Advertisement

Phone Firm Sued for Alleged ‘Slamming’

Associated Press

The state of Connecticut is suing a Long Beach company for allegedly “slamming” small businesses, or taking over their long-distance service without permission and charging higher fees. Connecticut Atty. Gen. Richard Blumenthal filed a lawsuit in Hartford County Superior Court against Business Discount Plan Inc., after 51 companies lodged complaints. The lawsuit alleges that businesses were not told they would be switching phone services, but were led to believe the offer was a discount rate plan on their existing carrier. Business Discount is also accused of charging fees that were often higher than the original carrier. The company has denied the allegations. Business Discount buys long-distance service in bulk at discount prices from large carriers, then solicits consumers to switch. Business Discount was not immediately available for comment.

Advertisement
Advertisement