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Archive for the ‘Trade Practices Law’ Category

Consumers will have the choice of barring all premium SMS from their mobile phones as of 1 July 2010, with the latest package of measures announced by the ACMA.

The ACMA has said that the package has been created so that “…mobile users can feel confident they will only receive and pay for services they actually want”.

In a meeting with senior representatives of mobile phone companies the ACMA will discuss the possibility of the introduction of a service where consumers can request quick and easy barring via SMS.

Complaints to the Telecommunications Industry Ombudsman regarding premium SMS services have decreased by an astonishing rate of 50% following measures introduced by ACMA last year. As the ACMA is hoping that this trend will continue, it will be closely monitoring the industry over the next 12 months to ensure that consumer concerns are adequately being dealt with.

Recent enforceable undertakings that the ACMA has accepted from Funmobile Australia Pty Limited, which included a payment of $55 000, emphasize the ACMA’s commitment to pursuing telcos which repeatedly operate in breach of the law.

Industry has welcomed the new package as a further reinforcement of the existing suite of consumer protection measures included in the Communications Alliance Mobile Premium Services Industry Code C637:2009.

Despite both consumers and industry receiving the package with a warm welcome, the telcos will be hit hard. In a quote published by Computer World, Warren Chaisatien, research director and principle analyst at Telstyle, says that although the rule will aid consumers who have unintentionally signed up to a premium services, it is likely to have a negative impact on telco revenues as the premium SMS market was worth approximately $250 million in 2009.

Tags: ACMA, isp law, ISP Lawyers, Premium SMS, telco lawyer, telecommunications law, Telecommunications Lawyers, telo lawyers
Posted in General, ISP and Telco Law, Trade Practices Law, Uncategorized | No Comments »

To all of our clients and visitors to our blog, we wish you seasons greetings and a safe and prosperous new year.

Thank you for your support in 2009, and we look forward to working with you in 2010.

Our office will be re-open on 11 January 2010.

Stay tuned for our new IT Law, Telecommunications Law, Domain Law and general Commercial Law articles / posts.

Tags: Commercial Law, domain law, domain name law, IT Law, telecommunications law
Posted in Domain law and domaining, General, ISP and Telco Law, IT Law, Podcasts, Privacy, Spam, Trade Practices Law, Uncategorized | No Comments »

We are working on bringing you some more new and interesting IT Law and Domain Law posts and articles shortly.

To assist us to cater to our audience, if you have any specific requests for IT Law, Domain Law or Telecommunications Law articles or information, feel free to drop us a note at info@coopermills.com.au

Tags: domain law, domain lawyer, IT Law, IT Lawyer, telecommunications law, Telecommunications Lawyers
Posted in Domain law and domaining, General, ISP and Telco Law, IT Law, Podcasts, Privacy, Spam, Trade Practices Law, Uncategorized | No Comments »

The ACCC has announced the launch of an Information Paper entitled “Mobile and Other Wireless Internet Speed Claims and the Trade Practices Act 1974”.

The Paper has been developed to assist ISPs in ensuring that their advertising for mobile and wireless internet is compliant with the Trade Practices Act 1974, and in particular the consumer protection provisions.

In launching the Paper, ACCC Chairman, Graeme Samuel said that:

“The ACCC is concerned by companies over-promising and under-delivering the speeds available on mobile and wireless internet, particularly in the context of network upgrades and increasing wireless internet subscriptions,” “This Information Paper is intended to assist the whole industry – mobile and wireless internet retailers, resellers, and network owners – to comply with the law.“

The ACCC has warned ISPs not to advertise terms such as ‘maximum’, ‘up to’ or ‘peak network’ speeds, “if those speeds are not generally achievable or likely to be achieved by consumers using the network.”. The ACCC warning indicates that it is taking a similar approach to that previously taken with ADSL2+ advertising.

The ACCC has expressed the view that ISPs should:

1. only make speed claims based on ‘appropriate tests of network performance’ to show speeds that can generally be achieved; and
2. prominently state the factors affecting mobile and wireless internet speeds such as congestion, location, and other variables.

The Paper also contains an Industry Checklist to assist with compliance – ISPs are reminded that they should also remember to ensure compliance with CommsAlliance Code C628:2007 TCP Code.

Compliance takes added significance in light of the ACCC’s recent actions in securing enforceable undertakings against some of Australia’s largest ISPs.

Tags: isp law, ISP Lawyers, Telcommunications Lawyers, telecommunications law, Trade Practices Act 1974, Trade Practices Law
Posted in ISP and Telco Law, Trade Practices Law | No Comments »

Dodo Australia Pty Ltd has been forced to give a Court enforceable undertaking to issue refunds customers and discount monthly plans, as a result of an ACCC investigation into misleading statements statements made by the Telco.

According to the ACCC, Dodo advertised free offer plans between October 2008 and March 2009 on both the television and its website. The ACCC also said:

The ACCC was concerned consumers were likely to have been misled or deceived by the advertisements which represented consumers would receive either of an Asus Eee PC, a fuel card or a cash payment (to their nominated account) for free or at no cost when they signed up to any one of the Free Offer Plans.

An investigation by the ACCC revealed Dodo offered other cheaper mobile cap plans (that did not include the free goods or cash) that were comparable (in included value and services) with the Free Offer Plans.  In some cases the monthly fee for those comparable mobile cap plans was up to $30 per month lower.

Customers on the following plans may have been affected, and ultimately may be eligible for discounts or refunds:

1. ‘FREE $29.90 Mobility Cap Plan’,

2. ‘FREE Fuel’ and

3. ‘Cash Offer’ 24 month mobile cap plan offers

Dodo is not new to controversy, previously having received a wrap over the knuckles from both the ACMA and the ACCC for various alleged breaches of the law.

Tags: isp law, ISP Lawyers, telecommunications law, Telecommunications Lawyers, Trade Practices
Posted in General, ISP and Telco Law, Trade Practices Law | No Comments »

The Australian Competition and Consumer Commission (ACCC) yesterday announced it had rejected Telstra’s undertaking to charge competitors a $30 monthly fee to access ULL in metropolitan areas.

The ACCC expressed surprise that Telstra’s $30 application worked out to be higher than the previous proposal of $30 for metropolitan areas, which was rejected in 2006.

ACCC Chairman, Graeme Samuel, said following an extensive assessment of Telstra’s application the ACCC was not satisfied the $30 charge for metropolitan areas is reasonable.

“The ACCC believes that Telstra’s proposed price is unlikely to promote competition in the broadband and telephony markets. It may also discourage investment in telecommunications infrastructure. The ACCC also considers that a $30 monthly charge would result in Telstra recovering more than is necessary to promote its legitimate business interest in providing this service,” Mr Samuel said.

In rejecting the undertaking, the ACCC also noted Telstra’s proposed monthly charge was significantly above estimates derived from benchmarking against comparable countries.

This is the fourth time Telstra has submitted applications in regards to the ULLS service. One application was withdrawn while three have now been rejected by the ACCC because they could not be satisfied that the undertakings were reasonable. The two previous rejections were affirmed by the Australian Competition Tribunal on appeal.

The next move is with Telstra, one can only assume that being effectively sidelined in the Government’s NBN construction process, has prompted them to take an tough approach against their competitors who in the absence of the NBN rely on the ULL for service delivery for the short to medium term.

Tags: Competition Law, Telco Law, telecommunications law, Telecommunications Lawyers, ULL
Posted in ISP and Telco Law, Trade Practices Law | No Comments »

Over recent weeks, debate over shonky Premium Services operators has intensified, to the point where there have been public exchanges between the ACCC and CommsAlliance over the adequacy of the industry response.

The latest shots in the debate were fired by ACCC Chairman Graeme Samuels after he criticised the new CommsAlliance C637:2009 Mobile Premium Services Code as not providing enough safeguards for consumers.

In response the CommsAlliance shot back at Mr Samuels criticisms by claiming that the new Code contained:

“….a number of other significant consumer protections built into this Code and we anticipate it will soon be registered with the Australian Communications and Media Authority so consumers can begin realising its benefits”

The argument has over shadowed what is a very important and timely industry response to the growing issues with shonky premium service operators.

As Telecommunications Lawyers we can only wait to see the impact of the Code, and whether it will go far enough to keep the rogue operators  in check.

We hope to bring you a more detailed review of the Code shortly, what this space!

Tags: Industry Codes, Mobile Premium Services
Posted in ISP and Telco Law, IT Law, Trade Practices Law | No Comments »

The ACCC’s recent action against Internet Service Provider TPG is a timely reminder for Telcos and ISPs looking to use the word ‘unlimited’ in their advertising.

The ACCC announced yesterday that it had sought and received enforceable undertakings (these are for practical purposes, very similar to a Court order) from TPG, for statements which it believed were misleading and deceptive to consumers.

The ACCC alleged that in advertising its Unlimited Cap Save plan, TPG engaged in misleading and deceptive conduct by making false representations that its plan:

includes unlimited calls and text for $59.99 per month when, in fact, there are multiple exclusions to the plan (including calls to 1800, 13 and 1300 numbers, directory assistance, international calls and SMS, calls to MobileSAT, premium SMS, and calls to operator assistance), and

is available for the purchase price of only $59.99 per month when, in fact, the minimum charge for the Unlimited Cap Saver Plan is $79.99 due to an additional $20 SIM card fee payable on registration

Besides being a public relations disaster with customers, advertisements which are misleading and deceptive are plain and simple illegal.

TPG learnt the hardway. According to the ACCC, TPG undertook to:

not, for a period of three years, publish an advertisement for a mobile telephone plan which states that for a specified price there will be unlimited calls and text when certain calls and text are excluded or additional charges will apply for some calls and text without including an appropriately prominent disclaimer to the effect that exceptions, terms and conditions apply

publish a corrective notice on its website

implement a trade practices law compliance program which requires all relevant staff and management to take part in training.

This is not a good outcome, considering this could have so easily been avoided.

Telco’s and ISP must remember that if there are conditions around an offer then they must make it clear what those conditions are. Failure to do so may lead to a breach of s52 and s53 of the Trade Practices Act 1974.

It is also a requirement of the Telecommunications Consumer Protections Code 628:2007 that where the word ‘unlimited’ or equivalent is used that, the Telco or ISP:

must ensure that it identifies which elements of the offer are “unlimited” and states any other conditions that may qualify the offer.

It isn’t to hard to comply, just be honest in advertising, and where there are conditions around an offer, let people know. If you are not sure, just ask your lawyer.

Tags: isp law, ISP Lawyers, telecommunications law, Telecommunications Lawyers
Posted in ISP and Telco Law, Trade Practices Law | No Comments »