Template Letter
[add your name, postal address, email address & telephone number]
Customer Relations,
T-Mobile,
Hatfield
Business Park,
Hatfield,
Hertfordshire, AL10 9BW.
[date]
By Recorded Delivery Post
Dear Sirs,
RE: Termination of Pay Monthly Mobile Contract –Mobile # [your mobile No.] Account No.
[your Account No.] .
I hereby terminate my pay monthly mobile telephone contract with T-Mobile. I have also given
notice by telephone –in accordance with §7.2.2 of your May 2009 pay monthly telephone terms
version 56.
The reason for this termination is your notification of a unilateral increase in international call
and roaming rates for calls outside the EU effective from 26 October 2009. The increases are
excessive and too high and to my Material Detriment. Any attempt to impose them on me
without allowing a penalty –free right to cancel, is unfair and unenforceable as a matter of law.
Your unilateral increase offends §(i)-(l) inclusive of Schedule 2 and §5 of the Unfair Terms in
Consumer Contracts Regulations 1999. In particular, Schedule 2 (1)”(l) …allowing a seller of
goods or supplier of services to increase their price without in both cases giving the consumer
the corresponding right to cancel the contract if the final price is too high in relation to the
price agreed when the contract was concluded;..”
You will be aware of Ofcom’s Guidance1 that this is objectionable “under continuing contracts
where consumers are 'captive' – that is, they have no penalty-free right to cancel” but you have
1
http://www.oft.gov.uk/shared_oft/reports/unfair_contract_terms/oft311.pdf at p.57 at §12.2. “Any purely discretionary right to
set or vary a price after the consumer has become bound to pay is obviously objectionable. ..It also applies to rights to increase
payments under continuing contracts where consumers are 'captive' – that is, they have no penalty-free right to cancel..... .. such
a clause is particularly open to abuse, because consumers can have no reasonable certainty that the increases imposed on them
actually match net cost increases.”
not seen fit to comply with Ofcom’s advice that to be fair; Any kind of variation clause may in
principle be fair if consumers are free to escape its effects by ending the contract. To be
genuinely free to cancel, they must not be left worse off for having entered the contract, whether
by experiencing financial loss (for example, forfeiture of a prepayment) or serious
inconvenience, or any other adverse consequences.”
I also refer you to Ofcom’s General Conditions of Entitlement under the General Authorisation,
Condition 9 and 9.32 –which bind you: “9.3 Where the Communications Provider intends to modify a
condition in a contract with a Consumer which is likely to be of material detriment to the Consumer, the
Communications Provider shall: (a) provide the Consumer with at least one month‘s notice of its
intention detailing the proposed modification; and (b) inform the Consumer of the ability to terminate the
contract without penalty if the proposed modification is not acceptable to the Consumer.”
I now exercise my legal right to cancel the contract due to your unilateral price increase which is
not acceptable to me and of Material Detriment.
I reject as unfair your attempt to artificially limit the right to cancel to some scenarios and not
others in the face of the clear legislation and regulatory guidance and General Condition 9. Any
attempt to claim a penalty and in particular a cancellation charge will be resisted. These terms
are also unfair and therefore non- binding and unenforceable. Any claim for them will be
disputed and you will need a Court Order to obtain payment of them. I will defend any legal
proceedings for such sums under the Unfair Terms in Consumer Contracts Regulations 1999.
[I have spoken to your account staff and can confirm that no charges have been incurred in
excess of the monthly charges paid in advance –which I have paid as usual. I will cancel my
direct debit immediately.]
OR
[I have spoken to your account staff and can confirm [£ ] of other charges have been incurred in
excess of the monthly charges paid in advance –which I have paid as usual. I will cancel my
direct debit immediately. I now enclose a cheque in full and final satisfaction of the remaining
charges owed to you under the contract and including any ancillary or collateral contracts, if
any.] [NB in this case ---don’t forget to add “In Full and Final Settlement” to the cheque].
Yours sincerely,
2
http://www.ofcom.org.uk/telecoms/ioi/g_a_regime/gce/cvogc010809.pdf