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ARTICLE · 25 APRIL 2016

Top Up Or Give Up: Prepaid Phone Card Class Action Dismissed

Prepaid mobile phone services offer flexibility and freedom to those who do not wish to be locked into a monthly plan.

CanadaConsumer Protection

Prepaid mobile phone servicesoffer flexibility and freedom to those who do not wish to be locked intoa monthly plan. The downside is that prepaid phone cards only remain active for a certain period of time, called the "active period". At the end of the active period any unused credits expire, unless the user "tops up" the account before the end of the active period.

The Ontario Court of Appeal has recently upheld Bell's practiceof expiring unused credits at the end of the active period in Sankar v Bell Mobility Inc., dismissing an appeal from summary judgement granted in favour of Bell in February 2015.

Bell's prepaid wireless phone cards allow customers to access its wireless network for a specified period of time. The customer can extend the activation period by topping up the account, that is, by adding additional credits on the account. Customers who do not top up lose thecredits on the account, as it is Bell's practice to claim the unused funds the day after

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