Klobuchar targets cell phone fees

Sen. Amy Klobuchar introduced legislation today aimed at cell phone companies charging large fees to people who terminate their contracts early. The announcement comes on the heels of news last month that Verizon Wireless was doubling early termination fees for customers who own smart phones, a cost totaling up to $300. At the time, Klobuchar sent a letter to the president of Verizon Wireless deriding the new policy. Wednesday's bill, which was co-sponsored with three other senators, would require providers to lower termination fees faster over the length of the contract and force them to be more transparent about the fees on billing statements. Cell phone companies have said in the past that locking people into long-term contracts allows them to subsidize the price of expensive phones -- a claim some consumer advocates dispute. The bill would prevent termination fees from outweighing the subsidy on the phone. Klobuchar introduced a similar (though more expansive) bill in 2007, but it died in committee.