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California Judge Rules Early Termination Fees Are Illegal

By Steve West: 2008-07-31 21:54:55
California Judge Rules Early Termination Fees Are Illegal Good news cell phone owners of California. A California Supreme Court judge has just ruled that early termination fees, like those employed by cell phone carriers, violate California state law and are illegal. As of right now Sprint Nextel has been ordered to reimburse customers who already paid the fee $18.2 million. The company also has to cease trying to collect the $54.7 million from people who canceled and refused to pay.

Wow. Who knew that something I’ve always thought was a bit iffy and made me want to punk out on paying what I owe was actually illegal? Makes me feel better about seriously considering doing this myself. I’ve always felt early termination fees were unfair. I’d be fine with something, but asking me to pay hundreds of dollars didn’t seem quite right.

The only issue is that cell phone carriers may get rid of the 2 year contracts that allow customers to purchase cell phones at a reduced price. We’ll have to see if other states start to follow California’s lead.


RELATED: sprint, early termination fees, cell phone

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  1. yolanda karcher Says:

    Could this be?

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