Connecticut Sues Internet Provider Over Hidden Fees, Deceptive Advertising

HARTFORD – Attorney General William Tong claims that Optimum Online, an internet service provider, has collected tens of millions of dollars in illegal fees from Connecticut consumers.  

Now the state is suing Altice, Optimum’s parent company, to ban the fees and return the money to customers.

The state is accusing Altice, a European telecom conglomerate that acquired the former Cablevision services in 2016, of violating the Connecticut Unfair Trade Practices Act by unlawfully charging a “network enhancement fee.”  

The complaint further alleges that Altice buries disclosures about advertised speed limits by listing them on the back of mailers in tiny print, in gray-on-gray backgrounds and in small “floating” words in their TV ads.  The company is also accused of putting English-language disclaimers on Spanish marketing materials.  

The complaint seeks both restitution for consumers and penalties.

The Office of the Attorney General first launched its investigation into Altice in November 2022, following more than 500 consumer complaints alleging hidden fees, poor technical support, and slow internet speeds.

According to Tong, Altice began unlawfully charging its customers a monthly fee of $2.50 in January 2019, which has increased over time to the current charge of $6 per month.  

In total, Tong claims Altice has collected millions of dollars from Connecticut consumers through the “junk fee,” over and above the regular monthly internet service charge.  He also alleges that the fee was not disclosed up front and appeared only in the shopping cart after a consumer selects an internet service. 

“When customers pay for Internet service, they have a right to expect promised speeds and network reliability without being nickel and dimed with junk fees,” said Tong. 

“It’s not a small amount, by the way, and it’s important to note that this is really hitting people and families every single day.  This network enhancement fee is not a tax.  It’s not a federally or state mandated fee.  It’s just an extra charge that Altice is slipping in on the bill to take money from all of us.”

Altice defended the fee as necessary to “maintain and improve the network” and in a written statement, the company said the state’s lawsuit is “without merit.”  

“Altice USA shares the state’s goal of ensuring Connecticut residents and businesses receive high-quality connectivity services and superior customer support. The company has invested hundreds of millions of dollars into its network, products, and support experiences across the state of Connecticut, which includes the deployment of our 100% Fiber Internet network to over two-thirds of our footprint in the state, delivering symmetrical speeds of up to 8 gig, the fastest residential internet service in our Connecticut service area. Altice USA provides customers with various offers at different speeds and price points, delivering reliable speeds and service with transparent pricing to customers throughout the state,” said Communications Director Erin Smyth.   

Senate Majority Leader Bob Duff, D-Norwalk, described the “junk fees” as a deceptive scheme and of significant concern for residents in areas like Fairfield County and Litchfield County where options for internet service are limited.

“Frankly, Altice, which is a French company, uses Fairfield County and Litchfield County and all their customers as an ATM machine to send money back to their foreign company.  We’re getting nothing in return for all these fees that we pay,” Duff said.