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FindArticles > News > Technology

Court Says Verizon Broke Law With Unlock Policy

Gregory Zuckerman
Last updated: December 15, 2025 7:37 pm
By Gregory Zuckerman
Technology
7 Min Read
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Verizon has turned to a retroactive application of its phone unlocking policies in court and it backfired, speculates Android Police. After the carrier declined to unlock a phone sold under previous rules, a Kansas customer sued and won; a judge ruled that Verizon’s revamp violated state consumer protection law and ordered it to refund the price of the phone and service.

What’s changed in Verizon unlock policy?

Verizon is uniquely subject to federal conditions associated with spectrum it uses, which stipulate that phones must be unlocked 60 days after purchase. The Federal Communications Commission previously permitted a 60-day lockdown to help stop fraud, though the presumption was that there should then be straightforward automatic unlocking. No additional hoops, no endless paid service necessary.

Table of Contents
  • What’s changed in Verizon unlock policy?
  • Inside the Kansas case over Verizon phone unlocking
  • Why the ruling matters for consumers and competition
  • The regulatory backdrop for Verizon unlocking rules
  • What consumers should do to protect unlock rights
Four iPhones in white, orange, dark orange, and dark blue, with the front-facing phone displaying a glowing abstract design, presented on a professional flat design background with soft patterns.

Several months ago, Verizon added a twist: Customers must have their device turned on with active service — and not just in a working state — for the full 60 days before they can unlock. The customer at the heart of this case purchased an iPhone from Straight Talk, a Verizon-owned prepaid brand, paid for one month of service and intended to port out the line to another carrier after 60 days. When the phone did not unlock, Verizon said the new rule was being applied — even though that device had been bought under earlier terms.

That retroactive stipulation is at odds with the standard established in FCC rulemakings, which were all about time-based unlocking and not an obligation to keep paid service. Trade groups like CTIA have long championed the cause of transparent unlocking and the largest carriers list clear windows when unlocking is allowed. The modification here changed the deal after the sale.

Inside the Kansas case over Verizon phone unlocking

Following a complaint filed with the FCC, the customer’s issue was not resolved. He went on to sue Verizon in Kansas, where he claimed that the provider had modified material terms after sale. That, according to Ars Technica and court records, is a point the judge came around to as well — ruling in favor of an infringement of the Kansas Consumer Protection Act and ordering refunds for the device, as well as any associated service charges.

Verizon apparently offered to fix things on the down-low, but the plaintiff wanted a ruling in open court instead of signing a nondisclosure agreement. The result highlights how the state consumer laws can take a chunk when national policies are deployed in manners that manipulate promises on the fly.

Why the ruling matters for consumers and competition

This is a testing-the-waters case for carrier responsibility as unlocking impacts competition, pricing, and the secondhand market. Unlocked phones are more transferable to resell and can be swapped between networks, providing customers with negotiating power. Market trackers and resellers frequently point out that unlocked devices sell for a clear, often significant premium over carrier-locked models as well — this is why buyers are so interested in clear unlock promises from manufacturers.

A pink smartphone with a dual-camera system on the back and a screen displaying a pink abstract design, presented on a light pink background with subtle geometric patterns.

The ruling also holds a red flag of compliance. And while Verizon has asked the FCC for greater leeway in carrying out its responsibilities, that does not mean an RSVP-free period until it gets permission to do less than what it is supposed to. Adding a retroactive “paid service” requirement will not protect the good-faith users who have been relying on the comforts of the 60-day rule but instead would essentially hijack the spirit of that provision because it is tying eligibility for an unlock to continuing income as opposed to time passed.

Other carriers have also faced scrutiny over fine print in marketing or policy, but the legal underpinning is different. State attorneys general and consumer advocates have previously fought back against opaque fees, device financing terms, and routes to unlock a phone. The Kansas decision suggests, though, that courts may frown on post-sale policy changes that leave buyers holding the bag.

The regulatory backdrop for Verizon unlocking rules

Verizon’s obligations started with open-access conditions on valuable wireless-spectrum licenses, and were later honed via the FCC allowing a 60-day anti-fraud lock. The agency’s approach is built around making the unlocking automatic, removing any delay where there might be confusion for customers once the window closes. By adding a pay-to-stay condition, you distort that scheme without any kind of formal rule change.

If the carriers want different rules, it should happen at FCC rulemaking and public comment, not by one company making these kinds of unilateral tweaks that change the tenor of what consumer rights are. So long as these current responsibilities are in place, direct-to-customer policies must respect that — especially when devices are sold through brands owned and controlled by carriers.

What consumers should do to protect unlock rights

  • Get the unlock policy in writing before purchasing — screenshots, checkout pages, and plan terms can make a difference.
  • Record the date your SIM or service is activated and maintain a record of all account activity.
  • If your device does not unlock after the carrier’s stated window, escalate the request to the carrier in writing.
  • If that doesn’t work, file a complaint with the FCC and the attorney general in your state.
  • Small-claims court may be a useful backstop when the facts are clear and the dollar amounts are manageable.

The Kansas ruling is narrow but sends a reverberating message. It upholds a simple principle: Carriers cannot erase the goalposts. Unless regulators say otherwise, Verizon’s unlocking obligations are what they have been and time-compliant customers should not be subject to additional requirements post facto.

Gregory Zuckerman
ByGregory Zuckerman
Gregory Zuckerman is a veteran investigative journalist and financial writer with decades of experience covering global markets, investment strategies, and the business personalities shaping them. His writing blends deep reporting with narrative storytelling to uncover the hidden forces behind financial trends and innovations. Over the years, Gregory’s work has earned industry recognition for bringing clarity to complex financial topics, and he continues to focus on long-form journalism that explores hedge funds, private equity, and high-stakes investing.
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