Comcast Corporation

Comcast Corporation agreed in October 2016 to pay a $2.3 million civil penalty to resolve a Federal Communications Commission investigation into allegations that cable customers were charged for products and equipment they had not affirmatively requested. The FCC investigated complaints that Comcast added services or equipment to customers' accounts without authorization and then billed customers for those additions. Federal communications law prohibits cable providers from charging subscribers for services or equipment they did not affirmatively request, a practice known as negative-option billing. The FCC stated that negative-option billing unfairly shifts the burden to consumers, requiring customers to detect unauthorized charges and contact the provider to obtain corrections or refunds. The $2.3 million civil penalty was described by the FCC as the largest civil penalty assessed against a cable operator for the practice at that time. Comcast also agreed to adopt a compliance plan intended to prevent unauthorized charges. The plan required Comcast to obtain affirmative informed consent before adding new services or equipment, send customers order confirmations describing newly added products and charges, and implement procedures for promptly resolving complaints and providing refunds. Primary source: Federal Communications Commission — Comcast to Pay $2.3 Million After Subscribers Complain of Billing for Services & Equipment They Never Ordered: https://docs.fcc.gov/public/attachments/DOC-341621A1.pdf