The Federal Communications Commission has found sixteen phone companies guilty as charged for "slamming"—switching a customers' phone service without getting their permission first. The culprits include NECC Telecom, CSP Telecom, Cavalier Telephone, QWest, Netone International, Excel, Discounted Telecommunications, Business Network Long Distance, and Startec Global.
The commission also dismissed slamming complaints against Lotus Communications, Talk America, and Buzz Telecom.
Following the Telecommunications Act of 1996, hundreds of new phone companies began competing for customers, or, in many instances, stealing them by using access to Local Exchange Carrier databases.
In response to thousands of customer complaints, in 1998 the FCC established strict rules forbidding phone services from grabbing customers without their permission. Punishment for guilty parties include:
- absolving the customer of all unpaid charges levied by the slammer for the first thirty days of service
- requiring the slammer to pay 150% of those charges to the authorized carrier
- refunding the customer 50% of all charges paid to the unauthorized phone service
FCC records indicate that the commission received 367 complaints about slamming in the first quarter of this year: 160 in January, 99 in February, and 108 in March.
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