• Report: #1170205

Complaint Review: Towerstream

  • Submitted: Sat, August 16, 2014
  • Updated: Sat, August 16, 2014

  • Reported By: BROADBAND USER — Miami Florida
Towerstream
Nationwide USA

TOWERSTREAM AUTOMATIC RENEWAL MIDDLETOWN RHODE ISLAND

*UPDATE EX-employee responds: Contractual gotchas

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BROADBAND USERS. Check your ISP contract and avoid getting blindsided. 

This month my contract with Towerstream ended, I thought. I contracted with another company. When I called Towerstream to return their equipment I was informed that my contract had automatically renewed. 

What? 

I am on the hook for another year, being forced to continue in a contract I thought I had honored. 

When I first contacted Towerstream and was contemplating signing, the sample agreement they showed me contained no autorenew clause.   http://www.towerstream.com/service-level-agreement The one I signed does. I trusted the account executive and was caught completely off guard. The automatic renewal clause was never brought up...and when the contract came to me for signing all I looked for was the start date and the end date...the idea that they would add this never occured to me. My Bad!

I would like to discuss the subject of auto renewal, hear what others have to say around the country and share what I have learned. 

How many business owners can we keep from getting blindsided by a tactic that was originally designed to be a convenience. Automatic Renewal is a common way of doing business Business to Business and Business to Consumer...each having it's own set of rules.  Consumers and Businesses alike need to be informed so that the bad publicity attached to this predatory way of doing business outways the benefit.


CALENDAR THE DATE FOR CANCELLATION NOTIFICATION IN COMPLIANCE WITH THE AUTO RENEWAL CLAUSE IN YOUR CONTRACT IF THERE IS ONE.


This report was posted on Ripoff Report on 08/16/2014 01:22 PM and is a permanent record located here: http://www.ripoffreport.com/r/Towerstream/nationwide/TOWERSTREAM-AUTOMATIC-RENEWAL-MIDDLETOWN-RHODE-ISLAND-1170205. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.

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Updates & Rebuttals

#1 UPDATE EX-employee responds

Contractual gotchas

AUTHOR: Mike O. - ()

Having been in the wireless ISP business for over 10 years in the technical support department with multiple companies, while I personally don't like the long term renewals, they are a pretty standard clause in most contracts that I have seen (which is easily in the 10's of thousands over the years). Granted, MOST companies are wiling to let you out of an auto renewal, but technically, if you signed the contract with the clause there, the law is on their side (unless you have other legitimate reasons to nullify said contract, such as SLA violations).

Also, this is why you make sure that you keep a copy of the fully executed contract, so that you can prove what you signed vs. their current contract form. 

 

Sadly, this is a perfect example of why it is important to fully read and understand anything put in front of you before signing it. Chances are, if you had caught it while negotiating your contract, the salesman would have removed the clause at your request, or at least changed it to a month to mo renewal after the initial term of the contract. 

Obviously, some, or even all of my observations may not actually pertain to your situa, but is valid in general about how to make sure you know what you're signing! (Never trust a salesman!)

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