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Ohio Sues AOL

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October 28, 2003
Ohio has joined the list of states suing America Online, alleging AOL failed to honor customers' requests to cancel their subscriptions.

Ohio Attorney General James Petro said Virginia-based AOL and its CompuServe unit have violated Ohio consumer law and have failed to honor previous agreements with the state.

The lawsuit seeks $25,000 in civil penalties for each violation by AOL, as well as an injunction aimed at preventing similar actions in the future.

Ohio said its consumer protection service has received complaints that subscribers' credit cards continued to be billed as much as $23.90 per month despite their request to drop the service. It also asserts that AOL has failed to live up to the terms of several earlier multi-state agreements reached in response to consumer complaints in 1996, 1997 and 1998.

"Consumers should be able to cancel an agreement with a business within contractual terms and have the comfort of knowing the business will honor that cancellation," said Petro.

AOL recently reached a settlement with the Federal Trade Commission, in which it acknowledged no wrongdoing and promised to do a better job of honoring and tracking requests to discontinue service.

America Online issued a statement challenging the notion that customers have had problems discontinuing the service.

"We strongly disagree with the complaint filed by Attorney General Petro," AOL said. "We look forward to the opportunity to meet with the Attorney General's office to share information about the many ways members are able to cancel their service, the clear disclosures we provide in both online and offline materials, and the proactive steps the company takes."

AOL has been losing customers at a rapid clip, with more than two million leaving over the past year.

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