the USF is excessive, but what about rural areas where dial tone by it self is $98.00 (LaGrange WY for example)? and what of the schools that do get money from the USF to pay for communications? Will you create a new tax (corrupt free I hope) to help these legitimate causes or are they on their own?
--
If it is not recorded, it simply does not exist.

PAB

join:2007-07-27
Woodridge, IL

Rather than eliminating the USF, it should be overhauled with strict oversight. One post here said "they can provide their own phone service" (?????) If the USF was used with some legitimacy, it could do wonders for rural America bringing broadband to these area's and not just dial tone.

Sammer

join:2005-12-22
Canonsburg, PA
The lack of strict oversight was deliberately built into the USF by members of congress so what makes you think they want to change that.

Ahrenl

join:2004-10-26
North Andover, MA
reply to TKJunkMail
Re: How much did they keep.

Except that CASH wise consumers got 0% and the lawyers got 100%. This is like getting a $100 apple gift card for paying $200's too much for your Iphone.

stevephl

join:2000-11-27
Colorado Springs, CO
·Comcast

reply to Dezbend
Re: Illegal USF Tax

I would completely eliminate these types of taxes. It is a steal from Peter to Pay Paul scenario and it is not fair to the tax payers. The local school districts can fund these types of programs from the local tax base the fair way to do so. In extreme cases the Federal government has other monies already collected to deal with this. I am more lenient towards schools then private individual subsidized phone service.

bjeff

join:2007-09-14
Enfield, IL
ATT

THAY SHOULD PAY MORE


dvd536
as Mr. Pink as they come
Premium
join:2001-04-27
Phoenix, AZ

reply to tommy13v
Re: How much did they keep.

said by tommy13v See Profile :

And I certainly could care less about a calling card. I simply wouldn't even use it.
Specially with the fees they have.
Connect fee
Maintenance fee
Payphone surcharge
Max call length
--------------------
Needless to say it doesn't take long to chew through a typical phone card.
--
You can never be too rich, too thin or have too much Bandwidth

hottboiinnc
ME

join:2003-10-15
Cleveland, OH
·Time Warner Cable
·buckeye cable

Sprint is not the only calling card company that charges a pay phone surcharge. most if not all of them charge this along with a great deal of of them charge a connect fee. Most still round up to the nearest minute where a very few of them round up to the nearest 6seconds.

hottboiinnc
ME

join:2003-10-15
Cleveland, OH
·Time Warner Cable
·buckeye cable

reply to Dezbend
Re: Illegal USF Tax

In Ohio we actually have the ODoE that has a network set up for the school's Internet and putting the school's voice services on to it. It's funded by the ODoE and MSN (at least MSN had a hand it in at one time). all of our 88 counties are split up into regions and each region is responsible for connecting the schools together and then to their NOC which connects back to the state. All on T-3s and Fiber. The school districts pay very very little if any at all. Many of these regions actually have enough money from the State to lay their own dark fiber between all the schools back to the NOC.

»www.mcoecn.org/ is the MGT body of the service
»www.oecn.k12.oh.us/ is the part that actually is the IT department state wide.
Forums » Sprint Pays $30 Million For USF Overchargingpage: 1 · 2


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