Legal Term

cell phone contract early termination fee waiver

Legal Definition

A contractual provision in a cellular service agreement that exempts the subscriber from paying the early termination fee (ETF) upon cancellation before the contract end date, triggered by specific events such as unauthorized rate increases, material service breaches, or relocation to an area without network coverage.

In Plain English

A rule in your cell phone plan that lets you cancel early without the usual penalty fee if the company raises your price too much, your service is poor, or you move somewhere they don't work.

Example in a Contract
Section 7.1: Early Termination Fee Waiver. If Carrier unilaterally increases the monthly service charge by more than ten percent (10%) from the rate effective at the Agreement's start, Subscriber may terminate this Agreement without incurring any early termination fee, provided Subscriber delivers written notice to Carrier within sixty (60) days of the rate change.

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