Telus (TSX:T) now knows what it’s like to get into a squabble with a phone company over a bill with higher-than-expected roaming charges.
The Vancouver-based telecom is suing SaskTel Mobility for allegedly overcharging it by $5.4 million for roaming and inter-carrier long-distance charges.
The dispute is detailed in a civil claim filed in BC Supreme Court February 22, 2012. The allegations have not been proven in court.
The dispute arises from an alleged breach of a co-operation agreement on wireless service signed in 1999 between Telus, Saskatchewan Telecommunications Holding Corporation – which owns SaskTel Mobility – and nine other telecoms. The comprehensive commercial agreement (CCA), which was revised several times, sets out how much the telecoms can charge each other for wireless phone service.
Telus claims that, under the most recent amendment of the CCA, the two companies agreed to charge each other for airtime for 800 digital cellphone service based on one-second increments. Prior to the amendment, charges were made on one-minute increments.
Between April 16, 2008, and May 15, 2010, Telus claims SaskTel Mobility charged it $29.8 million for airtime.
But because it was charged on one-minute intervals, Telus claims SaskTel Mobility owes the company a 15% discount (as per the CCA) – a total of $4.7 million, which SaskTel has refused to pay.
Telus also alleges SaskTel overbilled it $0.01 per minute for long-distance airtime for 800 digital service, which adds up to $714,420.
Telus is asking the court to order SaskTel to pay it the $5.4 million it claims it is owed, as per the CCA agreement.
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