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Mobile Phone Contract - Price Rise Refunds

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Comments

  • Mikmonken
    Mikmonken Posts: 374 Forumite
    Tenth Anniversary
    I can't see a problem with Point C. I think a few posts back I posted details f the text and linked to websites and even T&Cs and no where does it mention or infer a right to cancel! I can provide screen shots of the text message.


    The below is from the Office of Fair Trading Guidance on Unfair Terms in Consumer contracts (for information OFCOM is a DESIGINATED ENFORCER of these regulations).
    I don't know about you, but I think there is enough ammunition there to get the contracts cancelled due to the T&C change. Point (c) may be tricky, but if we examine the method in which he change was communicated I think we can win.


    Group 10: Supplier's right to vary terms generally - paragraph 1(j) of Schedule 2







    Schedule 2, paragraph 1, states that terms may be unfair if they have the object or effect of:

    (j) enabling the seller or supplier to alter the terms of the contract unilaterally without a valid reason which is specified in the contract.

    10.1 A right for one party to alter the terms of the contract after it has been agreed, regardless of the consent of the other party, is under strong suspicion of unfairness. A contract can be considered balanced only if both parties are bound by their obligations as agreed.
    10.2 If a term could be used to force the consumer to accept increased costs or penalties, new requirements, or reduced benefits, it is likely to be considered unfair whether or not it is meant to be used in that way. A variation clause can upset the legal balance of the contract even though it was intended solely to facilitate minor adjustments, if its wording means it could be used to impose more substantial changes. This applies to terms giving the supplier the right to make corrections to contracts at its discretion and without liability.
    10.3Such a term is more likely to be found fair if:
    (a) it is narrowed in effect, so that it cannot be used to change the balance of advantage under the contract – for example, allowing variations to reflect changes in the law, to meet regulatory requirements or to reflect new industry guidance and codes of practice which are likely to raise standards of consumer protection
    (b) it can be exercised only for reasons stated in the contract which are clear and specific enough to ensure the power to vary cannot be used at will to suit the interests of the supplier, or unexpectedly to consumers (see Group 11 (paragraph 11.5)).
    (c) there is a duty on the supplier to give notice of any variation, and a right for the consumer to cancel before being affected by it, without penalty or otherwise being worse off for having entered the contract.
  • rockstarzzz
    rockstarzzz Posts: 20 Forumite
    Hello guys (and RC in particular!)


    I've almost reach all the 59 pages of this post this morning after a phone call with EE. I upgraded my contract with Orange in November and since then I've faced 2 price hikes - one in December and now in May. I realised May one after I saw my bill - I am now paying almost £2 extra on each of my two different lines I have with Orange. I see I may be late to the party as many users here have already written to Ofcom. Any chance I can do something to terminate these 2 lines and avoid paying nearly £60 more by the end of my current 2 contracts?
    Or have I lost my chance now and can't join the team anymore? :(
  • Mikmonken
    Mikmonken Posts: 374 Forumite
    Tenth Anniversary
    Just keep an eye out, those of us who's claims failed are hoping to submit another in the near future.
    Hello guys (and RC in particular!)


    I've almost reach all the 59 pages of this post this morning after a phone call with EE. I upgraded my contract with Orange in November and since then I've faced 2 price hikes - one in December and now in May. I realised May one after I saw my bill - I am now paying almost £2 extra on each of my two different lines I have with Orange. I see I may be late to the party as many users here have already written to Ofcom. Any chance I can do something to terminate these 2 lines and avoid paying nearly £60 more by the end of my current 2 contracts?
    Or have I lost my chance now and can't join the team anymore? :(
  • rockstarzzz
    rockstarzzz Posts: 20 Forumite
    Mikmonken wrote: »
    Just keep an eye out, those of us who's claims failed are hoping to submit another in the near future.

    Thanks a lot! Should I be initiating any dialogue with the provider just yet? Need I push the convo into a deadlock sort of state? Currently have requested a managerial call back.
  • Mikmonken
    Mikmonken Posts: 374 Forumite
    Tenth Anniversary
    I think the cut off date for this complaint this thread relates to was 26th April, there's no harm raising a complaint though, keeps them on their toes!
  • Swampsnake
    Swampsnake Posts: 28 Forumite
    Defence response sent. Here's hoping!
  • barrowvian
    barrowvian Posts: 64 Forumite
    Just as a side thought ... for us that have failed based on "not terminating within the time period allowed when EE changed the T&C's".

    Do we potentially have a case to say that EE didn't supply us with this option/information, therefore not giving us adequate opportunity to be released from the contract?
  • claireb1
    claireb1 Posts: 32 Forumite
    If anyone could send me in right direction as to reply to my unsuccessful case. It is regarding the increase in May not March. Thanks. As think got few weeks to reply.
  • Mine failed, and I am wondering if there is any point in not accepting the decision?
  • RandomCurve
    RandomCurve Posts: 1,637 Forumite
    Ofcom - a regulator in its own little bubble!.......

    Lynn Parker:
    "As you know from our previous correspondence on this issue, Ofcom has not taken the action you suggest for a number of reasons including, importantly, that the new term did not provide for price rises we considered likely generally to be materially detrimental"

    Well that is a LIE they actually said:
    “The revised terms are likely to put consumers in a better, or at least no worse, position than the previous terms. They do not purport to create a right to increase prices more than was previously the case,”
    SO completely ignored the question (or rather changed the answer).

    I will compose another email - when I have claimed down.

    We so desperately need a journalist to shine a spotlight on this S**t.

    Now I have calmed down I can see EXACTLY what Ofcom have done to try and wriggle out of taking enforcement action - they have answered TWO completely different questions to the ones we asked!!! We asked about the legalities of making the change, they have answered in relation to the final changed clause!


    We effectively asked:
    Does EE changing its T&Cs to allow it to impose a higher price increase than was previously the case require action by Ofcom?


    Ofcom answer appears to be a question on:
    Does EEs new T&C give it the right to impose a price increase which is of material detriment?


    " new term did not provide for price rises we considered likely generally to be materially detrimental"


    Also regarding if the changed T&C means that EE should be regulated by the new rules we asked:


    As EE changed it price variation clause effective 26th March 2014 is the new price variation clause subject to the new regulations effective 23rd January 2014?


    Ofcom have answered in relation to:
    Should the price rise effective 28th May be subject to the new regulations?


    I have composed a response to send Ofcom - the more of you who send it the better chances of Ofcom not being able to wriggle out of taking action which will mean that ALL EE customers will have their rights!
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