WASHINGTON—A California state appeals court has reinstated a wireless billing suit against Sprint Nextel Corp.
A trial court threw out the case last year.
The appeals court ruling turned on the determination that the Foundation for Taxpayer and Consumer Rights had legal standing to pursue the case. FTCR filed the suit in October 2003 against Nextel Communications Inc. before it was acquired by Sprint Corp. At that time, Nextel argued FTCR did not meet modified standing requirements under a new 2004 California law, Proposition 64.
FTCR has asserted Nextel violated the state’s unfair business practices by ceasing, as of Oct. 1, 2003, to provide subscribers itemized bills unless the customer pays additional fee of $2.50. FTCR also alleges Nextel disseminated or failed to prevent bogus mobile spam messages in 2003 and then charged customers 15 cents per text message; concealed the text message charges through a new non-itemized bill policy; and failed to credit consumers for such text messages unless they specifically requested refunds.
