Congress to investigate wireless industry


Source: Hill, The
Author: Sara Jerome
Location:
Capitol Building, East Capitol Street, NE and 1st Street, NE, Washington, DC, 20002, United States

House Domestic Policy Subcommittee Chairman Dennis Kucinich (D-OH) says he will probe the debt-collection practices of major wireless companies. The concern is that wireless contracts force customers to waive the right to sue, appeal or participate in class-action lawsuits. The development broadens a subcommittee investigation so that it also covers mobile providers. The subcommittee issued a report last year arguing that banks were misusing forced arbitration processes to collect consumer credit-card debts. In forced arbitration, a company requires a consumer to consent to resolving any dispute outside of court. Most wireless service providers have forced their customers to settle disputes through this process.

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