Fed Up with Fees, AG Mayes Settles with Cox Communications for $13 Million

  • Arizona AG Kris Mayes settled with Cox Communications Inc. and affiliated entities to resolve allegations that the telecommunications company violated the Arizona Consumer Fraud Act by failing to adequately disclose price increases to customers.
  • The complaint alleged that Cox disguised price increases as “fees” in order to raise the bills of consumers who had contracted for television services at a “locked-in” rate,and that Cox’s billing statements listed one of these fees alongside taxes and other government fees, implying that the fee was imposed by the government and not by Cox, among other things.
  • Under the terms of the settlement, Cox will pay $10 million to the state and approximately $3 million in restitution to affected customers. In addition, Cox must include any fees in any advertised price for residential cable television or telephone services, and must accurately and clearly disclose material terms and conditions at the time of sale.