Washington AG orders phone company Lumen to pay $825,000 to customers over illegal pandemic disconnections

Attorney General Bob Ferguson announced Thursday that Lumen, formerly CenturyLink, will pay a total of $825,000 to 1,099 Washington telephone customers it disconnected during the COVID-19 pandemic in violation of the emergency health and safety moratorium.

The payment resolves two separate investigations by Ferguson’s Public Counsel Unit and his Consumer Protection Division.

Lumen will provide customers with $707.55 for each unlawful disconnection from telephone service they experienced between March 23, 2020, and Sept. 30, 2021, a news release from the attorney general’s office said.

Lumen is a telecommunications company that provides cloud, network and telephone services to 18 states, including Washington. According to the Washington Utilities & Transportation Commission, Lumen is the state’s largest local telephone company, serving approximately 650,000 residential and business lines.

“Lumen’s conduct resulted in Washingtonians losing a critical lifeline during the pandemic,” Ferguson said in a statement. “This outcome compensates Washingtonians who were harmed, provides accountability for unlawful conduct, and reduces the likelihood of similar conduct in the future. I appreciate Lumen’s willingness to work with my legal team to reach this resolution.”

Gov. Jay Inslee issued a proclamation during the pandemic that prohibited telecommunication companies from disconnecting customers from landline services, as well as prohibiting late fees or reconnection fees. The proclamation was in effect from March 23, 2020, through Sept. 30, 2021.

The disconnections were an oversight due to automation, Lumen spokeswoman Kerry Zimmer said in a statement.

“As a large portion of the disconnection process is automated and involves different billing systems, Washington States’ extended COVID-19 moratorium posed a challenge,” Zimmer said. “As a result, a small portion of our customers were disconnected and charged late fees in error.”

Zimmer said Lumen was among the first companies to commit to the FCC’s Keep Americans Connected Pledge during the early days of the pandemic. Lumen waived late fees and pledged not to disconnect residential or small business customers during that time.

“Once the pledge was fulfilled, we created extended payment options as we resumed normal operations,” Zimmer said.

Of the 1,099 customers who were disconnected, 67 were disconnected more than once. These customers will receive $707.55 for each disconnection. Former Lumen customers will receive a check in the mail, while current customers will receive a credit on their bill. All impacted customers will also receive a letter from the Attorney General’s Office explaining Lumen’s conduct that led to them receiving the bill credit or refund.

Checks are expected to go out by Feb. 10.

In addition to the $825,000 payment, Lumen must verify to the attorney general’s office that it has refunded all reconnection and late fees the company charged to more than 35,000 customers during the pandemic. If it finds any customers were charged fees it has not already refunded, the company must refund those fees, with interest, the attorney general’s office said.

Lumen has already returned more than $1.3 million to customers that it charged in violation of the emergency proclamation.

Thursday’s resolution is in addition to $692,250 in penalties the utilities commission has levied against Lumen for disconnecting some customers in violation of the moratorium. In October, the commission reduced Lumen’s penalty from $923,000. As part of the resolution, Lumen will not challenge the penalties any further.

Penalties paid in these cases are used to help fund the commission’s public benefit and education programs and are not used to fund its operations.