Phone and Internet Providers in New Jersey Could be Forced to Issue Refunds for Service Outages

Phone and Internet Providers in New Jersey Could be Forced to Issue Refunds for Service Outages

Trenton, NJ – A new bill introduced in the New Jersey Legislature mandates telecommunications companies to provide prorated refunds for service outages exceeding 72 hours.

Sponsored by Assemblyman Wayne P. DeAngelo (District 14), Assemblyman Benjie E. Wimberly (District 35), and Assemblyman Joe Danielsen (District 17), with co-sponsorship from Assemblywomen Murphy, Haider, and Assemblyman Sauickie, the bill aims to amend P.L.1991, c.428 and P.L.2007, c.195.

The legislation directs the Board of Public Utilities (BPU) to enforce this requirement. Telecommunications companies, including those offering Voice Over Internet Protocol (VoIP) and other Internet-based services, must automatically provide bill adjustments or credits without requiring customer action.

For VoIP and other Internet-based telephone services, this provision applies exclusively to residential customers and exempts outages resulting from events causing significant damage to the electric grid. The BPU retains the authority to establish further exceptions or limitations.

The bill amends section 4 of P.L.1991, c.428 and section 4 of P.L.2007, c.195, stipulating that local exchange telecommunications companies and public utilities must adjust bills for service interruptions over 72 hours on a prorated basis. This measure ensures customers are fairly compensated for extended outages without the need for additional steps.

This bill, pending technical review by the Legislative Counsel, seeks to protect consumers from prolonged service interruptions and ensure accountability within telecommunications services.