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California Governments Sue Wireless Carriers

By Paige Osburn, KPCC

 

Dozens of California government entities are suing America’s top wireless companies.

More than 40 jurisdictions across California have joined the suit – including Los Angeles and Sacramento counties, and the U-C system. They’re accusing Verizon, AT&T, Sprint and T-Mobile of ignoring parts of their contracts that would've saved the state millions of dollars.

The carriers were contractually obligated to help each of the government bodies find the best rate plan at the cheapest price every quarter.

Attorney Wayne Lamprey, who represents the governments, says none of the carriers have ever attempted to do so – and taxpayers got stuck with the bill.

“The savings from rate plan optimization are substantial. You can check – and it’s well-known in the industry – that picking the rate plan will deliver each time you do it savings in the range of 20 to 30 percent," says Lamprey.

Representatives from the four carriers did not return requests for comment.