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Case ID: 2546 | Technology | 09/08/2004
A class action has been certified against Pacific Bell Telephone Company (PacBell), now a part of SBC Communications, Inc., by California customers of the company who are current or former residential tenants and who paid for a WirePro optional service plan between March 13, 1997, and the date of any eventual judgment in the action. The action alleges that the telephone company engaged in illegal, unfair, and fraudulent conduct by selling California tenants WirePro without telling them that the service was useless to them. The action seeks disgorgement of all funds taken in by PacBell as a result of selling the plans to tenants, punitive damages, and an order prohibiting the company from selling WirePro without proper disclosures.
The action alleges that PacBell advertised and sold WirePro service plans as though they would be of value to persons who rented residential space from landlords. According to PacBell, WirePro is "an optional service plan that covers repairs to jacks and standard inside wiring inside the customer premises, providing they were functional when the service was ordered." Many tenants, not realizing that it is the responsibility of California landlords to maintain inside wiring and one working telephone jack, allegedly paid for the service even though it was of no use whatsoever to them. The action alleges that it is PacBell's responsibility to disclose that information to renters, and its failure to do so amounts to fraud.
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