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story category Verizon Sues Alltel For False Advertising
Ad criticizes Verizon policy just a few months too late...
(old news - 02:19PM Thursday Jan 03 2008)
tags: legal · competition · business · wireless · Verizon Wireless Broadband · Alltel Axess
Verizon Wireless, fresh off of their settlement with New York's Attorney General for falsely advertising their service as "unlimited," is suing wireless carrier Alltel for false advertising. According to Bloomberg News Verizon is suing over an Alltel series of ads (see one here) that claim Verizon Wireless customers must extend their contracts when they change calling plans. Says a Verizon executive of these outrageous claims:
Click for full size
"Whatever merit this comparison may have to other carriers, in the case of Verizon Wireless, the supposed ‘advantage’ is pure fiction," Verizon, based in Basking Ridge, N.J., alleged in the complaint.
By "fiction" they mean they did that three months ago, but they don't any longer. Verizon Wireless changed their policies after Sprint was sued by the Minnesota Attorney General for extending customer contracts every time they made even minor changes to their wireless plans. In other words, Alltel's ad would technically be true if they'd run it three months ago.

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Forums » Verizon Sues Alltel For False Advertising
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Rob
In Deo speramus
Premium
join:2001-08-25
Kendall, FL

Mean what you say, and say what you mean...

If you advertise the service has "unlimited", then that's exactly what it is.. no limit.

cabana
minty fresh
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Host:
AT&T Southeast
56k lookout! (broa..

Re: Mean what you say, and say what you mean...

you say you are experiencing an issue? no problem. First please sign over your first born child, your next ten pay checks, your life insurance policy ...and oh yes...sign up for another ten years on your fabulous plan...as soon as that is done in triplicate we will be soooooooooo happy to help you.

supergirl

join:2007-03-20
Pensacola, FL

Re: Mean what you say, and say what you mean...

She said, "We're the phone company, sir. We don't have to care."

mindfrost82

join:2003-04-19
Cortland, IL

Old commercial

Weird thing is, I haven't seen that commercial in a while. Not sure if its been 3 months or not, but once Verizon changed their policy, I haven't seen any commercials by Alltel saying Verizon extends their contracts.

I think this is just another way for VZW to get money or hurt the competition.
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partysource

join:2000-11-25
Phoenix, AZ

Re: Old commercial

Verizon is back with the largest customer base. Caught up to the ATT/Cingular merger. The reason why..Verizon Wireless has the lowest Churn rate of 1%, the lowest rate in the industry. Who cares what you say..The numbers are facts

Cabal
Premium
join:2007-01-21
02101

Re: Old commercial

said by partysource See Profile :

Verizon is back with the largest customer base. Caught up to the ATT/Cingular merger. The reason why..Verizon Wireless has the lowest Churn rate of 1%, the lowest rate in the industry. Who cares what you say..The numbers are facts
Tough to churn when changing your address extends your contract by 2 years...
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benc
Premium
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Re: Old commercial

said by Cabal See Profile :

said by partysource See Profile :

Verizon is back with the largest customer base. Caught up to the ATT/Cingular merger. The reason why..Verizon Wireless has the lowest Churn rate of 1%, the lowest rate in the industry. Who cares what you say..The numbers are facts
Tough to churn when changing your address extends your contract by 2 years...
Since when? I'm a current VZW customer, and when I moved in May of 2007 my contract wasn't extended. I even have a family plan, changed just one of the numbers (to make it local to where I live), and didn't change any of the others. None of these things extended my contract.

Skeedatl
Ah, push it - push it real good
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AT&T was at 1.3%. So what. All of the top cellular carriers have low churn.

All that proves is the effectiveness of Verizon and AT&T's extremely punitive and lengthy contracts.

If Verizon dropped their excruciatingly high cancellation fees you would see their churn go through the roof.
itguy05

join:2005-06-17
Camp Hill, PA

said by partysource See Profile :

Verizon is back with the largest customer base. Caught up to the ATT/Cingular merger. The reason why..Verizon Wireless has the lowest Churn rate of 1%, the lowest rate in the industry. Who cares what you say..The numbers are facts
Actually they didn't. AT&T is still #1.
benc
Premium
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Glen Carbon, IL
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Re: Old commercial

said by itguy05 See Profile :

said by partysource See Profile :

Verizon is back with the largest customer base. Caught up to the ATT/Cingular merger. The reason why..Verizon Wireless has the lowest Churn rate of 1%, the lowest rate in the industry. Who cares what you say..The numbers are facts
Actually they didn't. AT&T is still #1.
I suspect this may have something to do with the fact that they have the "AT&T Unity" plan, while Verizon has no equivalent. When my VZW contract expires, I would be tempted to get a Unity plan, though I don't think I will since I've decided I hate contracts.

If I get another mobile phone it'll probably be Cingular or T-Mobile prepaid. In my case usage is low and could be zero if I want, so I can use pre-paid and actually save money.

tc1uscg

join:2005-03-09
Saint Clair Shores, MI
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edit:
January 3rd, @04:37PM

said by partysource See Profile :

Verizon is back with the largest customer base. Caught up to the ATT/Cingular merger. The reason why..Verizon Wireless has the lowest Churn rate of 1%, the lowest rate in the industry. Who cares what you say..The numbers are facts
Yes.. Your are 100% correct. Proving there are 1% of people who have a brain and know they are getting raped by VZW. The other 99% appear to be idiots and just don't have a clue how they are getting shafted. Now, the commercial, please, someone point out where alltel said VERIZON specifically. I see no merit for this suit. All the commercial said, they don't extend customers contracts. They have a tuff time running the "implied" flag up the pole. VZW.. why not unrestrict your customers phones and lower your rates and stop worrying about some stupid comercial.
benc
Premium
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Glen Carbon, IL
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Re: Old commercial

said by tc1uscg See Profile :

said by partysource See Profile :

Verizon is back with the largest customer base. Caught up to the ATT/Cingular merger. The reason why..Verizon Wireless has the lowest Churn rate of 1%, the lowest rate in the industry. Who cares what you say..The numbers are facts
Yes.. Your are 100% correct. Proving there are 1% of people who have a brain and know they are getting raped by VZW. The other 99% appear to be idiots and just don't have a clue how they are getting shafted. Now, the commercial, please, someone point out where alltel said VERIZON specifically. I see no merit for this suit. All the commercial said, they don't extend customers contracts. They have a tuff time running the "implied" flag up the pole. VZW.. why not unrestrict your customers phones and lower your rates and stop worrying about some stupid comercial.
Some of us have valid reasons for choosing not to cancel, even if we want to do so.

When I originally signed up for VZW, I thought a mobile phone was a good idea. Since at the time I lived in a Verizon area, I figured that to keep it simple I'll sign up with the telco, instead of some other company. I know it sounds like dumb logic but it was my justification at the time.

I'm a single guy, living alone, with a 4-line family plan. The other users reimburse me so my net cost each month is $45/mo. My contract also expires in December, a year from now. So $45/mo. x 12 months = $540. To cancel would cost me $270 to cancel the two lines that are mine (I'm sure the math is correct). So, in essence, I would need to take a $270 hit to save $270 over 12 months ($22.50/mo. saved), and this assumes I don't get another mobile phone. If I replace it with a Motorola V195 ($40) with just enough credit to keep it active for a year ($10/90 days --> $40), that's $80, so I'd save $190 over 12 months ($15.84/mo. saved).

So, I'd have to pay $270 now to save $15.84/mo. The only serious justification I could have is if I wanted to "stick it to VZW." However, VZW hasn't ticked me off to that degree.

supergirl

join:2007-03-20
Pensacola, FL
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edit:
January 3rd, @03:25PM

»www.youtube.com/watch?v=Uy4YtMVA···=related


Verizon would sue their dead mother if it meant money!

"Hi, Chad, we're suing you." (Verizon guy)

"Oh, really, I got a text message on that yesterday. That commercial hasn't run in months."

"Oh, God, he knows? Why didn't you guys tell me?"

"Well, we thought you being the biggest Jacka** this time would be fun." (Sprint)

"But, you're embarrassing me in front of Chad?" (VZ)

"So, he hasn't picked on use in awhile." (Sprint)

"Well, at least my phone isn't in my underwear." (VZ)

"You guys are all weirdos," said Chad.


--
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questionable

join:2005-10-18
Phoenix, AZ
I just saw it last night. Its the one with the football player

BAF
Baffles
Premium
join:2004-02-22
South Glens Falls, NY
clubs:
Hey, you stole my avatar.
wombough

join:2001-08-30
Beaufort, SC
just saw it just now on the NFL playoff game on fox. Guess they aren't to concerned.

pnh102
Reptiles Are Cuddly And Pretty
Premium
join:2002-05-02
Mount Airy, MD

Roaming Agreements?

Interesting... I thought Verizon and Alltel roamed on each other's networks. I wonder how such a lawsuit would impact that relationship.
--
Only SHATNER is Kirk.
Gilitar

join:2000-11-20
Mobile, AL
·AT&T Southeast

Re: Roaming Agreements?

It won't impact the roaming agreements. Without Alltel, Verizon's coverage sucks in the south. Also, without Verizon, Alltel's coverage is nonexistent in major metropolitan areas and other large portions of the country.

Bottom line.... both of their networks are vastly incomplete. They need each other.

Homer J
Mmmm, Free Goo

join:2000-10-05
Springfield

Re: Roaming Agreements?

If I'm not mistaken. I think Alltel has the largest foot print of any of the companies. The foot print is just largely in rural areas. When Verizon first started after the GTE/Bell Atlantic Merger, they were Sprint's largest customer. I am not sure if they are anymore.
Gilitar

join:2000-11-20
Mobile, AL

Re: Roaming Agreements?

I believe they do have the largest footprint. However, most of that footprint is farm land and back roads.

ieolus
Support The Clecs

join:2001-06-19
Duluth, GA

Re: Roaming Agreements?

Exactly.. where they are no other providers. On the other hand, Verizon isnt' the only one in major cities. Basically if they wanted Alltel can shift to another roaming partner.
--
"Speak for yourself "Chadmaster" - lesopp
wombough

join:2001-08-30
Beaufort, SC

Re: Roaming Agreements?

verizon is 2nd on alltels roaming. Sprint is first as they also roam EVDO off each other. Alltel is sprints first choice too. It was the first type agreement in wireless history. And between the two you have the best coverage you can possible have.

N3OGH
They both suck, we're so screwed
Premium
join:2003-11-11
Philly burbs
·Verizon Online DSL

I'm pretty sure Federal law or FCC rules mandates that they allow roaming on each others networks if they have compatible technologies.

But then again, I could be wrong....
--
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pende_tim
Premium
join:2004-01-04
Andover, NJ
·Verizon Online DSL
·ViaTalk

Re: Roaming Agreements?

Verizon and Sprint both use CDMA however all Sprint roaming has been removed from the PRL in the NY area for about 3 years. This means that a Verizon customer can not make a call on the Sprint PCS network even if the phone is showing No Service and he is standing next to a Sprint tower.

The E911 rules however require any compatable carrier to accept a 911 call from any compatable phone, even it it is not activated.

Tim
Ulmo

join:2005-09-22
San Jose, CA
·Comcast
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Re: Roaming Agreements?

said by pende_tim See Profile :

Verizon and Sprint both use CDMA however all Sprint roaming has been removed from the PRL in the NY area for about 3 years. This means that a Verizon customer can not make a call on the Sprint PCS network even if the phone is showing No Service and he is standing next to a Sprint tower.

The E911 rules however require any compatable carrier to accept a 911 call from any compatable phone, even it it is not activated.
If Sprint isn't in VZ's PRL, then will 911 still go thru Sprint's towers in the example you used (no VZ reachable) on a typical CDMA phone that was most recently on VZ's network that has VZ's PRL loaded?

pende_tim
Premium
join:2004-01-04
Andover, NJ
·Verizon Online DSL
·ViaTalk


edit:
January 4th, @06:08AM

Re: Roaming Agreements?

Yes 911 overrides the PRL table. 911 looks for any signal using a compatible technology and frequency to connect.

As I said, you can make a 911 call with a phone that is not even activated so the assumption there is that there may not even be a valid PRL in the phone.
wombough

join:2001-08-30
Beaufort, SC
they do however they will charge you a standered rate which is 59 cents a min plus 1.25 for long distance Or they make a great deal with each other and charge pennies.

Dread
Mark for moderation
Premium
join:2005-02-28
irc

Irony much?

I remember the v710 settlement, glad I got out of that crappy "network"
--
48-27
jjeffeory

join:2002-12-04
USA

Re: Irony much?

That settlement was a joke. You could get $50 of a phone if you renewed your contract another 2 years! I still have Vz, but it went from 3 separate accounts to 1 account with three phones sharing the same minutes...

Dread
Mark for moderation
Premium
join:2005-02-28
irc

Re: Irony much?

I got the full price I payed for my phone and my early termination fee waved

It was great for me

i5050MbSoon
Formerly TwoKDialup
Premium
join:2002-06-07
Coloma, MI

Get a clue!

The only reason the cellular folks have to handcuff their customers is that they know their coverage sucks. Happy customers don't run. Customer service oriented companies understand this.

For example, I wanted to try a Comcast DVR. They didn't make me sign a contract. In fact, they told me I could return it ANY time I was unhappy with it. No early termination fees, no penalties!

Same thing with the Arris Digital Voice modem. No contacts, no early termination fees.

Unlike the cellular pu$$ies, Comcast is willing to stand behind their products.
--
Comcast has spoiled me rotten!

ieolus
Support The Clecs

join:2001-06-19
Duluth, GA

Re: Get a clue!

*cough* Comcast a customer service oriented company? When did I get to Bizarro world?
--
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Ulmo

join:2005-09-22
San Jose, CA
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Re: Get a clue!

said by ieolus See Profile :

*cough* Comcast a customer service oriented company? When did I get to Bizarro world?
Definately within the last half decade. They used to suck.

If you're referring to the much praised improvement in Comcast's customer service being what you consider bad, it is only great in comparison to the awful service previously offered. It is what most of us would consider "barely acceptable" without such a comparison, but that's pretty high on the scale if you think about it.

BAF
Baffles
Premium
join:2004-02-22
South Glens Falls, NY
clubs:
Well, cell phones cost money and the contract subsidizes the cost. Comcast doesn't care, deploying a DVR costs them nothing. They give it to you and put it on your account. You take it back, and they have the device back. Big difference here.
NOCMan
Verizon Fios User
Premium
join:2004-09-30
Flower Mound, TX

Jealous

Verizon's just jealous that Alltel's stock spanks every other carrier despite being one of the smaller companies.
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GetMe

join:2007-06-02
M1W

Re: Jealous

At Least not like Bell Canada! Still Advertising UNLIMITED for exta $25.00cdn a month! but if you call them its UNLIMITED to 200GB!!
wombough

join:2001-08-30
Beaufort, SC
well USCC stock is pretty high!
questionable

join:2005-10-18
Phoenix, AZ

Verizon

I have verizon.. I changed my plan to the 1400 two lines never extended my contract. Got a new Phone(envy) still didn't have to extend my contract....

wruckman
Ruckman.net

join:2007-10-25
Northwood, OH

Opponent bashing

And that is why you don't bad mouth or bash your opponents. It makes you look bad in the first place for doing it, and makes you look even worse when you embellish or lie. Nice job of being a bunch retards Alltel!
wombough

join:2001-08-30
Beaufort, SC

Re: Opponent bashing

I think they are funny and takes allot of balls to tear into another company more so a bigger one!
wombough

join:2001-08-30
Beaufort, SC

Re: Opponent bashing

one other thing does verizon making the claim no other wireless provider stands behind you like they do not the same thing alltel does?

wruckman
Ruckman.net

join:2007-10-25
Northwood, OH

Re: Opponent bashing

Commercials should be burned and banned. They are worthless.

not

@swbell.net

Verizon just recently (2-3 months ago) changed this.

Prior to that, Verizon used to force a contract extension. The only thing Alltel is guilty of here is not keeping up with pulling their advertising off once Verizion changed their regulations (which btw where just changed to keep from getting sued like Sprint did for contact extension). Verizon quietly changed the regulations and legally went after anyone trying to say otherwise. You still think they are a good company. Lamers that they are!
benc
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Re: Verizon just recently (2-3 months ago) changed this.

said by not :

Prior to that, Verizon used to force a contract extension. The only thing Alltel is guilty of here is not keeping up with pulling their advertising off once Verizion changed their regulations (which btw where just changed to keep from getting sued like Sprint did for contact extension). Verizon quietly changed the regulations and legally went after anyone trying to say otherwise. You still think they are a good company. Lamers that they are!
This depends. I changed to a smaller VZW plan back in August. If I had less than a year left I'd have a contract extension, but since at the time I had over a year left I didn't get an extension.
Fisamo
Premium
join:2004-02-20
Apex, NC
·AT&T CallVantage

Changed in early October

Yes, Verizon stopped extending their contracts when customers changed their plans back in early October. I think it started Oct 10, or so. I was considering upping my plan at that time, as I was about to go on vacation with the fam and expected to burn a lot of minutes, and I was glad to see I could change without the extension. Of course, I never made the change...

I agree with the frustration that in order to get a decent price on equipment you have to sign up for a 2-year contract, but that's how Verizon recoups their cost for the phones...

I completely agree that it's lame of Verizon to cripple their phones so you have to pay exhorbitant per-byte rates to do ANYTHING other than making voice calls... (I've heard that their newer phones don't work with Bitpim, as some of the 'older' models do.)

However, I have been a 'loyal' VZW customer since 2001, because I've been able to get the phones with the features I want/use in a cell phone (all I care about is the phone-related ones), their rates are comparable to other 'majors', and around here, they have the best signals (although I suppose Alltel could give them a run for their money, based on their roaming agreements).

Bottom line: I don't feel like I'm being cheated by VZW, and as long as that's the case (ie, no other provider lures me away based on price/features), I'm a satisfied customer.

Now, to get off of my soapbox... I am a bit surprised that Alltel hasn't updated their commercials, because I thought one of the outcomes of that lawsuit against Sprint was that they also stopped the contract extension due to 'minor changes' (or plan changes). Surely Alltel is well aware of the competitive intel... My prediction: Alltel pulls the 'offending' commercials, and the suit goes away.
wombough

join:2001-08-30
Beaufort, SC

Re: Changed in early October

price and features?
Verizon has the highest price on everything.

I looked at them and alltel when I left sprint and verizon didn't compare with alltel with price!
questionable

join:2005-10-18
Phoenix, AZ

Re: Changed in early October

The only reason i stick with Verizon is because if i had to change carriers I'd have to change 4 people with 2 being over 2k mile away... My fiancee talks with her mother about 4 hours a day.
Fisamo
Premium
join:2004-02-20
Apex, NC
·AT&T CallVantage

I didn't say Verizon was the cheapest out there. I've had reliable service, very few dropped calls, etc. Verizon has consistently carried equipment suitable for my usage patterns, and the service level I subscribe to would cost the same with Alltel (except Alltel's package does have about 200 more minutes, which I wouldn't use). To tip the scales, part of my employer's business account with Verizon includes an employee discount program, which shaves some of Verizon's price for me.

I don't think Verizon is the best out there for everyone--no company is. But they meet my needs, and as long as they do, I'm sticking with them.

burner50
Pinlifter
Premium,VIP
join:2002-06-05
Broken Rail

Extensions?

I change my calling plans all the time and have been doing so for years...

I havae never ONCE been told I have to extend my contract again.

T_Flight

join:2007-12-30
·Millenicom

Let Me Know

Let me know when Verizon offers a a no contract service, with no FAP, truly unlimited service that actually tops the wireless speed charts (which Verizon does not),and offers support I can call and talk to an actual human being in less than 5 minutes.

When that happens they might get another customer, but it'll have to be cheaper than what I'm paying right now.

Verizon currently has the numbers they do because they have them shackled into a contract they can't get out of.

Let me know if hell freezes over and that actually happens.

Can you hear me now?
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packetscan
Premium
join:2004-10-19
Bridgeport, CT
clubs:

Alltel Advert

I was a verizon customer at the time when you made a change ie change to a plan with more minutes you were extended.. But this was YEARS ago.. After that i went to AT&T they pulled the same shit..
--
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Rambo76098

join:2003-02-21
Pataskala, OH

Not true for me...

I've had Verizon since before they were even Verizon. Airtouch back in 1998 I believe. Anyway, I've changed plans, added lines, added and dropped features, changed addresses, never extended my contract other than when we got new phones.
Forums » Verizon Sues Alltel For False Advertising


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