Home mover's charge?

[alvinlwh]

Hi,

 

A while ago, I had been kicked off Pipex Internet for 'abuse' of their service. So I looked around for a ISP with a clear FUP and chosed Eclipse Internet as they have a limit of 30GB during peak hours and unlimited during off peak. Generally I have no complaints about the internet service provided.

 

HOWEVER, 1 month ago, the company I was working for went down and I got made redundant. Luckily for me, I found a new job, but that will require a relocation. (Manchester to London)

 

As expected, this is a stressful time for me, lost my job, found a new job, finding a new home and moving home. Finally this week, I got confirmation of the new address, so I called up BT to move my phone line. Full marks to BT, the move is going ahead no problem.

 

Then I phone Eclipse Internet, my ISP, up to tell them of the move. They told me that they have to cancel my contract and sign me up for a new one. AND they are charging me £69.99 for early termination of my contract! Needless to say, I am shocked. I told them I have no plans to get out of my contract, I fully intend to stay with them at my new address. But they say no, I must still pay up even if I am staying with them. Surely this is unfair. When I moved home with Pipex, they charged me a termination fee too, but that was refunded when the internet at my new home was set up. Eclipse say they do not do that.

 

And they still got the nerve to ask me if I want to go ahead with the home mover order or not. I told them I am not paying to stay on with them, they can just terminate the damn thing.

 

Surely this is unfair trading practice? Can someone confirm please? So that I can get OFT on the case. This ridiculous practice of charging home movers at a stressful time must stop. I had already contacted Watchdog, anyone else I can pass this on to? OFCOM maybe?

[patdavies]

As a first port of call, what do the T&Cs say?

[alvinlwh]

Basically, nothing.

 

Eclipse Internet - Moving your Home Broadband

[patdavies]

Well, after a brief search, I found this on their website (click on 'legal' at the bottom of the home page and then it lists the various T&Cs)

 

6.3 For customers who have selected the home/office move package the following shall apply:

6.3.1 Your Service with Us at the current premises will terminate and You may be liable to pay a cancellation charge as set out in clause 6.2. You may also be liable to pay a Cease Charge Fee as set out in clause 7.2;

6.3.2 We will provide the Service to You at the new premises, as soon as reasonably possible from the Move Date;

6.3.3 Clause 2 of this Part B of the Agreement will apply to each home/office move and You acknowledge that We may have the right to terminate this Agreement as a result of Your home/office move, as set out in clause 2.3.1;

6.3.4 You acknowledge that We will not supply any new Equipment to You and that You will need to install the Equipment at the new Premises. For the avoidance of doubt, the title in the Equipment shall remain vested with Us during the Fixed Period (meaning the period of 12/18 months from the Start Date of Your original request for Services despite such Services being cancelled as a consequence of the home/office move)) and You shall return the Equipment to Us, in an as new and good working condition, at Your cost and expense, in the event of cancellation of this Agreement prior to the expiry of the Fixed Period, arising as a result of a home/office move. If You fail to return the Equipment within 5 working days from the date of expiry of the notice of cancellation of the Service, or if the Equipment is deemed by Us, in Our sole discretion, to be damaged, You shall incur a charge equal to Our standard retail prices for the Equipment, as detailed on Our Web Site

 

6.3.1 appears to cover your original point.

[alvinlwh]

Ok, I found it. However the question is, can these terms be considered unfair?

[locutus]

fair or not, it's not rewarding people to be loyal customers!

 

If you're paying the disconnection fee, then signing up as a new user why don't you get new equipment or a discount for them not having to supply new equipment? It sounds very one sided to me, and if I paid a disconnection fee I'd not reconnect with that same company!

[Mark_Blackpool]

BT charged Eclipse to connect your ADSL in the first place. The charge is to insert a line card and check that the line can support ADSL.

 

When you move to your new home BT will do this again, and charge Eclipse again.

 

Some broadband providers offer two choices at signup:

 

1. Pay an upfront fee (circa £40 - £60 usually) and have a month-to-month contract, cancel any time without penalty

 

2. Pay no upfront fee, but if you cancel before the 12 months is up, you then have to pay that fee (even if it's called a cancellation fee, it's essentially to recover that upfront cost the ISP had to pay in the first place to connect you)

 

ADSL is "portable" between addresses, obviously as long as the line at the new address can support it and it isn't too far away from the exchange to have it.

 

However the fees are, IMO, reasonable from the ISP's point of view because in the main they are simply passing on what they themselves are charged.

[alvinlwh]

Well, in that case I will just have to pay the fees and tell them to stick it where the sun doesn't shine. O2 broadband allow one home move a year for free, so do most other ISP.

[crem]

So what about this bit that alvinlwh linked to that clearly implies you will pay no transfer or set-up charges to move house?

 

When you move your broadband with Eclipse you:

 

• keep your existing Eclipse email address and profiles
  
• don’t pay any additional set-up or transfer fees
  

[alvinlwh]

crem, that part is correct, I do 'not' pay any of those fees. The fee they want me to pay is a cancellation charge on my existing line. Basically they say I am canceling my existing contract, and setting up a new one with them. So 'great' I do 'not' have to pay set-up or transfer fees, they just call it something else!

Edited June 14, 2008 by alvinlwh
Additional information

[crem]

Ok, I found it. However the question is, can these terms be considered unfair?

 

Well as a "reasonable" person I would consider that bit of the terms to be unfair and mis-leading.

 

They might as well offer broadband for free as long as you're prepared to make a "donation" of £50 per month to their head office! Most of us (and I would hope in legal terms) would still consider that a monthly charge.