CooperMills

Posts Tagged ‘Telco Lawyers’

Retail internet and voice service providers are about to see the next wave of regulation from the Australian Government. This time, it is the Australian Communications and Media Authority (‘ACMA’) that is driving the changes.

ACMA is demanding a series of major changes to advertising and sales practices, as well as billing and complaint handling.

It is allowing the industry a short time to adopt the changes ‘voluntarily’ via an updated Telecommunications Consumer Protections Code.  If that does not happen, it will enforce its requirements using its own powers.

Quoting ACMA:

The ACMA is giving industry five months in which to develop a revised code dealing with the matters that it considers must be changed. If those changes cannot be made within that time, the ACMA will intervene directly to implement its proposals by way of a standard.

Unless the industry adopts the ‘proposals’ in its Telecommunications Consumer Protection Code (‘TCP Code’) , ACMA will mandate them.  Chris Chapman has now been reported as saying:

“The industry [is] ‘formally on notice’ to reflect the proposed changes in the new TCP code.  If the industry doesn’t develop a code that addresses ACMA’s concerns, the ACMA will mandate changes through direct regulation.”

ACMA’s new ‘proposed’ rules

1. Make telco advertising ‘clear, accurate and honest’
2. Ban certain ‘confusing’ terms, eg ‘cap’ (where it in fact means ‘minimum spend’)
3. Require that network coverage claims can be substantiated
4. Require that broadband speed claims can be substantiated
5. For post-paid plans with minimum monthly spend, all text-based advertising and bills to include ‘unit pricing’ (like supermarkets do)
6. Give prospects a standard form ‘critical information summary’
7. Require providers to report customer service performance using a new standard industry metric, for publication
8. Require providers to report complaint handling performance using a new standard industry metric, for publication
9. Optional:   Providers to adopt ‘Customer Service Charters’
10. Unless service hard-capped or shaped, notify customer at certain usage points
11. Until spend management tools in place, cap total cost at 150% of minimum spend
12. All bills to show service usage (eg as graph) broken into components
13. Providers to comply with AS ISO 10002-2006 re definition of ‘complaint’
14. Providers to comply with AS ISO 10002-2006 re complaint-handling visibility, accessibility, responsiveness, objectivity, charging, confidentiality, being customer-focused, accountability and continuous improvement
15. Providers to adopt benchmarks re timeliness in handling complaints; documenting procedures; and collecting, analysing and reporting complaints information

Comment

Initially, it will be up to the industry (through Communications Alliance) to redesign its TCP Code to satisfy ACMA.  If that fails, a mandatory new industry standard is inevitable.

What should service providers be doing now?

First, it is important to realise that the main points are all locked in – as far as ACMA is concerned.  Consultation on the changes is finished. There is room to refine the details, but the headline elements listed above are not negotiable for ACMA.

Second, you should consider whether you want to engage with Communications Alliance about any changes to the TCP Code.  These changes will affect you and your sales and delivery processes.  If you want to influence the TCP Code process, you’ll need to be prepared.  There are only five months left for Communications Alliance to produce a document that satisfies ACMA.

Third, you should start to think about how your business will comply with requirements along the lines of those outlined above.  What will your marketing / sales / delivery / complaints handling look like in 2012?  Will you be well positioned to prosper in the new environment?  How?

Tags: ACMA, IT Lawyers, technology lawyers, Telco Lawyers, telecommunications law, Telecommunications Lawyers
Posted in General, ISP and Telco Law, IT Law | Comments Off

The Australian Communications and Media Authority today foreshadowed six telco / ISP action areas it intends to address. While the six areas are described as ‘proposals’, ACMA is making it very clear that they will become law.

ACMA Chairman Chris Chapman is reported in today’s Age Online as follows:
Telcos will be given time to implement ACMA’s recommendations in their own self-regulatory industry codes but if they do not do so in a satisfactory way ACMA said it would force them to do so with new regulations.
“The outcomes that we are seeking … are non-negotiable,” Mr Chapman said. There will be a six-week consultation period after which ACMA expects the industry to begin implementing its recommendations.
“The die is cast, we’ve put it all out there in the report, the ‘guidance’ has been provided … the clock is ticking,” he said.

You can read more about in the Cooper Mills Telecommunications Law Bulletin.

Tags: ACMA, Chris Chapman, ISP, isp law, IT Law, Telco, Telco Lawyers, Telecom Lawyers, Telecommunications Lawyers
Posted in General, ISP and Telco Law, IT Law | Comments Off

According to news reports, German researchers claimed to have cracked the A5/1 encryption technology used to encrypt GSM mobile phone calls, which represents approximately 80% of the worlds mobile phone users.

These claims have raised concerns with some mobile operators, who claim that if this finding were to be used by criminals, GSM telephone call could be intercepted and monitored relatively easily and cost effectively. This type of conduct is prohibited under Australian law.

IT and Telecommunications Lawyer, Erhan Karabardak, Principal of Cooper Mills Lawyers, said:

“whilst these claims, if true, could pose a serious concern, it is unlikely to pose a threat to GSM communications in the short term“.

Tags: Telco Law, Telco Lawyers, Telecom Law, Telecom Lawyers, telecommunications law, Telecommunications Lawyers
Posted in ISP and Telco Law, IT Law, Uncategorized | Comments Off

The Australian Communications and Media Authority (ACMA) yesterday announced that Australia’s largest Telco Telstra breached the Do Not Call Register Act (“Act”) and was fined $101,200.

The ACMA claims that one of Telstra’s external call centres in Australia made telemarketing calls to numbers listed on the Do Not Call Register (the Register). The ACMA began investigations in August 2008 following a raft of consumer complaints about calls to numbers listed on the Do Not Call Register. According to the ACMA:

The investigation found that inadequate compliance systems, procedures and supervision had contributed to calls being made to numbers on the Register where the consumers were not existing Telstra customers.

In addition to the fine, Telstra was forced to enter into enforceable undertakings with the ACMA, which included the appointment of external consultants to review Telstra’s compliance procedures.

In clarifying its expectations, the ACMA said that it:

expects large businesses like Telstra to be leading the way and setting an example when it comes to compliance with the Do Not Call Register – not falling behind.

This is at odds with its earlier treatment of the Westpac Bank who only received a warning for breaches earlier this year – Westpac Bank breaches Act.

In commenting on the ACMA’s action, Cooper Mills Director and IT & T Lawyer Erhan Karabardak said that:

It is positive to see that the ACMA is taking enforcement of the Act seriously, but the inconsistency in penalties may be something for the ACMA to consider in future. Although each case needs to be assessed on its own facts, any perceived inconsistencies in treatment may undermine the efforts of the ACMA.

Tags: ACMA, Erhan Karabardak, ISP Lawyers, IT Lawyers, Telco Lawyers, Telecom Lawyers, Telecommunications Lawyers
Posted in ISP and Telco Law, IT Law, Privacy | Comments Off