How Comcast Was Punished For 'Negative Option Billing'
Law360, New York ( October 14, 2016, 10:31 AM EDT) -- On Tuesday, October 11, the Federal Communications Commission announced the release of an order and consent decree with cable behemoth Comcast Corporation in which the company agreed to pay $2.3 million to settle an FCC investigation into whether Comcast employed negative option billing to wrongfully charge for services and equipment customers never authorized. The settlement also requires Comcast — by some accounts the largest cable company in the country with 22.3 million subscribers — to adopt a sweeping, highly detailed five-year compliance plan designed to force the company to obtain customers' affirmative informed consent prior to adding charges to their bills. According to the FCC's press release, the settlement amount is the largest civil penalty the agency has ever assessed against a cable operator....
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