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RIM Hit With Class Action Suit Over Service Outage

Oct 27, 2011, 4:56 AM by Eric M. Zeman

Consumers both in the U.S. and Canada have filed class action lawsuits against BlackBerry maker Research In Motion concerning the major service interruption RIM experienced earlier this month. A switch failure on October 11 left tens of millions of BlackBerry users around the world unable to send/receive email and BlackBerry Messenger messages until October 14. The U.S. suit was filed in California and applies to all U.S. users with a current BlackBerry service agreement. The suit accuses RIM of breach of contract, negligence, and unjust enrichment. According to the lawsuit, RIM earns approximately $3.4 million in service revenue per day. The lawsuit alleges that that money should be given back to and/or refunded to customers, who in effect paid for services they did not receive. Rather than offer refunds for the days that users were without service, RIM instead offered customers access to $100 worth of BlackBerry World applications for free. The lawsuit notes that the number of BlackBerry users in California alone is approximately 2.4 million. The U.S. suit is seeking damages, cash compensation for service fees, and restitution of legal fees generated by the lawsuit.

Reuters »

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