Saturday, January 24, 2009

How to beat the DIRECTV early termination fee


Did you know that if you have DIRECTV and you upgrade to new equipment that they require you to start a new 2 year contract with them?

Did you know that they don't tell you this when you call to change, add, or upgrade?

They also do not tell you this when they come out to do the install for new or upgraded equipment.

After upgrading to HD, we were very unhappy with the DIRECTV service and wanted to switch to cable. When we called to cancel our DIRECTV service, we were told we would be charged an early termination fee of $250. We had been with DIRECTV for many years (nearly 10 years), and told them that we had passed our 2 year agreement a long time ago.

DIRECTV informed us that since we had upgraded to a new HD reciever and service, we are required to honor a new 2 year contract extention. It didn't matter that we were never informed of this prior to installing or upgrading.

After months of arguing and getting no where, we filed a small claims law suit against DIRECTV. And we won!

If you're in this situation, you do not have to pay the early termination fee. Here's what you do:

Call your local small claims court and file against DIRECTV. You can file in your area court because the installation took place in your home.

TheAgent of DIRECTV that you file against, and that you have served is:

THE DIRECTV GROUP, INC.
C/O:
CSC - LAWYERS INCORPORATING SERVICE
2730 GATEWAY OAKS DR STE 100 SACRAMENTO, CA 95833


After having DIRECTV served by the Sacramento Marshall, you'll recieve a call from the DIRECTV legal department. They will try to settle your case and offer you a very small amount- less than the $250 early termination fee. You can either settle with them, or you can go to court.


If you go to court, here's the important stuff:

DIRECTV does not have copies of the contracts and work orders that you receive. They contract all this work out through another company and they do not have access to those papers. So their legal representative will verbally tell the judge what the policy is and what you were (supposedly) told and given.

Your main argument should be that DIRECTV did not inform you of the requirement that agree to a new 2 year contract, and that you never agreed to it. How can DIRECTV extend a customer’s contract without advising the customer?

The judge may say that you are obligated because you signed the agreement when the service tech came to your house. This is the work order that DIRECTV does not have access to. Here's a comeback- when you upgrade your cell phone, they extend your contract. BUT THEY TELL YOU FIRST! DIRECTV does not tell you they are extending your contract.

By DIRECTV requiring you to extend your contract for merely upgrading equipment or services, it's like buying a car on a 4 year contract. If you change the oil, or put on new tires, the finance company doesn't extend your contract.

1 comment:

  1. This is EXACTLY what happened to me today, only I HAD to upgrade as the HD DVR receiver I purchased in 2005 (for $1000) became obsolete when DirecTV updated their satellites recently. The only way to continue getting HD was to upgrade (and rent) their new receiver. I am going to fight this based on principal! Thanks for the info.

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