ContractsProf Blog

Editor: D. A. Jeremy Telman
Valparaiso Univ. Law School

Wednesday, September 7, 2005

AOL Settles With New York AG

America Online (AOL) recently settled with Elliot Spitzer, the high-profile Attorney General of New York, over charges that AOL imposed unnecessary and confusing obstacles to AOL customers who called in order to attempt to cancel their internet subscription service.  AOL reportedly offered substantial bonuses to customer service representatives who "saved" a customer from canceling.  The problem was that many AOL employees simply ignored such requests, rather than truly persuading the customer not to cancel.  The settlement requires AOL to eliminate any minimum "save" requirement for its employees, to secure third-party monitors for cancellation requests, and to refund money to aggrieved AOL customers whose cancellation requests were ignored.  The claim form is available here.

[Wayne Barnes]

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