In July 2020, a class-action lawsuit was filed alleging that the marketers of RCN internet services engage in a bait-and-switch and billing fraud scheme. The complaint claims that the marketers advertise a specific flat monthly rate for its internet services when, according to plaintiffs, consumers who sign up are charged an additional monthly fee (specifically, the Network Access and Maintenance Fee), which means consumers pay more than the advertised rate each month. Plaintiffs also claim that the Network Access and Maintenance Fee is a “made-up and fabricated charge” that the service providers use to charge consumers more than the advertised monthly price. In addition, the complaint alleges that the service providers mislead consumers by falsely describing the fee as a “tax” and burying the fee in the section of the bill where taxes and government fees are listed. (Grillo et al v. RCN Telecom Services, LLC et al, Case No. 20-cv-8609, D.N.J.)
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