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Telecommunications Class Action


Is yours one of the thousands of Australian businesses that has fallen prey to an equipment rental scam in recent years? If so, you are not alone. Attwood Marshall has hundreds of clients in the same situation as you. We have already launched one class action in the Federal Court and are looking to commence further similar proceedings in coming months.

Our clients report the same basic pattern. A sales person from a telecommunications firm approaches a prospective business customer with the claim that it can slash the business’ monthly telephone bill. The sales person also tells the customer that as part of the deal he or she will throw in, at no extra cost, new business equipment, usually a phone system. The sales person offers the equipment as part of a “bundled package” or, alternatively, describes the equipment as “free.” The customers sign a contract. The customers have been led to believe that they are signing an agreement with the telecommunications firm and that the contract is for call costs. They assume that the minimum monthly fee they pay under that agreement is for the call costs.

Unfortunately, the documents the customer has signed do not reflect what the sales person has told them. The customer has not in fact entered into a contract with a telecommunications company. What they have signed up to instead is a 5 year equipment rental contract with a finance company. In most cases, the customer has “agreed” to pay up to $100,000 (over 5 years) for a phone system usually worth no more than a few hundred dollars.

If you have been the victim of this sort of scam, you may be able to join our current Federal Court class action. Or we might be able to link you with other clients to commence new class proceedings.

Simply complete the Questionnaire and one of our lawyers will contact you immediately. You should contact us even if you already have legal representation. Our lawyers will be able to explain the benefits of joining forces with others via class action litigation.

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