In May, T-Mobile, the nation’s third-largest carrier, revealed its intention to raise rates on some of its older plans by $2 to $5 per line or up to $20 per account per month. Many of those customers aren’t happy and, according to Phone Arena, are bringing a class action lawsuit against the company.
As we previously noted, the price hikes affect users of legacy Simple Choice, ONE, and Magenta plans. Some users say those increases go against the company’s Price Lock and Un-Contract obligations. The move to see T-Mobile in court comes after thousands of customers filed complaints with the U.S. FCC and FTC.
The class action lawsuit against T-Mobile represents customers in four states: Georgia, New Jersey, Nevada, and Pennsylvania. These folks have ONE, Simple-Choice, Magenta, Magenta Max, Magenta 55+, Magenta Amplifed, or Magenta Military plans.
According to Android Authority, the company is accused of violating the Consumer Protection Law, New Jersey’s Consumer Fraud Act, and the Pennsylvania Unfair Trade Practices Law.
The National Advertising Division (NAD), a self-regulatory, non-profit organization, has criticized T-Mobile over the price hike. As such, it requests that the company no longer advertise its “Price Lock” policy.
When it announced the price hike two months ago, T-Mobile noted that it was “committed to offering the best value in wireless with low prices and a best-in-class 5G network, and we have no intention of ever changing that. As costs continue to rise, for the first time in nearly a decade we’re making small adjustments to the prices of some of our oldest rate plans. The majority of our customers are not included.”
At this early stage, it’s impossible to predict whether T-Mobile customers or the company will have the final say. It’s likely that it will take years before a court or jury reaches a decision on this issue.
T-Mobile’s price hikes came after other companies, including Verizon and AT&T, also raised rates recently.
