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Daily Israel Report
15:44
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News Brief

  3/5/2012, Adar 11, 5772

Law Would Remove All Fines for Cellphone Exits


The Knesset Economics Committee on Monday authorized for its second and third reading a law that would prevent cell phone companies from imposing fines on customers who want to change service providers. Currently, companies cannot require customers to remain in a plan if they don't want to, but they can penalize them with exit fees, or denying them benefits in a plan.

Among the benefits that will be extended to all customers are those related to the purchase of equipment. Currently, the service provider subsidizes the cost of phones for customers, but removes the subsidy when the customer leaves the plan or the company. The law would require extending those benefits to any customer who signed up under a plan offering such benefits, even if they leave the plan. The law will be discussed by the Knesset in the coming days.