termination fees are illegal, judge rules

In a preliminary ruling Monday, Alameda County Superior Court Judge Bonnie Sabraw said Sprint Nextel must pay California mobile-phone consumers $18.2 million as part of a class-action lawsuit challenging early termination fees.

The judge - who is overseeing several other suits against telecommunications companies that involve similar fees - also told the company to stop trying to collect $54.7 million from other customers who haven't yet paid the charges they were assessed. The suit said about 2 million Californians were assessed the fee.

No REFUNDs SOON

Even though Alameda County Superior Court Judge Bonnie Sabraw said Sprint Nextel must pay California cell phone users $18.2 million as part of a lawsuit challenging early termination fees, consumers shouldn't expect any immediate payout.

Sabraw's ruling was tentative. She has given Sprint Nextel's attorneys an opportunity to file a rebuttal before she makes a final decision. Also, experts say an appeal is likely.