Aileen Switzer, Deputy Secretary | Wisconsin Department of Agriculture, Trade and Consumer Protection
Aileen Switzer, Deputy Secretary | Wisconsin Department of Agriculture, Trade and Consumer Protection
The Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP) has reached a settlement with Lumen Technologies Service Group LLC and CenturyLink Communications LLC, collectively known as CenturyLink. The settlement addresses allegations that CenturyLink misrepresented the monthly price of their internet services to consumers who were promised a fixed price for the duration of their subscription. Although CenturyLink did not admit to any legal violations, they agreed to pay $450,000 in civil forfeitures, surcharges, fees, and investigative costs.
Between April 1, 2015, and December 31, 2017, CenturyLink advertised "price lock" subscriptions to Wisconsin consumers but failed to uphold this promise. The promotion was intended to offer a fixed monthly cost for internet services during the subscription term. However, additional monthly fees were applied by CenturyLink under the label of broadband cost recovery fees. These fees increased from $1.99 in April 2015 to $3.99 by October 2016.
"Access to the internet has become essential to the daily lives of most consumers," stated DATCP Secretary Randy Romanski. "DATCP is committed to protecting consumers from business practices that unfairly increase their monthly bills for this service."
DATCP accused CenturyLink of committing 240 violations of Wisconsin law prohibiting misrepresentation of subscription terms for internet access services. As part of the settlement, CenturyLink will pay a civil forfeiture amounting to $270,000 along with $180,000 in statutory surcharges and other costs. Additionally, they have agreed not to engage in practices that misrepresent subscription terms in any communication directed at Wisconsin consumers and will cease charging broadband cost recovery fees.
This settlement follows a class action lawsuit filed in Minnesota in 2020 which resulted in over $15 million being made available for customers who purchased certain services from CenturyLink between January 1, 2014, and January 24, 2020. Notices were sent out beginning March 2020 informing class members about their eligibility for claims.
For more information on consumer protection resources or filing complaints, individuals can visit DATCP's Consumer Protection webpage or contact their hotline.