BOTHELL, Wash. — A Bothell-based television and broadband internet provider has been ordered to pay $900,000 to thousands of customers after not disclosing all taxes and fees to customers when they signed up for services online, according to a statement from the Washington State Attorney General's (AG) Office.
The company, Wave, provides television and internet services in Washington, Oregon and California. The AG's Office estimated about 12,000 to 13,000 of the more than 23,000 customers who will receive bill credits are from Washington state.
An investigation by the AG's Office found that since Wave began selling its services online in 2012, the company did not clearly disclose all taxes and fees customers would have to pay. Instead, customers would only learn the full amount they would be responsible for in a confirmation email after the initial purchase.
The AG's Office said Wave also participated in deceptive advertising practices. The company would advertise flat-rate cable packages that allegedly included "Local Broadcast TV," but the ads did not reveal that local TV channels were not included in the flat-rate price. Wave charged customers up to $11 extra per month for local TV services, according to the AG's Office.
"Wave told customers they would pay one price, and then turned around and billed them a higher price," said Attorney General Bob Ferguson in a statement. "Nobody likes hidden fees. The extra money that comes out of the consumer’s pocket every month adds up. Moreover, businesses deserve a level playing field. When shopping for services, Washingtonians must be able to make informed choices by comparing actual prices."
As a result of the AG's Office investigation, Wave will pay $900,000 in restitution to about 23,000 current customers in the form of bill credits, which is estimated at about $38 per customer. Wave must also pay an additional $300,000 to the AG's Office to pay consumer claims. Any money leftover will be used to the cover the costs of the investigation, the AG's Office said.
The AG's Office is developing a claims process for people who were Wave customers between January 2016 and mid-2018, but are no longer subscribers. Former customers should file a complaint online by clicking here.
