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Apr. 25, 2009

Wireless users have filed a class action lawsuit against WiMAX operator Clearwire in the U.S.

The suit alleges that Clearwire falsely claims its mobile WiMAX network as a reliable always-on alternative to cable or DSL Internet access and traditional wireline phones.

Customers complain that this imposes unlawful early termination fees when the promised service is slow, unreliable or just simply unavailable.

The lawsuit accuses Clearwire of falsely advertising its Internet and phone services, alleging that it’s phone service is far inferior to traditional landline service, as subscribers experience frequent service disruptions.

The suit also alleges that Clearwire’s early termination fee is unlawful and stymies competition.

The lawsuit, Minnick et al. v. Clearwire U.S. LLC, was filed in King County, Washington.

Clearwire customers in several states where the company offers fixed service are among the plaintiffs, including people in Washington, Hawaii, Minnesota and North Carolina. They seek to recover the early termination fees they have paid, as well as an injunction prohibiting Clearwire from enforcing the fees and falsely advertising its service.

In the past weeks, multiple consumer complaint websites have sprung up against Clearwire. The sites allege that Clearwire’s service is spotty, slow and unreliable and contain complaints about equipment failures, billing problems and very poor customer service.

This year, Clearwire plans to spend from $1.5 billion to $1.9 billion to build its mobile Wi-MAX network and expanding its network to cover 120 million people in 80 markets next year.

Early this year, Clearwire launched its mobile WiMAX service in Portland, Ore. after Sprint Nextel launched its first mobile WiMAX market in Baltimore, Md. in 2008.

Plaintiffs are being represented by Washington, D.C.-based firm Tycko & Zavareei LLP and the Seattle law firm of Peterson Young Putra.

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Source: LNH.