Federal Communications Commission DA 19-364 Before the Federal Communications Commission Washington, D.C. 20554 In the Matter of CenturyLink Complaints Regarding Unauthorized Change of Subscribers’ Telecommunications Carrier ) ) ) ) ) ) ) ) ) ) ) Complaint Nos. 767598 1078300/1078404 1079188 1967131 2049483 2067106 2441983 2840904 2939670 ORDER Adopted: April 30, 2019 Released: May 1, 2019 By the Deputy Chief, Consumer Policy Division, Consumer and Governmental Affairs Bureau: 1. In this Order, we consider nine complaints See Appendix. alleging that CenturyLink changed Complainants’ telecommunications service providers without obtaining authorization and verification from Complainants as required by the Commission’s rules. See 47 CFR §§ 64.1100 – 64.1190. We conclude that CenturyLink’s actions violated the Commission’s carrier change rules, and we therefore grant Complainants’ complaints. 2. Section 258 of the Communications Act of 1934, as amended (the Act), prohibits the practice of “slamming,” the submission or execution of an unauthorized change in a subscriber’s selection of a provider of telephone exchange service or telephone toll service. 47 U.S.C. § 258(a). The Commission’s implementing rules require, among other things, that a carrier receive individual subscriber consent before a carrier change may occur. See 47 CFR § 64.1120. Specifically, a carrier must: (1) obtain the subscriber’s written or electronically signed authorization in a format that meets the requirements of Section 64.1130; (2) obtain confirmation from the subscriber via a toll-free number provided exclusively for the purpose of confirming orders electronically; or (3) utilize an appropriately qualified independent third party to verify the subscriber's order. See id. § 64.1120(c). Section 64.1130 details the requirements for letter of agency form and content for written or electronically signed authorizations. Id. § 64.1130. The Commission also has adopted rules to limit the liability of subscribers when a carrier change occurs, and to require carriers involved in slamming practices to compensate subscribers whose carriers were changed without authorization. These rules require the carrier to absolve the subscriber where the subscriber has not paid his or her bill. If the subscriber has not already paid charges to the unauthorized carrier, the subscriber is absolved of liability for charges imposed by the unauthorized carrier for service provided during the first 30 days after the unauthorized change. See id. §§ 64.1140, 64.1160. Any charges imposed by the unauthorized carrier on the subscriber for service provided after this 30-day period shall be paid by the subscriber to the authorized carrier at the rates the subscriber was paying to the authorized carrier at the time of the unauthorized change. Id. Where the subscriber has paid charges to the unauthorized carrier, the Commission’s rules require that the unauthorized carrier pay 150 percent of those charges to the authorized carrier, and the authorized carrier shall refund or credit to the subscriber 50 percent of all charges paid by the subscriber to the unauthorized carrier. See id. §§ 64.1140, 64.1170. 3. We received Complainants’ complaints alleging that Complainants’ telecommunications service providers had been changed without Complainants’ authorization. See Appendix. Pursuant to Sections 1.719 and 64.1150 of our rules, we notified CenturyLink of the complaints. 47 CFR § 1.719 (Commission procedure for informal complaints filed pursuant to Section 258 of the Act); id. § 64.1150 (procedures for resolution of unauthorized changes in preferred carrier). CenturyLink responded to the complaints, acknowledging that it had charged Complainants for service. However, in each case CenturyLink failed to provide any proof of authorization, including a third-party verification (TPV) recording. The failure of CenturyLink to provide proof of verified authorization is presumed to be clear and convincing evidence of violations. See id. § 64.1150(d). Therefore, we find that CenturyLink’s actions resulted in violations of our carrier change rules, and we discuss CenturyLink’s liability below. If any Complainant is unsatisfied with the resolution of its complaint, such Complainant may file a formal complaint with the Commission pursuant to Section 1.721 of the Commission’s rules. Id. § 1.721. Such filing will be deemed to relate back to the filing date of such Complainant’s informal complaint so long as the formal complaint is filed within 45 days from the date this order is mailed or delivered electronically to such Complainant. See id. § 1.719. 4. CenturyLink must remove all charges incurred for service provided to Complainants for the first thirty days after the alleged unauthorized change in accordance with the Commission’s liability rules. See id. § 64.1160(b). We have determined that Complainants are entitled to absolution for the charges incurred during the first thirty days after the unauthorized change occurred and that neither the Complainants’ authorized carriers nor CenturyLink may pursue any collection against Complainants for those charges. See id. § 64.1160(d). Any charges imposed by CenturyLink on the Complainants for service provided after this 30-day period shall be paid by the Complainants to the authorized carriers at the rates the Complainants were paying the authorized carriers at the time of the unauthorized change of their telecommunications service providers. See id. §§ 64.1140, 64.1160. 5. Accordingly, IT IS ORDERED that, pursuant to Section 258 of the Communications Act of 1934, as amended, 47 U.S.C. § 258, and Sections 0.141, 0.361, and 1.719 of the Commission’s rules, 47 CFR §§ 0.141, 0.361, 1.719, the complaints against CenturyLink ARE GRANTED. 6. IT IS FURTHER ORDERED that, pursuant to Section 64.1170(d) of the Commission’s rules, 47 CFR § 64.1170(d), Complainants are entitled to absolution for the charges incurred during the first thirty days after the unauthorized changes occurred and that CenturyLink may not pursue any collection against Complainants for those charges. 7. IT IS FURTHER ORDERED that this Order is effective upon release. FEDERAL COMMUNICATIONS COMMISSION APPENDIX COMPLAINT NUMBER DATE OF COMPLAINT DATE OF CARRIER RESPONSE 767598 1078300/1078404 1079188 1967131 2049483 2067106 2441983 2840904 2939670 January 22, 2016 July 11, 2016 July 11, 2016 October 6, 2017 November 15, 2017 November 24, 2017 May 10, 2018 October 12, 2018 November 26, 2018 March 10, 2016 August 19, 2016 August 11, 2016 November 3, 2017 February 7, 2018 February 13, 2018 May 23, 2018 October 25, 2018 December 6, 2018 4