For Immediate Release
Media Contact: Bob Cooper
(208) 334-4112

Date: November 16, 2009

Wasden Reaches Settlement with VONAGE

(Boise) - Idahoans who experienced difficulties cancelling their VONAGE Voice over Internet Protocol service may be eligible for refunds as part of a $3 million multistate settlement, Attorney General Lawrence Wasden said today. The settlement with VONAGE also requires the company to make significant changes to its marketing practices, honor consumer cancellation requests and provide refunds to eligible consumers.

The settlement requires VONAGE to make refunds to eligible consumers with unresolved complaints dating back to January 2004. In order to be considered for a refund, consumers must file a written complaint with the Attorney General’s Office by March 16, 2010. Complaint forms are available on the Attorney General’s website or by calling (208) 334–2424 or (800) 432–3545.

VONAGE previously paid incentives to its customer service representatives if they could convince customers not to cancel their accounts. Customers reported that the pressure VONAGE placed on them to maintain service made it difficult for them to cancel.

“When a contract allows a consumer to cancel within a certain time period, consumers have a right and are entitled to, exercise that right without undue obstacles thrown up by the other contracting party,” Attorney General Lawrence Wasden said. “Consumers who were hurt will be able to obtain redress and the problems we saw ought not continue in the future.”

Additional terms of the agreement require VONAGE to:

  • Record and verify its telephone calls to customers;
  • Provide specific disclosures regarding VONAGE’s offer of “free” services;
  • Provide specific disclosure regarding its money back guarantees and any trial periods.

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