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Sue You: Kogan Off To Court

By Oonagh Reidy & Computer Daily News | Wednesday | 10/04/2013

E-tailer takes Telstra wholesale distributor to court after screw up on Kogan Mobile, which dumped customers who went above and beyond the "unlimited" plan.

Online retailer Ruslan Kogan has launched a lawsuit against prepaid mobile distributor ispOne after it began dumping some over-enthusiastic users of his recently launched Kogan Mobile service.

Mobile distributor ispOne sells Telstra-supplied pre-paid 3G services.

Kogan Mobile customers recently complained they have been cut off from the prepaid mobile service - without warning - after apparently overusing its "unlimited" phone plans on calls, texts and data, and have been highly critical of the service on the Whirlpool forum.

Read: When Is "Unlimited" Limited? On Kogan Mobile

Luanched in December, Kogan Mobile offered "unlimited" prepaid calls and SMS plans including 6GB of data downloads for $29 a month.

Kogan spruiked the "unlimited" mobile plans launched in late 2012 as the best value in OZ.

"No more running out of credit mid-month, no more complicated fine print tricking you into paying more," Kogan said

But of the many people who flocked to the service, some - in ispOne's eyes - were making too heavy use of the service, which uses part of Telstra's network.

In a writ filed in the Supreme Court of Victoria, Kogan claims ispOne breached the master wholesale agreement between the two companies.

It is seeking an injunction restraining ispOne from suspending customer accounts unless this is done in accordance with the suspension policy.

In December, Telstra sought to distance its self from the Melbourne maverick's cut price mobile service, saying "Telstra Wholesale is not in partnership or any other direct relationship with Kogan."

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