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BREAKING NEWS ~ Phone company giants agree to $1.5 million settlement of credit law claims

[JURIST] AP is reporting that phone companies Sprint and AT&T have agreed to a $1.5 million settlement with the government over alleged violations of federal credit laws for customers in search of phone service.

UPDATE: The Federal Trade Commission announced the settlement Friday, in which Sprint and AT&T will pay $1.125 million and $365,000, respectively. The FTC charged the companies had failed to notify applicants for service of their rights under the Fair Credit Reporting Act. Documents relating to the charges are available here (Sprint) and here (AT&T). View the FTC press release. AP has more.

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Paper Chase is JURIST's real-time legal news service, powered by a team of 30 law student reporters and editors led by law professor Bernard Hibbitts at the University of Pittsburgh School of Law. As an educational service, Paper Chase is dedicated to presenting important legal news and materials rapidly, objectively and intelligibly in an accessible format.

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