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Another major victory: the Superior Court rejects the Application for Authorization to Institute a Class Action brought against wireless telephone service providers


The Superior Court of Quebec has just dismissed in its entirety an Application for Authorization to Institute a Class Action against several telecommunications companies. This Application for Authorization aimed at ensuring that the discounts offered comply with the Consumer Protection Act and that the fees required to unlock wireless phones were lawful. The arguments presented by the defendant companies were retained in their entirety. The Woods team of Patrick Ouellet and Catherine Mathieu defended the interests of Vidéotron G.P.

The Plaintiffs argued that the discount advertised on a wireless phone when a contract was signed would not reflect the actual discount received by the consumer since the latter would pay a portion of the discount through the monthly payments of his or her package. They also alleged that the defendants would calculate the termination indemnity for their contracts based on a discount that is greater than the one actually granted to the defendant and that they would impose an "inflated" package price after the end of the initial commitment period in order to make the consumer pay an amount that is tied to the payment of the phone. Finally, the plaintiffs alleged that the defendants charged unlocking fees on their wireless devices. In response to the three allegations raised by the Plaintiffs, Justice Davis of the Superior Court of Quebec dismissed the application for authorization on the basis that it was not based on any valid cause of action.

To read the decision (in French), click here