Sprint Nextel Corp.: Minnesota Sues Firm In Contracts Dispute

The Minnesota attorney general sued Sprint Nextel Corp., accusing the wireless carrier of extending customers' contracts without their informed consent.

The Minnesota attorney general sued Sprint Nextel Corp., accusing the wireless carrier of extending customers' contracts without their informed consent. Attorney General Lori Swanson said she had received hundreds of complaints from Minnesota residents, including some who said they were threatened with a $200 cancellation fee for trying to get out of contracts they thought had expired. She said Sprint, based in Reston, Va., with operational headquarters in Overland Park, Kan., violated state laws that require consumers receive enough information and give knowing consent before contract terms are altered. The attorney general is seeking restitution for victims and wants the court to penalize Sprint as much as $25,000 per incident. Sprint spokesman John Taylor said company attorneys were reviewing the lawsuit and couldn't comment.

Source: 
Wall Street Journal
Article Publish Date: 
September 28, 2007