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I’m an attorney and have been pondering for hours about whether this would permit one to break their contract. Certainly, if the fee was a tax, one couldn’t bre
by dtrizzle 13y ago
I’m an attorney and have been pondering for hours about whether this would permit one to break their contract. Certainly, if the fee was a tax, one couldn’t break their contract since neither party really can control what the government does. But what gets me is that it appears to be a price increase disguised as a tax. Looking at the AT&T additional fees page, it’s clear that this fee essentially covers operating expenses. (ie: regular AT&T business costs).
Labeling a price increase as an “administrative fee” or a “surcharge” doesn’t change the legal nature of it. Courts tend to look at what the fee is, not what it’s called. I’m going to do some research on this one.
What if the monthly fee was $100? From a legal standpoint, the amount of the fee doesn't matter. You really don't think we could invoke Section 1.3 of the contract?
- Gorbzel 13y agoIANYL, but I'm not sure I buy the it's an "administrative fee" argument. First of all, the section that attempts to discount this random $0.61 as a supposed "fee" is discussing whether or not AT&T will provide notice, not whether it constitutes a price increase. Second, at best, that sentence would mostly seem to be discussing only that AT&T doesn't consider this fee increase material, but that's not necessarily conclusive. Fact of the matter is that this is an increase in the amount due to the provider for the Service, so without the surcharge directly relating to some change in circumstances regarding the contract, I'd consider 1.3 applicable. AT&T's fees page basically tries to couch the Administrative Fee language in terms of some sort of mandatory obligation that AT&T is paying on behalf of its customers, but it's farcical: AT&T has to pay rents to operate its cell sites, that's the whole reason consumers contracted for the Services in the first place.
- Krishopper 13y agoThe contract says "administrative charge". My bill says "administrative fee". In the dictionary, there is a difference between a charge and a fee. So to the lawyer -- is there a difference between a charge and a fee? If so, then there's an out.
- dtrizzle 13y agoI don't believe there is a difference legally. Courts tend to disregard the label applied to an amount.
- LarryMade2 13y agoGiven reports that AT&T are offering discounts and other enticements for customers not to pursue further attempts at cancelling the contract with this; I would think they are aware it is definitely a price increase.