FCC Proposes Eliminating Early Termination Fees for Video Providers

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The FCC has adopted a Notice of Proposed Rulemaking (NPRM) that proposes prohibiting video service junk fees from cable and direct broadband satellite (DBS) providers.  These providers could impose fees on subscribers for terminating service earlier than the expiration date of the service contracts, and these early termination fees may limit consumers’ choices. The NRPM proposes requiring cable and DBS providers to give subscribers prorated credit or rebate for the remaining time on the service contracts – rather than imposing a penalty fee.

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