Attorney General Richard Blumenthal today announced that DIRECTV will provide restitution to consumers for numerous alleged violations of consumer protection laws, including deceptive advertising, contracts, pricing and promotional offers, as well as failure to clearly disclose cancellation fees.
The restitution is part of a nationwide settlement involving 49 states and the District of Columbia. Blumenthal’s office helped negotiate the settlement in cooperation with Department of Consumer Protection (DCP) Commissioner Jerry Farrell, Jr.
“DIRECTV was anything but direct with consumers, conning them with confusing contracts, deceptive ads and misleading promotions,” Blumenthal said. “This was classic bait and switch — hooking consumers with phony discounts and then hitting them with hidden charges. Consumers thought they were getting a deal only to get clipped. Customers who caught on and canceled were sometimes clobbered with substantial cancellation fees.
“This settlement compels DIRECTV to turn off these abusive practices and provide customers with restitution — money back for unfair charges.
“I will continue fighting to hold companies accountable for illegal, abusive and deceptive contacts and practices. Stealing consumers’ hard-earned dollars through deception is intolerable and unconscionable.”
The settlement resulted from a two-year multistate investigation finding that nationwide DIRECTV:
•
Misled consumers in written materials, advertisements and sales pitches as to the price and commitment term of its services;
•
Included contract terms and conditions without the consumers’ knowledge or consent, for example, charging an additional undisclosed fee to fix defective or broken equipment;
•
Offered promotions, including “cash back” and free trials, that were unclear, causing consumers to pay more than expected or miss deadlines to cancel “free trial” services;
• Charged confusing and unclear cancellation fees;
• Failed to properly monitor third parties offering goods and services
through its bills, generating numerous complaints about unwanted
charges and services;
• Misled consumers as to the availability of local channels or sports
package terms and conditions.
In its settlement with the states, DIRECTV agreed to cease all such
practices and comply with consumer protection laws.
Blumenthal said his office has received almost 200 complaints against
DIRECTV since 2007. The states are setting up a process for consumers to apply
for restitution. In the meantime, consumers with questions can call Blumenthal’s
office at (860) 808-5400.
DIRECTV will pay the states $13.25 million for legal and other costs
associated with the case. Connecticut and 41 other states will receive $185,000
each from that payment.
DirecTV has a history of consumer bullying, even to the extent that they behaved like a bunch of organized crime thugs a few years ago, extorting thousands of people who bought certain kinds of electronic equipment. DirecTV stole or raided the merchants of the equipment to get their customer data then hired minions to execute their extortion plan. Here’s the dirt from a disgruntled insider:
http://www.securityfocus.com/news/8472
Is it still the corporate mentality or business plan to screw consumers as much as possible, as often as possible until you get caught. Then go to the next consumer screw plan? When will we finally say enough is enough and show these big companies that we, the people, are their boss? Without consumers, they have nothing. There is an endless stream of this exact same behavior across all of corporate America. When do we finally put our foot down and say, “I’m mad as hell and I’m not going to take it any more!”
This is a great day for customers. This seems to be the status quo for DirecTV. What is interesting is that I, as a DISH Network Employee have been watching this with anticipation. The $13 million, however, is still going to be paid by the customers, as it were, as DirecTV has begun sending notices to customers of a new $2-3 per month price increase. Not only that, but the money paid through DirecTV will not go back directly to the customer, but will instead be paid to each state’s individual “Fraud Fund” to be re-allocated at the discretion of the state government. Good luck DirecTV. If you ar a current DirecTV customer or someone who is interested in subscribing to a more customer-friendly company, take a look at Dish.com and get on board.
ALSO: I forgot to mention that directv told me in private on the phone that “their protection plan actually does NOTHING! (*maybe a dish re-allignment from wind)” which I did all of my own installs, and allignment anyway, being an installer! That is WORD FOR WORD from the rep on the phone in one of the last calls I made to them! That should be illegal! FALSE ADVERTISING!
check out how misleading their “protection plan” advertising is here! :
http://www.directv.com/DTVAPP/content/technology/protection_plan
I beleive all those years that I paid in to this phony “protection plan” should be refunded to me, since I received not one single thing from it EVER! That would more than compensate for the money they are trying to defraud me out of!
Grrrrrrr!! HOPELESS!
I find these articles very interesting because direcTV is still conducting business as usual…recently they went through my account after I termed my contract with them. They charged my credit card for charges dating back to 2006. Interestingly enough, they had already charged me for charges for the same period of time in 2010. They never sent me any documentation related to the charges. I am fighting this with everything I have. Shady billing practices are still happening and consumers are suffering. I was a good customer and I paid the price for trying to save a few dollars by switching carriers. This company needs to change these unethical practices and learn to appreciate customers.
I am saying enough is enough now! At some point someone must see the trend and start to take action. They are getting away with millions of dollars in ridiculous charges without any invoices being generated. How can this be?
Directv got me too. Signed up for a 39.95 and the first bill came in at 65.00. How do they continue to scam us?
I am still waiting for the Bank of America to credit overdraft fees I wont hold my breath for this one either!
I signed up for a Directv/Wildblue internet bundle. The speed was horrible and I could barely use it. I upgraded for more money with the promise of better speed. With in the last year or maybe more, the speed got worse and worse to where I could barely use it again. Technicians would come and get it going again but then it would get bad again.
The last tech that came told me he was going to quit Wild Blue serviceing because he was a Directv tech and knew very little about Wild Blue or computers. Directv sent him to a training to go through certain steps to diagnose Wild Blue connection problems which he didn’t even bother to do. He also said when he called in they always say it’s not on there end. it must be the consumer.
After a while he decided that I must have a virus. I told him that I had three computers that all had the same trouble. His supervisor told me that my network had a virus then. I knew that wasn’t true.
I finally switched to Verizon Wireless which I really like and called Directv to stop the Wild Blue. I asked about my Directv email. Since I still have Directv and its gmail I wondered if switching would effect that. Customer Service did not think it would.
The first time I tried to open my Directv email I found she was wrong and I was cut off from it. I called back and the next person I got told me that Directv was no longer working with Wild Blue so that could not restore it. What? Why are they pretending that they still have Wild Blue? They even have a separate 800 number for Wild Blue support on their website.
I then called Wild Blue. They told me that Directv only leased their equipment and since they were not with them any more they could not help me.
Looks like Directv found another way to rip off the consumer.
All of my contacts and emails for very many years are gone and there is no way to get them back.
Thanks for the heads up I was going to go to Direct TV
From Dish, but after reading all the shams Direct Tv pulls I will stay with dish. Direct tv’s boss was on undercover boss on tv, a lot of problems that he did not solve. Thanks for the heads up.