Frontier’s quiet introduction of a ridiculously low 5GB per month usage cap represents a materially adverse change to their contract with customers. While many Frontier DSL customers maintain a month-to-month relationship with the company, with no penalties for terminating service, there are many who signed up for promotions obligated to a term of 12-36 months of service, with steep penalties for cancelling service before the term expires.

If you are a Frontier DSL customer upset about the imposition of the 5GB usage cap, you have several avenues of recourse. Simply find which category of subscriber you are below and follow the instructions to begin the process of challenging this change in service.

Be aware that Frontier’s contract states that subscribers have 30 days to opt out or cancel service after a change in the terms of service has first been announced. Although ISPs should notify you with a letter in your mailbox or a specific e-mail on a subject of this level of importance, to date Frontier has chosen to notify customers through a change on their website, buried in fine print. Their terms and conditions permit this, and that means you only have until August 23, 2008 to complete the process of opting out of this usage cap. If you continue to subscribe after than date without opting out, you are agreeing to continue service under the new contract terms with no further right to opt out by default.

The key that permits you to unlock your contract can be found within the Frontier Residential High-Speed Internet Terms and Conditions:

Our Right To Make Changes

UNLESS OTHERWISE PROHIBITED BY LAW, WE MAY CHANGE PRICES, TERMS AND CONDITIONS AT ANY TIME BY GIVING YOU 30 DAYS NOTICE BY BILL MESSAGE, E-MAIL OR OTHER NOTICE, INCLUDING POSTING NOTICE OF SUCH CHANGES ON THIS WEB SITE, UNLESS THE PRICES, TERMS AND CONDITIONS ARE GUARANTEED BY CONTRACT. YOU ACCEPT THE CHANGES IF YOU USE THE SERVICES AFTER NOTICE IS PROVIDED.

If You Are a Frontier DSL Customer With No Minimum Term Commitment Obligation

1. Call Frontier Residential Customer Service Serving Your Area
2. Tell them you wish to terminate your DSL service because of the imposition of the 5GB usage cap.
3. Get a date certain when your service will expire and arrange for the return of any Frontier property.
4. Arrange for an alternative provider, and make sure to ask about service promotions for new customers.

If You Are a Frontier DSL Customer with a 12/24/36 Month Minimum Term Commitment

1. Gather the following material before calling – A copy of your service contract, a copy of the terms and conditions for opting out of contract changes as shown above, a copy of the Residential Acceptable Use Policy with the language about the 5GB usage cap noting the contract language was changed on July 23, 2008 (it’s at the bottom of the page), a pen and paper to take down names and information.
2. Call Frontier Residential Customer Service (1-800-921-8101). Ask for and write down the name of the representative and extension number, if any.
3. Tell them you are calling to opt out of the July 23, 2008 change to your contract which imposes a usage cap of 5GB per month on your usage. Explain that when you initiated service with Frontier, no such limitation was imposed in your contract, and this usage cap represents a materially adverse revision to your contract. Explain that in accordance with the provision under the Terms & Conditions, section “Our Right to Make Changes,” you are exercising your right to opt out and not accept the change in terms they are imposing, and that you are doing so within the 30-day window permitted by the contract.
4. Under the terms of this contract, Frontier has two options. First, they may accept your opt out request and waive the 5GB usage cap for the remainder of your existing contract. If they do, you are not obligated to follow their usage cap until your term length contract expires. You are obligated to continue service with Frontier for the remainder of your contract because the materially adverse change does not apply to you. If you still elect to cancel, they may impose the early termination fee. Or second, they may refuse to waive the 5GB usage cap, at which point you then have the right to terminate your contract immediately with no imposition of an early cancellation fee. It is an either/or proposition. They cannot unilaterally change the terms of a contract with you unless the contract language specifically permits them to do so (and you agreed to that).
5. Do not be surprised if the low level customer service representative you first speak to is unwilling to accept your opt out request. Do not be surprised if their immediate supervisor is not willing to accept your request either. Customer service representatives may not be empowered to process such a request. Some may even attempt to argue with you about it. If you meet resistance, you should hang up and call the “Executive Office” customer service department at 1-866-819-3932. The Executive Office is empowered to do considerably more to resolve customer complaints.
6. If you are uncertain if your request will be processed in accordance with your conversation, ask for a confirmation in writing that your service will be cancelled with no termination penalty. It also wouldn’t hurt to ask for a mailing address to send a written formal letter opting out of their contract changes so that you cover all the bases. Usually getting the names of the people you are speaking with during your phone call(s) will suffice, however.
7. It is extremely important that in all your dealings with customer service, you remain polite, professional, and persuasive. Never raise your voice, belittle, or demean Frontier or their representatives. In most cases, the person you are speaking with had no involvement in Frontier’s decision to impose usage caps and may not even be familiar with the issue. Attacking them will not get you the results you are looking for. If you meet resistance, thank them for their time and move on up to the next representative or the Executive Office. You should definitely inform them of your reasons for opting out of your contract and clearly and firmly state you will not do business with an Internet provider imposing a usage cap, particularly one that advertises in their own phone directory that their service offers, “unlimited access to the web – NO usage fees, NO toll charges.” (Frontier Rochester White Pages, Blue tabbed section, p.22)

If you encounter difficulties, please feel free to post your story here in our Comments section. You’ll find a link at the top of this article. If you encounter a particularly helpful representative, feel free to give us contact information so that others can follow your successful navigation to a satisfactory outcome. Sometimes one representative will develop a reputation of working with customers while others remain difficult. If others can contact the friendly representative directly, it can speed up the process.

Frontier may also suggest that they are not actively enforcing any usage cap at this time. However, this should not discourage you from exercising your rights to not agree to the changes they have made to their contract language. Just because they are not enforcing it today doesn’t mean they won’t enforce it 60 days from now, at which point your time window to exit your contract will have expired. Explain to the representative that you must insist on following through with your request to opt out because their contract requires you to do so to preserve your rights.

Taking a moment to return to the bandwidth battles of days gone by, here’s another commercial from Pacific Bell about how cable is rationing their bandwidth.   Today, it’s a whole new battle with a fictional war based on a whole different kind of fictional intelligence: “a bandwidth crisis” that will lead to America running completely out of Internet bandwidth if we don’t cap everyone today.   No independent verification.   No independent evidence.   Just a lobbying firm in Washington, a bunch of equipment manufacturers who stand to make a pile of cash selling the equipment to keep everyone on a bandwidth diet, and happy shareholders who don’t have to worry about telecommunications companies making practical investments to keep their networks on track to grow with the rest of the Internet.   It’s quicker and easier to call you a bandwidth hog – log off now!

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The cable industry used to face the wrath of DSL companies who ran very effective advertising telling people that cable modem users were all sharing the same bandwidth and slowing down the network for everyone.   They’ve used enough Internet – log off now!   The cable industry’s proposal to start capping usage opened a unique opportunity for DSL providers to finally get some competitive advantage.   Hampered by an aging network, slower speeds, and less ability to rapidly increase speeds, DSL has tried to compete on price.   Imagine if the telephone companies saw cable caps and tailored ads like this to their cable competitors, telling families they’ve used too much Internet and they’d better log off or else.

But telephone companies always take the opportunity to miss a great opportunity and, in the case of Frontier, have elected to one-up them with a cap so low that dial-up users could consume more bandwidth.

So let’s take a look back to the good old days, when the Internet was our friend, and DSL was a noble competitor in the broadband marketplace.

Dave Burstein, reporting for GigaOM, said that two FCC Commissioners were overheard discussing Frontier’s decision to cap its customers at 5GB of usage per month at an FCC hearing in Washington.

The Federal Communications Commission has taken an interest in the broadband industry and reviewing its competitiveness and service, particularly to underserved rural areas. They are also concerned about net neutrality – where large Internet Service Providers can offer preferential treatment to their partners with faster backbone speeds, exemptions from usage caps, and more prominent placement of their content.

Burstein reports, “Frontier in 2007 had capital spending of $315,793 which seems like a lot until you note their Depreciation expense was $374,435. [A] five gigabyte [cap] is so low even a 2002 style network can handle it, but not maintaining the network is going to hurt them and their customers.”

A well placed source at Frontier told Stop the Cap! that the response to the quietly introduced 5GB monthly usage cap has not been positive among some of the more online aware employees at the company, who have expressed concern to management about how exactly they can explain and justify a monthly cap which is as low, if not lower, than many cell phone companies charge for their wireless plans.

The source told us that the impetus for the cap wasn’t just a concern about a few bad apples “overusing” their resources, but individuals in some markets purchasing multiple commercial or residential accounts and attempting to resell that bandwidth as part of some home-grown ISP business. The legal department quickly assembled some changes which were quietly introduced, without any fanfare, as part of Frontier’s residential acceptable use policy.

Our take? The logic train derailed on this one. Assuming for a moment that resellers were the driving force behind this action, Frontier’s response fails on several counts:

• Commercial DSL customers are not currently subject to any usage caps so a reseller need only configure multiple commercial accounts and go right on reselling without any fear of breaking a usage cap.
• Existing provisions in Frontier’s policies forbid the resale or repurposing of their product already. Resellers can be turned off today without any punitive measures taken against their entire residential customer base.
• The imposition of this change in terms buried in fine print is a sneaky way to attempt to force customers under multi-year contract to agree to the changes by default. Under the provisions of Frontier’s contract, customers automatically agree to any changes in terms published on their website unless they opt out in writing within 30 days. Frontier assumes most people will never notice, and considering the lousy quality of their website, where finding definitive information about anything is an all-day affair, that would not be a surprising outcome.

Those who are aware of the local broadband market who are also working at Frontier have every right to be worried. Their careers may evaporate along with Frontier’s customer base who will almost certainly flee the service the moment they become aware of the outrageous limitations Frontier seeks to impose on their customers. It’s a boneheaded move by Frontier, but just another in a long line of foolish mistakes on the part of this company, which is frittering away their core business with rate increases, a deteriorating network, and now this.

On a side note, we are also told that Frontier is no longer actually providing anything close to the 10mbps download/1mbps upload service they are now advertising. Our source tells us the network could not sustain anything close to those speeds, so they have quietly cut back to speeds closer to 7mbps/450kbps. Aging infrastructure and lack of investment will do that to you.