June 22, 2011
Partner Steven Augustino
was quoted in the ABCNews
article, "How To Spot and Prevent Unauthorized Telephone Bill Fees." The article discussed recent FCC actions in response to unauthorized telephone billing, a practice referred to as "cramming." Steve was quoted in connection with claims made against Kelley Drye client Main Street Telephone Company following one customer's difficulty removing supposedly unauthorized charges from his account and the resulting FCC proposed penalties against several telephone companies.
Steve spoke on behalf of Main Street, stating that the customer likely contacted the company too close to the next billing cycle, leading to the perceived delay in obtaining a credit, and that the company already has a verification process in use to ensure customers knowingly sign up for services. In response to the proposed penalties, Steve commented that the FCC acknowledges it lacks rules in this area, but for the time being believes the FCC is, "trying to hold [Main Street] to an impossible standard they have not imposed."