TracFone Paying $40M to Settle FTC Complaint

The Federal Trade Commission Wednesday (Jan. 28) said TracFone has agreed to pay $40 million to settle FTC charges that it deceived consumers with promises of unlimited data plans.

The Federal Communications Commission has also been looking hard at data plans and promises.

The FTC charged that since 2009, the prepaid mobile plan provider advertised its monthly plans in TV and radio ads, among other media, as offering unlimited data, only to slow or cut off data after a certain fixed limit.

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John Eggerton

Contributing editor John Eggerton has been an editor and/or writer on media regulation, legislation and policy for over four decades, including covering the FCC, FTC, Congress, the major media trade associations, and the federal courts. In addition to Multichannel News and Broadcasting + Cable, his work has appeared in Radio World, TV Technology, TV Fax, This Week in Consumer Electronics, Variety and the Encyclopedia Britannica.