Cable / Telecom News

Win-back rules violate Charter, say telcos


OTTAWA – Rules that go too far in preventing telcos from contacting customers in order to win them back is contrary to the Canadian Charter of Rights and Freedoms, say Canada’s incumbent telcos.

A submission to the CRTC last month from Eastern telco Aliant (since supported by Bell Canada, Telus and Sasktel) says, in part, “that the Commission’s order extending the ‘no-contact’ rule beyond local residential service is inconsistent with the principle of freedom of expression, encompassed in s. 2(b) of the Canadian Charter of Rights and Freedoms.”

As a way to foster competition, telco regs have prevented the incumbent local exchange carriers (ILECs) from contacting customers who have recently left for a competitor for at least 90 days (it’s the same on the video side, too). At first, the regs only mentioned voice services, but had to be tightened to include all services offered by the ILEC (video, Internet). Then, in January of 2004, win-back restrictions were extended to 12 months.

The Charter complaint is part of a larger application by Aliant to get the Commission to scrap the win-back rules and forbear from regulating its Nova Scotia and Prince Edward Island markets where local cable company EastLink has made significant strides in local telephony. Telus, Bell Canada and Sasktel have all echoed Aliant, saying win-back restrictions should be scrapped in their regions, too.

“Once it is shown that the ILECs’ Charter rights to communicate constitutionally protected forms of expression have been infringed as a result of the ‘no-contact’ Rule, it follows that the Charter rights of consumers to receive such constitutionally protected communications have equally been infringed,” continues the Aliant application.

While Aliant has asked the Commission to deal with its application under the Commission’s “Expedited procedure for resolving competitive issues,” Telecom Circular 2004-2, the CCTA has asked, and it’s expected that, the complaint will be rolled into the local exchange forbearance hearings coming in the fall, along with other telecom complaints mentioned in stories today on this site. 

– Greg O’Brien