The Australian Competition and Consumer Commission (ACCC) has branded TPG's unlimited broadband plan advertisements as false and misleading, and has announced that it intends to take the telco to court next week.
The ACCC claims the advertisements are misleading because TPG fails to disclose in its $29.99 unlimited ADSL2+ plan ads that it comes bundled with phone-line rental, which adds an additional $30 to the monthly cost for the service.
The commission also alleged that the telco does not adequately disclose that when users sign up for the service they will be charged a $129.95 broadband set-up fee and a $20 home phone deposit.
The case will be heard in Melbourne's Federal Court on 22 December 2010.
Last month the ACCC successfully argued in the Federal Court that Optus had misled customers on its "Supersonic" and "Think Bigger" broadband plans by failing to disclose that the speed would be shaped when the customer surpassed their monthly download limit.
Optus, for its part, has taken rival telco Vodafone to court, claiming its "Infinite" mobile phone plan advertisements do not properly disclose all the conditions of the plans.