Legal question on mobile phone unlocking

[harperhawk]

State: Kansas

I have been considering opening a small business. I am trying to find legal resources concerning unlocking mobile phones. Thank you for any help and if I need to leave more info on the process please say. Thanks

 

[harperhawk]

If I may add...this would be more of a "walk in" business rather than what is commonly found online. I have not been able to find any legal resources in my state or otherwise.

 

[justalayman]

no idea what you are really looking for. as far as unlocking phones goes, if the phone is under contract, it is illegal to unlock the phone. If it is no longer under contract or if it never was under contract, go ahead and unlock it but the carrier that the phone was purchased through has no obligation to unlock it and generally won't.

 

[harperhawk]

thanks. really looking for any info. all i really have found is yes it i legal....in most places.. i found something on a court case in 2009 but can't seem to find a follow up. I was also not aware that unlocking during contract would be illegal. can you please point me to where you found this info? much thanks

 

[justalayman]

thanks. really looking for any info. all i really have found is yes it i legal....in most places.. i found something on a court case in 2009 but can't seem to find a follow up. I was also not aware that unlocking during contract would be illegal. can you please point me to where you found this info? much thanks

It is a contractual matter. Check the contracts between the various carriers and the customers. The point of a discounted phone is so the customer will remain a customer for a specified period of time. That is the 2 years or so listed in the contract.

 

[harperhawk]

very true. by unlocking the phone that will not have any effect on the signed contract. i would hope that anyone using this business model would fully explain that to the customer.

 

[justalayman]

very true. by unlocking the phone that will not have any effect on the signed contract. i would hope that anyone using this business model would fully explain that to the customer.

you will want to read the contracts and yes, it does affect the contract signed. Each carrier restricts certain "apps" or other programs from being put on their phone as well as making certain apps not able to be removed, as long as they are locked. Unlocking them would change that restriction.

I don't know what you think the carrier should explain to the customer. First, it's common knowledge for most people. Second, you get a nice big contract that explains the rules.

 

[harperhawk]

justalayman...thank you. i may have been misunderstood when i was talking about explaining contract agreements to the customer. I was trying to say that I or anyone else who does phone unlocking should kindly remind the customer that by unlocking the phone will in no way cancel the current contract with their provider....is that necessary... prob not...but i do think its fair to inform. they should know this already, but i must assume many would not.

also, i can't find anything in my current contract that would prohibit the use of the phone i purchased from being used with another provider. seems to be a murky area...especially since the mobile company does not own the phone just the contract of service... but u did bring up a great point. if you have any info on this it would be helpful.

 

[justalayman]

harperhawk;3094618]justalayman...thank you. i may have been misunderstood when i was talking about explaining contract agreements to the customer. I was trying to say that I or anyone else who does phone unlocking should kindly remind the customer that by unlocking the phone will in no way cancel the current contract with their provider....is that necessary... prob not..

It would be a very good idea to warn of this as you would be the one unlocking the phone and there is only one reason to actually unlock the phone; change carriers

also, i can't find anything in my current contract that would prohibit the use of the phone i purchased from being used with another provider. seems to be a murky area...especially since the mobile company does not own the phone just the contract of service... but u did bring up a great point. if you have any info on this it would be helpful.

You should find in your contract that you are bound to that carrier for whatever period you committed to, whether you use the phone, sell it, throw it away, or just let it set on a shelf. Unlocking the phone will not terminate the contract, even if the phone owner chooses to go to another carrier. They would in effect then have two contracts to fulfill.