Canadian groups debate ISP traffic throttling
ISPs ask the CRTC to stop Bell from defying law
Net neutrality: Google vs. Seaboard
Written by: Rodney,
Written by: Stephen,
Written by: Mectron, from Penticton
Written by: Dan, from Gatineau, QC
Written by: Publis,
“Comcast then came up with a new strategy: Impose a download cap of 250 Gb a month to each subscriber. Some observers think most Canadian providers will soon move to such caps, commonly seen on wireless handsets.” Caps already exist and I could only wish they were so high. Rogers has a cap of 60 GB a month for high speed express internet. CRTC wants to run the Internet like they do television and Radio. Which means Canadians will continue to get screwed out of good content in an effort to protect something that is not very good anyways… Canadian media content.
Written by: Chu,
Written by: yahn goodey,
CBC.ca – 2 hours ago
By Peter Nowak CBC News Bell Canada’s independent retailers say the company is giving better sales incentives to non-exclusive dealers such as Best Buy and Future Shop.
Retailers sue Bell Toronto Star
Bell Canada sued by independent dealers over reduced commissions The Canadian Press
Reuters Canada – Bloomberg – The Gazette (Montreal) – Canada NewsWire (press release)
all 22 news articles » TSE:BCE – TSE:RCI.B – TSE:T Langue : Français »
Bell Canada sued by independent dealers over reduced commissions
MONTREAL — Bell Canada’s (TSX:BCE) independent retail outlets are suing Canada’s largest telecommunications company for $200 million in an interfamily squabble over reduced commissions.
The Independent Communications Dealer Association of Canada, claiming to represent four-fifths of Bell’s independently operated stores, said Tuesday it has begun litigation in Ontario and Quebec, alleging Bell has broken its contract in several ways.
The association, saying it represents 172 store locations under the Bell, Bell World, Bell Mobility, Espace Bell and Bell Mobilite banners, cites “a downward spiral in our relationship that has escalated under Bell’s current management over the last three years.”
Association president Doris Ronca, who owns two Bell World stores in Montreal, said the group has been trying to negotiate with Bell in good faith to resolve the various problems it faces.
“Unfortunately we’ve reached a dead end and have no other choice but to go to the courts,” she said in an interview.
The dealers have knocked heads with Bell before, and purused a $135 million lawsuit in 2006 against the phone giant over a failed move by the dealers to turn their network into an income trust.
They had hoped to combine their stores in one business and float it on the stock market, but the phone company vetoed the plan.
During much of 2005, income trusts were a hot Bay Street strategy that generated tax advantages for companies that turned themselves into trusts. In late 2006, the Conservative government imposed a tax on new trusts beginning in 2011 that curbed the sector.
At the time, Bell said it would vigorously defend itself in the lawsuit.
Ronca accused Bell of years of mismanagement that has resulted in losing customer and investor brand loyalty and falling from first to third place in the wireless marketplace.
Bell is now punishing its own exclusive dealer channel by not honouring agreements and systematically destroying the competitiveness, reputations and the value of businesses that have been built over 20 years, said Ronca.
“This didn’t just start yesterday. It’s been a problem for several years now.”
The litigation claims Bell has ignored a commitment in March to leave dealers’ fees and commissions untouched until mid-2009.
It alleges that Bell has eliminated until December the payment of commissions for customers that replace handsets and renew contracts. These commissions account for up to 70 per cent of an outlet’s revenues.
It also says commissions for new product sales have been cut by between 10 per cent and 20 per cent.
The impact will be the layoff of more than 300 employees at stores in Quebec and Ontario as they lose $17.5 million in commissions until December, Ronca said.
The association says Bell is providing more lucrative incentives to non-exclusive retailers such as Wireless Wave, Best Buy and Future Shop.
And it says Bell’s direct marketing is undercutting the dealer chain.
The lawsuits claim over $200 million in damages, demand that Bell honour its current agreements, and seek the right to sell products from competitors like Telus, Rogers and new entrants in the mobile-phone business.
Bell Canada couldn’t be immediately reached for comment, but is expected to respond to the lawsuit later Tuesday.
The company’s parent BCE Inc. (TSX:BCE) is in the final stages of completing its $52 billion takeover by an investment group led by the Ontario Teachers Pension Plan Board and its U.S. partners.
Bell Canada Inc.’s independent retailers are suing the company for years of “abusive, arbitrary” business practices that include changing their contracted commissions. The Independent Communications Dealer Association of Canada, which represents 172, or 80 per cent, of Bell’s independent stores, announced on Tuesday it had filed suit against the company for three years of “not honouring agreements and systematically destroying our competitiveness, reputations and the value of our businesses that we have built, some of us for over 20 years,” the group said in a statement. The retailers seek more than $200 million in damages against the company as well as a reversal of all competitive measures listed in its suit, and a commitment to honour its current contract. “Once we sign a contract, we expect that contract to be honoured, but instead, year over year, they make changes to it without our agreement,” said CDAC vice-president Rick Umbrio. “All we’re asking is for Bell to honour their commitments and agreements. We want to be able to negotiate with Bell, put something in writing and they honour it, not change it on the fly.” The final straw in the “downward spiral” of their relationship, Umbrio said, came recently when Bell decided to cut commissions dealers earn on upgrading customers to new phones. The retailers had signed a contract with Bell in March that would leave their commissions untouched until June, 2009. http://www.cbc.ca/consumer/story/2008/10/21/tech-bell.html
and I already have even been saying how bad Bell is now in regard to keeping contractual agreements even for a whole year now too on the net too.