subject: Directv Had To Resolve All Allegations [print this page] DirecTV, which happens to be one of the leading satellite TV providers in the United States, has been in the news recently for all the wrong reasons. Amid thousands of complaints from across 50 states in the US, the satellite provider has been asked to shell out $14 million as damages for its remarkably deceptive practices.
One of Americas largest satellite TV providers DirecTV has reached a mutual settlement with all the 50 states and the District of Columbia regarding allegations that the company misled consumers about its pricing and policies.
Among the many complaints filed against DirecTV are that they didn't clearly reveal the limitations on certain pricing plans, that customers were enrolled in additional contracts without the terms being clearly unveiled to them, renewing customers in seasonal sports packages like Sunday Ticket without informing them, and duping customers on fake "cash back" offers when it was really just credit on their DirecTV bill.
In addition to the $14.25 million that will be paid to the states, Wisconsin Attorney General A.G. Van Hollen tells Consumerist that some of the stipulations in the settlement include many clauses. The clauses state a number of key guidelines for DirecTV to follow. DirecTV must clearly disclose all material terms and conditions to consumers without concealing anything. It must replace leased equipment that is defective at no cost except shipping costs. Many consumers had reported that DirecTV was charging them for replacing defective equipment even when under warranty. The satellite provider must also ensure that the consumer is not made to enter into any additional contract when simple replacement of the defective equipment is done. DirecTV must clearly state what contracts the consumer might be entering into, instead of hiding it from the consumer and then informing him or her later. Because many customers alleged that their sports packages were renewed without their consent, DirecTV must now notify consumers before a consumer is obligated to pay for a seasonal sports package. The company should not falsely represent that a consumer would get cash back if the consumer would actually get a bill credit.
Many consumers had reported that they were charged cancellation fees that they had not been made aware of earlier. Also, they had similarly been charged equipment fees without been notified beforehand. DirecTV must now clearly notify consumers that they will be charged a cancellation or equipment fee at least 10 days before charging the fee. A DirecTV tells representative stated that the company is taking this settlement seriously and that DirecTV was seriously just about to do all this stuff anyway. It claims that their company was already in the process of resolving many of the consumer complaints by introducing new consumer-friendly practices.
