Verizon and CWA Sued

August 29, 2000

Recently the Communications Workers of American walked out on strike against Verizon over a number of labor issues. According to various reports, the strike further delayed customer installations with which the rapidly expanding Verizon was already struggling. (Verizon was recently formed by the merger of Bell Atlantic and GTE.) Now one firm has filed suit against them both, alleging substantial damages arising from a total lack of service. The plaintiff had apparently agreed to move all of its telecom services to Verizon.

Opinion and Advice

This is probably only the beginning of lawsuits, on behalf of businesses and consumers, against telecom companies alleging lack of or inadequate service. At least one other suit has been filed against a telecom company alleging that its DSL lines are not as fast as advertised. In these days of unregulated and very competitive telecom services, the age-old doctrine of caveat emptor holds more than ever. Telecom company sales people can be expected to be very aggressive in this competitive market. And with technological changes and mergers occuring at almost light speed, it will be difficult for the companies to deliver as quickly or smoothly as promised.

Our advice is to shop carefully and seek references. Consider the costs should something go wrong, and if possible have at least some backup - such as cellular with another company - during the transition.