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Sprint Nextel Hit With Class Action Lawsuit Over Content Charges

A class action lawsuit has been filed against Sprint (NYSE: S) Nextel alleging it is charging customers for mobile content they didn’t authorize buying, and deliberately befitting from the practice reports RCR News. The wording is almost exactly the same as the lawsuit filed against Alltel last month. The Kansas City Star has some further details, noting the suit was filed by California resident James Peetz after he received “unsought “premium” text messages from Kepler & Associates LLC, doing business as JokeMobi, a third-party provider of mobile content”, and was moved to the Federal Court by Sprint last Thursday. The article claims this case is “one of several dozen similar class-actions filed across the country against the nation’s largest wireless carriers”, which is unsurprising…I think it’s only a matter of time before other operators face similar lawsuits.

One interesting paragraph: “In its notice moving the case to federal court, Sprint said that, in a single quarter in 2007, the nation’s wireless carriers made more than $273 million off of premium mobile content. That translates into nearly $1.1 billion a year. Assuming Sprint’s share of that market equals its 23 percent share of the overall wireless market, its mobile content revenues last year would have totaled about $230 million.”

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May 12, 2008 4:24 PM ET

Posted In: Legal, Companies, SprintNextel

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Comments (6)

Sep 5, 2008 9:41 PM

I have several cellular phones through Sprint and discovered strange billings to one phone,  The first time I noticed, I complained and told them that no such service had been requested,  The charges were reversed.The next month they returned and I was told that they would be credited later.  So I mailed off the check for payment in full.

Then I called and after an hour of being put on hold by customer service personnel who seem to be working out of a sheltered workshop, I was basically told that nothing could be done.

Perhaps not by them but I am looking to join in any class action suit against Sprint and Buongiorno.

I am also complaining to the FCC and the Attorney General of Delaware.

Arthur Downs

Oct 15, 2008 3:09 PM

Good Day,

I am having the precise same problem with Sprint.  I have 4 phones and three companion lines.  I have a set service plan for each month.  However, I have to call or chat weekly on fees, surcharges, and other penulities for premium services that I did not request. My bill goes up and down each month, sometimes by $600.00 or more only to be credited back and then charged again and again.

Regards,
Keith

Keith Woodard

Oct 20, 2008 5:29 PM

I’m an Indirect Dealer; meaning we aren’t owned by Sprint Nextel. (You’d never know it by the way they throw around all the ‘wills’ and ‘shalls’ and the arbitrary cuts in commissions and service center fees imposed on us!)

I’m reading the same thing at many blogs and complaint sites I visit regarding unsolicited charges. I’ve tried to help people as much as I can (not being a corporate entity) but Sprint Nextel has unleashed posters to discredit me. I’m currently in battles with 2 of these idiots right now at :
http://classactionconnect dot (replace dot with a period as this site thinks I’m trying to post spam) com/cell_phone_issues/2007/08/16/17/#comments

I find it hard to believe these two fools are actually employed by Sprint but I suppose anything is possible. It’s incomprehensible they’re employed by Sprint when they call posters with legitimate complaints “morons” and “idiots”. If they are employed by Sprint it certainly would explain a lot…for you consumers and we independently owned businesses just trying to make a living.

I’ve instructed the people posting complaints of billing issues; specifically the bogus 3rd party charges, to call Customer Care ONE TIME, and log the conversation. Then begin contacting the BBB (they’re about useless as they’re sponsored by businesses but…), the Attorneys General office in your state, the FCC, the SEC (hey, why not), and to remember Google is your friend. Scour the net for others with the same complaints and join in a class action lawsuit.

Why would I want Sprint sued? Because we run a highly ethical business. We treat our customers the way customers USED to be treated and are proud of it. It isn’t always easy but we live with a clear conscience. It’s also good for Sprint in the long run. They’ve been floating people’s money on the world money market long enough and we’ve about had our fill of getting yelled at by our customers for something we didn’t cause nor have the access/horsepower to correct.

It looks as though at least one other carrier is doing the same thing to it’s subscribers. Nice job Dan (Hesse)! But what would you care. You’re a member of the Overpaid Golden Umbrella Club everyone is hearing so much about since Wall Street took down the world’s economy. If you can’t get market share up, or stock prices, (shares have been sub $10 for a year now!), then just steal the money and blame it on your IT dept later.

Good luck with your battle gentlemen. You are the most important facet of the Sprint to customer formula, and the most powerful (compared to us insignificant privately owned dealers). Whatever benefits we realize down the road will come from your successful fight. It won’t be an easy one however. Sprint stock may be worth less than Confederate money, but they’ll find plenty to battle you with.
GK

GregK

Oct 26, 2008 4:33 PM

I am writing this letter to you in regards to a concern I have in question.
As a former Sprint-Nextel authorized dealer I am requesting a possible severance
pay. The reason I feel that I should be given some sort of compensation for the
following reason: In November 2007 I was hit with a letter from my Sprint-Nextel
accounts representative stating I was no longer going to have the opportunity of
representing Sprint-Nextel as an authorized dealer.  I feel that this could have been
because of a conflict of interest between myself and Mark Sedighan, my former
accounts representative. I also had submitted request to expand my locations and was
denied multiple locations. I have invested thousands of dollars and gained thousands
of clients and accounts and for my right to represent Sprint-Nextel to be taken away I
feel is wrong. I now am going to have to file a bankruptcy due to the fact that this
even has taken place. I had to terminated my lease for the location early and I am now
getting sued for thousands of dollars that I no longer have due to the fact that I have had
my dealer rights taken.  As I have mentioned above, I feel as I was terminated because
Mark Sedighan being my accounts representative and there being a conflict of interest
in that situation. I have helped Sprint-Nextel gain many accounts and had met far over the
expectations that are required as a dealer. I now feel as it is time for Sprint-Nextel to take
time and recognize all the hard work, and investment I have put in and come up with a
solution that will compensate me with some type of a severance pay. I ask that you please
take my request into full consideration and take time to help come up with a solution that will benefit.
I thank you for taking the time to go over this letter and I look forward to getting a response and speaking with you.

Z T

Nov 8, 2008 1:03 PM

Class Action Lawsuit for Authorized Dealers Against Sprint/Nextel

I am one of the most well-known wireless leaders in Northern California providing wireless solutions for corporate accounts.  The difference between my company and everyone else is my exceptional vision and leadership especially on the B2B side.  Without sacrificing quality, integrity, and customer service, my abilities have gained me the knowledge and expertise to win numerous awards including top seller award for Northern California from a variety of wireless carriers.  Having said that, I was approached by Nextel in 2002 to become one of their B2B Authorized Representatives as a result of my success from previous years.  With my exceeding success through the B2B channel, Nextel approached me to do a joint venture on launching new retail locations in the Northern California market since there was no strong retail presence.  With knowledge, experience, and expertise I put together one of the most dynamic teams of highly motivated and well qualified communication consultants.  In 2003, my ex-colleague and dear friend was invited to join in this new vision.  I launched eight locations in Northern California and I was invited to launch new locations in Arizona, Colorado, and Minnesota. In 2005, when the merger with Sprint occurred, the new management team: Mark Sadighian, Paul Harris, and Dennis McSweeney no longer shared the vision that Nextel had with my company. At the same time I found out that my partner was embezzling money and started a new wireless company with another carrier.  When I approached Mark Sadighian with my new found news, the advise that I received was to separate our partnership and for me to start a new company under a new name.  I was granted an exclusive dealer contract with Sprint/Nextel and their service center.  Two months into my new company, I submitted six new retail locations that were denied to me for expansion, but at the same time were handed to someone else.  Sprint/Nextel set me up for failure, after I invested hundred of thousands of dollars into the new company.  Sprint/Nextel decided at that point not to support me in my visions, ideas, and ventures.  As a result, I am seeking other dealers that have had a similar experience as me for a class action lawsuit.  Before I posted my story online, I requested the immediate assistance from the CEO of Sprint, Daniel Hesse. He never responded to any of my emails, and at this point left me with no choice, but to put together a class action lawsuit for Authorized Dealers.  I will not stop until my losses are compensated. If you are interested in contacting me with any questions, concerns, or to assist me in participating in this class action lawsuit please email me at: .(JavaScript must be enabled to view this email address)  or visit http://www.nextel.bz

Class Action Lawsuit for Authorized Dealers Agains

May 21, 2009 1:35 AM

I have been sent over 12 phones, one after the other all not working. I was told I need to get better cell phones so they would get the tv and internet. so I was talked into the htc touch pro.  I had a hard time with tv, again and they kept upgrading, now I am 6 months into my contract and I am told it wasn’t the cells it was sprint taking off tv stations. I have lost over half of the tv I was told I’d have.  Lost the gps 50 percent of the time due to outages, then they told me I live in a roaming area and I may be charged for that. yet they will not let me out of my contract

JeanneMarie

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