For those interested, here is an update on the Oregon late fee class action against Comcast. The short version is that with my co-counsel, Tim Quenelle, I filed a class action against Comcast for its illegal assessment of cable TV late fees in Oregon.
We filed this case in July 2004. No, that’s not a typo. The case will turn six this summer. More background on the history of the case here and here.
While Comcast disputes this, the class claims that Comcast illegally billed cable TV late fees in Oregon for years. Comcast claims that it’s done nothing wrong, or if it did, these were simply technical violations. Comcast has many other defenses. That’s their choice, of course.
So the latest–the update–is that Comcast is asking the court to allow it another appeal. This time Comcast wants to appeal the court’s decision to allow the class to seek statutory damages of $200 per person. Comcast already lost an earlier appeal on whether it could require mandatory arbitration of these claims.
While no one has said this directly to me, it’s pretty apparent that the defense is really to drag this out as long as possible. In that respect, the litigation strategy is ironically the opposite of the speedy internet service that Comcast advertises. But of course, Comcast makes those choices. I suppose it makes sense if the alternative is facing the prospect of payment of millions to Oregon subscribers.
To hear some self-appointed experts talk, consumer class actions are nothing more than stick-’em-up get-rich opportunities. The damages at issue in this case are calculated in the millions. Comcast billed late fees in six dollar increments. While few consumers lost large sums of money, when you total the numbers you come to realize that billing six bucks a pop from many people is a great way to make money.
Meantime, of course, the lawyers pushing the case soldier on. We get paid if and when we bring the case to a successful conclusion, based on a fee that the court must approve as reasonable and fair. And in the six years we’ve been pushing the case, we’ve invested time and money to move it forward.
If you doubt the wisdom of that, let’s consider the alternatives. We deregulated our economy beginning in the 1980s. So regulation isn’t an option. Even so, I imagine we can all agree that allowing businesses to illegally collect money is unacceptable. So what’s left, other than the courthouse, when corporations rip off consumers?
For Comcast Oregon cable TV subscribers who paid late fees, all I can say is that we’ll see this through to the end. That may be another 10 years, but so be it. My son and I were talking the other day, and he related that he’s been accused of being stubborn. “You come by it honestly,” I replied. The reality of our world is that obstinate consumer class action lawyers are one of consumers’ best weapons against corporate greed running amok.
I live in NJ. and the fee is 7.95$ late fee. my question is if you are prepaying for a service before the end of billing period is reached,how can you be late until you passed said billing period?
David Sugerman says
Sounds suspicious, Carrell. I don't pretend to know anything about NJ law or the billing rules there. You might want to consider talking to the local franchise authority that regulates your cable company. Or you could consider talking to a consumer lawyer in NJ. One of the great resources for finding consumer lawyers is the National Association of Consumer Advocates, http://www.naca.net/ I'm a member and a big fan. I know we have NJ members.
Comments for this post are closed.