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WASHINGTON (Reuters) – Communications firm Vonage agreed to pay $100 million to resolve a Federal Trade Commission (FTC) lawsuit that alleged it had failed to provide a simple method for customers to cancel their telephone services, court documents filed Thursday show.
Vonage, which was acquired by Ericsson (BS:ERICAs) earlier this year in a $6.2 billion deal, had employed hurdles to deter and prevent customers from stopping recurring charges, the FTC said in filing a lawsuit and proposed settlement in U.S. District Court in New Jersey.