Legal Question in Consumer Law in Rhode Island

What is fair compenstion from the phone company when they admit that they made a major error when they turned off our business phone for months. We have had the phone number for 29 years with no problems. Last last year, we received a call offering us a "bundling" package. We accepted. Over billing occurred. We disputed the amounts. We paid only what we had been paying all along. Overdue charges amounted to $700, which we did not owe. They turned off our phone. Service was just restored with their apologies and adjustment to the bill. The phone company has asked us to name a "dollar amount" that we feel is fair for everything we have been put through plus loss of business. How do I respond to them.


Asked on 8/06/09, 11:32 pm

1 Answer from Attorneys

Jules D'Alessandro D'Alessandro & Wright

This is a breach of contract case so from a legal perspective fair compensation would be actual damages. You are not entitled to pain & suffering or emotional distress. You would only be awarded punitive damages in the event that the phone company�s conduct was so outrageous that it borders on the criminal. To show actual damages you should start by looking at your monthly Profit & Loss for the same period over the last two years and average the two. If the disconnection caused actual harm you should be able to see this in the numbers. In addition the State of RI allows for pre and post judgment interest in the amount of 12% per year or 1% per month. Any number you demand should be logical and based upon an actual loss; while mathematical precision is not required the amount you are seeking should be reasonably tied to the actual harm you have sustained. If you need further assistance, please feel free to contact me directly.

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Answered on 8/12/09, 9:50 am


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