Update: Mobilicity declares “a colossal victory” against TELUS, BC Supreme Court says they can continue to run TV ad

Ian Hardy

December 19, 2012 3:03 pm


Last week TELUS initiated a lawsuit with the BC Supreme Court against newer wireless carrier Mobilicity (DAVE Wireless) that pegged their latest advertisement as being damaging, plus “false and misleading.” The TV spot honed in on Mobilicity’s no-contract and unlimited monthly talk, text and data offering, compared to their competitors (not singling out TELUS) unlimited strategy of “what you see isn’t always what you get.”

In a press release today Mobilicity announced a “colossal victory” against TELUS that allows them to continue running the ad in question. Stewart Lyons, Mobilicity President and COO, stated that “We are happy with the Court’s ruling and that Canadian wireless consumers are still free to engage in a dialogue with each other about the many challenges facing Canadian wireless consumers – that’s what our TV commercial is all about.” In addition, Lyons noted that that TELUS attempted “a ridiculous bullying tactic and an unnecessary distraction during our busy holiday season. I hope now that Telus will focus on its business and improving customer service as opposed to trying to intimidate a smaller competitor.”

Update: We’ve heard from TELUS on this issue now. They state that it’s not really a clear victory yet as it’s just an “interim order” and “does not impact our pursuit of a full hearing.” TELUS says they “will proceed to a full development of the facts and a court hearing on the merits. We believe Mobilicity’s data throttling to restrict unlimited plans is a misleading claim that must be addressed. The court pointed out that Mobilicity’s reliance on fine print to support its claims was ironic considering the ad’s focus on ‘what you see is what you get.’ TELUS agrees.”

In addition, “Mobilicity claims to have unlimited data plans when in fact they don’t. Buried in their fine print the company gives itself the right to throttle heavy users and engage in other intrusive traffic shaping measures that make it impossible for customers to stream video or download large files after a certain threshold. That’s not unlimited.”

Looks like the case is just beginning. Heated competition.
Thoughts?

Source: CNW

  • Non

    Finally some good news! Take that bully

  • TNSF

    Colossal victory would be signing up lots of customers.

  • The Nexus

    The only thing that would have made this better is if Mobilicity had declared “Flawless Victory!!” ;)

    • Hamid

      *unlimited victory

  • Rich

    Post YouTube link to the ad~

  • Fartknocker

    I hope Telus had to pay their legal fees too.

  • EvanKr

    That’s pretty good coming from BC, the province that TELUS Is based out of. Generally judges/juries are more biased towards local companies, as we saw in the Apple vs Samsung case.

    • James

      Not necessarily true about Apple vs. Samsung. Apple is U.S. Samsung is Korean.

      Therefore, Apple automatically wins because anything outside the United States is “evil”. Samsung stood no chance on those grounds alone.

    • aliwhatsit

      I thought telus was from alberta?

    • S2556

      The funny part is Samsung employs more Americans than apple and is more generous (think charities) with their money than apple and does more for the american economy than apple.
      apple hoards all their money and sends it overseas (however barely any of it actually makes it to the work force or foxconn)
      I am not a fan of how the company is run, though it is a successful business model.

    • EvanK

      @S2556

      Charitable Apple? Isn’t that an oxymoron?

  • Tom

    I’m generally happy to see the newbies taking on the incumbents, but I’m not a fan of their pseudo-unlimited plans.

    For them to call out Telus for “what you see isn’t always what you get” is a bit much, given that these unlimited plans aren’t really unlimited.

    I don’t mind being charged by the amount I use as long as the rates are good and clear, and they give me the tools I need to manage my usage. It’s better then fake unlimited.

    • Armando

      Mobilicity gives you 6GB to play with, before they throttle you. Telus MIGHT give you 6GB to play with (and yes, you will pay quite a bit for them), then charge you overages on top of that.

      If you need more data, $20 will get you 20GB with Mobilicity.

      Aside from data being much faster (LTE), where is the advantage in what Telus provides?

    • Darth Paton

      Telus’ statement that Mobilicity is not unlimited is bs. Yes, there is throttling involved, but legally, one can use an infinite amount of data over the mobilicity network, just not fast data. Instead of picking these stupid fights, Telus should work on making their plans cheaper. The Big 3 is the reason our mobile system is one of the most archeic and expesnive in the world.

  • ActivesiN

    great news!

  • Dave

    What? BC Supreme Court is not protecting Robelus?
    This can’t be right!

  • Pablo Moses

    Power to the people, this is a good news.

  • arrow22

    Data IS unlimited. You can literally use as much as you want, and never get a bill with overage charges. It’s a very high threshold in any case, not one that most consumers will ever reach.

    The statement from Telus is also plain incorrect. It’s not impossible to download video past the threshold, just very impractical.

    • seroevo

      The point though is that Mobilicity is saying it should be “what you see is what you get” and then hiding behind semantics.

      Sure, it is technically unlimited, but there are restrictions. It’s not as severe as some of the bait-and-switch that the big three have done with promos and the like, but it’s still hypocritical.

      If you rented a car with unlimited mileage, except unbeknown to you there was a speed limit after 200 km that limited the car to 50km/h, you’d be pissed that the terms were not adequately disclosed.

  • Crank

    Well that was resolved quickly. I thought we’d be seeing a decision two years from now.

    If only the BC Supreme Court was involved in all legal appeals!

  • Vader

    How about mobilicity’s ads? 50% off! No where on that does it say for 6 months!

  • 45

    Such a silly lawsuit.

  • vengefulspirit99

    Mobilicity is just as much of an a*****e as the big 3, they just aren’t big enough to be an a*****e yet. This applies to all the cellphone companies in Canada, Big 3 or not.

  • Bob J

    Strange, in the US carriers get beaten over the head by customers for suggesting in advertising they have unlimited data plans and then throttling them, yet you all seem to think TELUS is the bad guy here…

    • Hamid

      it’s not mobilcity’s fault, it’s the fair usage policy. mobiclity’s doing the best possible given the fair usage policy and their super cheap rates.

    • vengefulspirit99

      @hamid
      then they should stop advertising it like that. Just because you used to be a kid, doesn’t mean you can keep calling yourself a kid after you’ve grown up.

  • Kyle Tuck

    I never advertised it as such, but Telus seems to think my wallet is unlimited.

  • Amy

    Beat it Telus ! Your customers are leaving by the droves to Mobilicity because you’re 1000 percent more expensive and also your service sucks. Never coming back to Telus again. Go Mobilicity Go !

  • jetbeck

    I think most people think TELUS (and BELL/ROGERS) are the bad guy because they’ve allowed Canada to be one of the most expensive places to get Wireless/Wired Internet and one of the slowest in terms of speed (ie. 32nd in average speed). Obviously all of these companies are well companies and their main goal is to make money and provide for their shareholders.

    But that usually doesn’t translate into always being on the customers side and once you add some new guys into the mix with drastically lower prices people start to point the “bad” finger at those incumbents.

    • Shlomo

      You’ve been butt-raped for decades, and you still singing the Big3 prases?

      Oh boy…

  • aregularonhofo

    Ha!Ha!Ha! Mobilicity called it a “colossal victory”…no one else. That’s like Samsung losing to Apple in California…we know who the real winner is. Mobilicity still has the worse network on the market, slowest Data in Canada and a bunch of monkeys running the company…the provider is doomed and you can help by joining Wind Mobile.

  • Qoma

    Hold up – at the end of their quote, did Telus just say “… Telus agrees” to what Telus just said?

    Well in that case, I agree with Qoma.

    • jonno

      What I think they mean is that Telus agrees to the actual purpose behind the Mobilicity adds, the “What you see is what you get” pricing and such. To the best of my knowledge that is something that Telus has already been pushing towards for a few years now. I think in comparison to the other two of the “Big 3″ they do look to improve further and have crystal clear pricing.

      What Mobilicity is saying with each of their adds is that all other carriers have hidden fees, nickle and dime for every little thing, don’t honour their own pricing, etcetera. This is what Telus more than likely wants to nix because from what I’ve seen, a lot of what I see in the TV add are things that can be avoided either by not signing a contract or actually reading all the information offered to you by a wireless carrier (without always having to look into the fine print too). For example, the unlimited calls after 6:00 pm? Every carrier states it as free evenings and weekends, not as “Unlimited Calls”. Now if that was the case with the current batch of unlimited calling plans available from Bell, Rogers, and Telus, that’d be a different story, but it’s not.

      Unlimited calling / “unlimited” data have always been selling points of the new carriers, and I’m all for those options as it will bring in new clients for them. No contracts has also been a thing for the new carriers. Side note, the Big 3 also offer no contracts, you just don’t get the phone for a cheap price. I’m not knocking the points of difference for Mobilicity or Wind or Public. What I AM saying is that if Mobilicity wishes to run on the notion of “What you see is what you get,” then they need to first change their own advertising to ADVERTISE the throttle point (just as Bell / Rogers / Telus advertise the data bucket and the free evenings and weekends that Mobilicity seems to try to say they are trying to falsify), then look to point out things that the carriers actually do place in fine print. That is something I think would be a better option.

  • caha

    The Big 3 & Mobilicity All are at fault here. Telus being the one’s who came out with these ridiculous unlimited plans, and Mobilicity to think they can Advertise and call out The Big 3.

    The Big 3 if ANY consumer had their say would rather have plans like Mobilicity/Wind, but not Throttled Data.

    The “Average Consumer” these days does have wifi everywhere.
    The people who actually pay big dollars to keep companies running are the ones who DO USE data like no end. So they do matter, and would rather the Big 3 over Mobilicity/Wind because of the plans. I sell cellphones and I do wish plans unlimited were cheaper, but also I wish more important things like companies not Screwing customers and only caring about money.

  • Dex

    I like how the judge pointed out the throttling and fine print. Although, it is still technically unlimited, just slower after point x. And Telus saying “That’s not unlimited!” like they know the definition of unlimited data is a joke.

    This is all basically the pot calling the kettle black and then the kettle turning around and telling the pot to shut the hell up because he’s a black a-hole.

  • Tom

    Sooo, Telus admitted that they are screwing with the Canadian wireless consumers. Cause if you’re that picky about a wireless carrier “throttling” heavy data users, then you must know how shitty your business practice is by screwing with people with ridiculous rates and crappy data caps.

  • me2

    mobilicity is garbage.

  • stalin

    Anyone else remember Rogers’s “unlimited” data from a few years ago that only included 500mb? If that can be advertised as unlimited why can’t mobilicity’s?

  • Android lover

    Well, I’m a WIND mobile customer, and I believe I don’t need a PHD to know that getting throttle after 5/10/20 gig of full internet speed is way better than their stupid 1/2/6 gig plan which cost way more money than either Wind or Mobilicity.

    • Shlomo

      It’s too bad that more people do not realize this. You get 6GB with Mobilicity, PLUS unlimited minutes, PLUS unlimited texting, PLUS unlimited MMS, PLUS caller ID and voicemail, and the price of it all comes to about the same amount Robelus would charge you for just 6GB, and nothing more.

      I guess some people like to flush their money down the toilet. What can you do?

  • 2c

    after winning did mobilicity shrink thei coverage area more?

  • Ken

    Telus throttles everyone with there plans cost wise but then its buyer beware. Thats why I left Telus because they were throttling my wallet and those were the days when there was no choice in carriers other than the big 3. I’m a very satisfied Mobi customer, thank you.

  • Random Stranger

    I’ve worked with both U.S. and Canadian carriers in the past, and can confirm (without pointing the finger directly at any particular mobile operator) that internally, employees of these operators are fully aware of this tactic being applied to any and all “unlimited” plans. They acknowledge that “unlimited” is just marketing.

  • Matthew

    I was with WIND for two years and for the most part I was very happy with their unlimited plans. I knew that after 5GB I was going to be throttled but I also knew that I would NEVER receive a bill with a single penny of overage charges for data. To me that means unlimited.

  • AWSguy

    All that mobi has to do is remove the pictures from the ad which looks like telus and koodo and replace them with a bland green or orange or pink or any other color.

    Neither Telus nor Mobi offers “unlimited” anything, so pot just met kettle and they are arguing.

  • Sara

    Everyone knows that Telus OVERCHARGES people’s bills for service they didn’t use. I’ve had enough of them, that’s why I’ve switched over to Mobilicity.

  • Mike

    Telus outsources their jobs like technical support to the Phillipines instead of hiring people in Canada. Why should I support a company that doesn’t want to support Canadian jobs ? Mobilicity owned by Canadians and support Canadian jobs.

    • Johnny

      Telus mobility tech support is in Calgary and Burnaby. What are you talking about?? Also telus employs 41,000 emplyees, 75% of which are in Canada. Also, Telus and its employees give more to charity than pretty much any other company in Canada. Get your sh** straight bro.

  • Sher

    The best way to compete with Telus is not necessarily to try to compete with them on plans and pricing. They are big enough to absorb and beat any competitors prices if they choose to.
    To beat Telus, you need to provide Customer Service. ANY level of customer service is higher than the non-existent ‘service’ provided to the customer from the unholy arrogance that is Telus. I will gladly pay more if it means getting a little bit of respect back from the provider.

  • Jessica

    Telus & Charity ? The two don’t mix. Telus does outsource their work to the Philipines. lookup google “telus outsourcing”

    • jonno

      So Telus’ annual “Day of Giving”, the money donated when purchasing pink phones during the month of October (when they’re available), and the recent WE-day donations when purchasing specific Samsung devices were all figments of our imaginations? Or were these things that Bell, Rogers, Wind, Mobilicity, and Public already opted to do?

      Outsourcing wouldn’t surprise me but I have no idea on that to be honest.

  • STY

    Minimum data speeds should be required by carriers. Otherwise, it seems all carriers use the omission of data speeds to limit us. Score a good deal, they just slow you down to force you to upgrade. Refuse, get dial up speeds.

  • Nicholas

    I saw this commercial yesterday and I thought it was funny. They basically called out the big three on all their BS they do. The big three don’t like it because they are being shown for what they are.

  • NorOntByndWrlss

    I just had to post the two above stories for those of you who choose to be clueless. I work for a Rogers Dealer but am still impressed with how much TELUS helps the community.

  • stormkroe

    The throttle clause says they have the ‘right’ to do it, not necessarily that they ‘will’ do it. You have to realize a clause like that is the only thing keeping some asshat from running 100gb a month through his tethered cell phone. If someone hits 6gb on the first day, they’re probably throttled. If they hit it on day 27, probably not. That clause let’s us honest customers have true unlimited data.

  • MOBI FAN

    D To get a plan with telus for ultd calling texting 6gb data i gotta pay atleast $100 whereas I could get that same s**t for $25 and gta is good enough for most of the ppl. Giving more hopes to big 3 is whats ruining Canadian wireless industry. Wind Public Mobile and Mobilicity at least made these big three reduce their price plans . GO MOBI

  • Amy

    BIG 3 prices are way too expensive for the average Canadian.