Is it fraud to offer a service and then restrict the service?

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Is it fraud to offer a service and then restrict the service?

I pay for an internet package that ranges in speeds from 3Mbps up to 15Mbps. I completely understand how bandwidth works and that sometimes you cannot reach higher speeds depending on your area and the quantity of people in the area using the hub. Only problem is I live in a fairly rural area and that is not the problem here. When the tecnician who installed my service arrived I asked him several questions, one of which being

Asked on May 31, 2016 under Business Law, California

Answers:

S.L,. Member, California Bar / FreeAdvice Contributing Attorney

Answered 7 years ago | Contributor

Fraud is the intentional misrepresentation of a material fact made with knowledge of its falsity and with the intent to induce your reliance upon which you justifiably relied to your detriment.
In other words, you would not have purchased the Internet service had you known the statement about a speed of 15 Mbps was false and that the speed had been restricted to 3Mbps.


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