Amy Klobuchar And Jay Rockefeller Unveil Cell Phone Consumer Empowerment Act of 2007

September 8, 2007 – 7:14 pm

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In an effort to make cell phone agreements and contracts easier for consumers to understand, Senators Amy Klobuch and Jay Rockefeller (great grandson of oil tycoon, John D. Rockefeller) unveiled the Cell Phone Consumer Empowerment Act of 2007, which aims to give consumers enough information to make informed choices about a wireless service that best fits their needs and their budget.

Under the act, wireless carriers must provide simple, clear information on their services and charges with customers before they enter into long-term contracts and a thirty-day window that customers can cancel a contract without early termination fees and provide greater flexibility to exit contracts with services that don’t meet their needs.

“The rules governing our wireless industry are a relic of the 1980’s, when cell phones were a luxury item that fit in a briefcase instead of a pocket,” said Klobuchar. “Early termination fees are a family budget-buster; families should be able to terminate service without outrageous fees; know if their cell phone will work on their drives and in their home and office; and understand what to expect in their monthly bills once you pile on charges and fees. It’s a simple matter of fairness.”

“Anyone who’s looked at a cell phone bill knows it’s a hodge-podge of fees and surcharges that supposedly cover regulatory or administrative costs,” said Rockefeller. “The reality is, often these are nothing more than operating costs that the companies are passing on to the consumer disguised as fees and taxes. It’s high time to protect cell phone users from these deceptive billing practices.”

I think that this bill will help to protect both consumers and cellular companies and look forward to hearing of the bill passing. I’ll keep you posted on new developments.

Senate News Release

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