[IP] more on Locked In a Cell: How Cell Phone Early Terminati on Fees Hurt Consumers
Begin forwarded message:
From: Michael Bacarella <mbac@xxxxxxxxxxxx>
Date: October 16, 2005 2:12:05 PM EDT
To: David Farber <dave@xxxxxxxxxx>
Subject: Re: [IP] more on Locked In a Cell: How Cell Phone Early
Terminati on Fees Hurt Consumers
On Sun, Oct 16, 2005 at 09:53:29AM -0400, David Farber wrote:
[...]
Cell carriers argue the fees are necessary so they can recoup the
costs of adding new customers to their networks in the event that
customers leave before their contracts expire. They point, in
particular, to their practice of greatly subsidizing the cost of the
phones themselves (a tactic borrowed from the razor blade industry).
Moreover, they argue, in a free and competitive market, states
shouldn't be going around telling them what kinds of fees to charge.
Customers should know the terms of the contract when they sign up -
and shouldn't complain later if they don't like those terms.
I'm all for this free-market thing: I'm a consumer, after all, and I
want as many companies as possible beating each other's brains out to
win me as a customer. But since when, in a free-market, does any
company have a guaranteed right to recoup its costs - even when an
unsatisfied customer wants to leave early because of shoddy service?
If I buy a car and then return it because it doesn't work, should the
dealer be able to charge me a fee for selling it to me?
*What?* Are you seriously arguing that the carriers should be
_required_
to give you service even if they fear they're going to lose money by
serving you? Are you insane?
If a cell phone was a human right, you might have a point. But it's
not. Many people function without this luxury and some people are even
happier without one. Willingly, voluntarily entering an agreement and
then complaining about the terms accepted on a luxury service strikes me
as immature.
Re: service changes in mid-contract or contracts entered when the
carrier has not subsidized the cost of your handset: these are all
legal bases to challenge the contract. If the carriers won't
acknowledge this, why not take them to small claims court?
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