Texas Sues VOIP Provider Over Emergency Calls

by Leroy Baker, Tax-News.com, New York

29 March 2005

The state of Texas is suing Vonage, the largest US Internet-based phone service provider, saying that the company fails to clearly inform customers they cannot automatically dial 911 when they sign up.

"People find out too late that this service might not be available," Texas Attorney General Greg Abbott said. "No one who signs up for this service will get the same kind of 911 service they get with a regular land line. Vonage needs to be clear up front about that and not mislead their consumers about the quality of service."

The lawsuit was filed under the Texas Deceptive Trade Practices Act and seeks to require Vonage Holdings Corp. to more clearly inform consumers that they must separately sign up for the 911 feature. The lawsuit seeks $20,000 per violation; Vonage has more than 500,000 subscribers.

Vonage spokeswoman Brooke Schulz said customers are informed of the separate activation on two pages on the Internet registration form. She also said that e-mail notifications are sent to customers who fail to activate the emergency service. "We're at a loss as to what they want us to change, but we're open to any changes they want," Schulz said.

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