Comcast agreed to pay a $2.3 million civil penalty to resolve an FCC investigation into allegedly unauthorized cable charges, the agency announced on October 11, 2016. The announcement described a five-year compliance plan. The accompanying order adopted a consent decree, which provides the operative terms rather than leaving the obligations at the level of a press release. [comcast-release][comcast-order]

The distinction between payment and customer relief is important. Paragraph 17 of the decree directs the civil penalty to the United States Treasury within 30 calendar days of the agreement's effective date. That date is defined by both parties' signatures. The penalty is therefore not a $2.3 million fund automatically distributed to subscribers. Refunds and credits are addressed separately through the decree's billing-dispute procedures. [comcast-order]

Several operational deadlines extend beyond the announcement. By July 1, 2017, Comcast must implement processes for obtaining informed consent before billing for new products and for sending purchase confirmations separately from bills. Those confirmations must describe the product, price and promotional period, if any, and be provided within three days of purchase. A later deadline applies to retaining evidence that can verify consent. [comcast-order]

The settlement resolves an investigation, not every disagreement behind it. The Bureau viewed the evidence as showing violations; Comcast disputed its contention and interpretation of the billing rules. The decree expressly leaves those differing interpretations unresolved. Both documents come from the same FCC enforcement action: they establish what was announced and agreed, but do not independently establish how reliably the new procedures would work. [comcast-order]

Source documents

  1. Comcast to Pay $2.3 Million After Subscribers Complain of Billing for Services & Equipment They Never Orderedhttps://docs.fcc.gov/public/attachments/DOC-341621A1.pdf
  2. In the Matter of Comcast Corporation: Order and Consent Decree, DA 16-1127https://docs.fcc.gov/public/attachments/DA-16-1127A1.pdf