Straight Talk Wireless brand advertises "Unlimited Talk Text and Data" for $45 per month. However, as many Straight Talk users have discovered, the data isn't really unlimited. There have been countless cases of Straight Talk customers suddenly finding that their data isn't working. When they call the company they are told that data has been suspended for violations of Straight Talk's Terms of Services. However, Straight Talk support representatives are unable or unwilling to tell users what uses are prohibited or what the user did that put them in violation.
The Straight Terms are quite vague and basically allow them to terminate the data service of any user who uses too much data with out defining how much is too much.
I don't believe it's economically viable for an MVNO to provide truly unlimited data for $45 per month. But it's still false advertising to promote a service as providing "unlimited data" when there are in fact limits.
San Francisco attorney Michael Sobol of the firm Lieff Cabraser Heimann & Bernstein has filed a class action suit against Tracfone, which is a division of Mexico's America Movil - the fourth largest mobile operator in the world. The suit accuses the company of "breach of contract, breach of faith, unconscionability, unjust enrichment, deceptive trade, unfair competition and consumer law violations". The suit asks the court to order Tracfone to pay unspecified compensatory damages to customers and to issue an injunction. The suit also names Wal-Mart, which is the exclusive retailer of Straight Talk phones and service.
I have no idea if this suit will be successful although I hope it will. Straight Talk's misleading advertising is bad for consumers and for competing MVNOs that are put at a disadvantage by fairly disclosing the limits of their plans. As far as I'm concerned the use of the term "unlimited" should to be restricted to services that truly have no limits and I don't think very many, if any, cell phone plans really have no limits on data usage.
Source: Courthouse News Service