SMS.ac, Inc., the world's leading host to mobile phone users, has just announced the creation and implementation of a global Mobile Consumers Bill of Rights. The purpose of the Mobile Consumers Bill of Rights is to support consumer confidence on an international basis, just when revenues generated from mobile data could skyrocket under appropriate circumstances. The Mobile Consumers Bill of Rights makes sense and is worthy of consideration by companies in the mobile space.

Background

Michael Pousti is the CEO of SMS.ac, a mobile data communication company that is grounded in a growing social networking community of more than 40 million registered members. He projects that revenues generated from mobile data would reach $200 billion by 2010. He also states that consumer confidence could be a determining factor in that prediction coming to fruition.

As explained by Mr. Pousti, "the Mobile Consumers Bill of Rights is by design, brief and easy-to-understand." According to Pousti, it essentially is "a best-practices guide which SMS.ac adheres to that was composed utilizing our experience, along with feedback from our global mobile community of consumers, network operators, regulators and mobile data application and content companies." At the end of the day, "where clarity, accountability and a commitment to satisfaction are found, consumer confidence will follow," and "that bodes well for the financial future of every mobile data application or content enterprise that is looking to keep customers and the revenues they produce at their fingertips," adds Pousti. Mr. Pousti makes plain that "mobile carriers cannot carry the burden of this challenge by themselves — the responsibility falls squarely on the shoulders of mobile application and content providers to provide clarity and transparency to consumers."

Brent Iadarola, an industry research manager of mobile communications, points out that "as technology improves and mobile devices evolve into our everything-in-one devices, more consumers will be purchasing products and services from their handsets." He states that "a Mobile Bill of Rights for consumers worldwide is a positive step for a nascent industry that would benefit from a code of conduct relating to content and service providers." He declares that by incorporating the Mobile Consumer Bill of Rights in to their business practices, "businesses assure mobile phone users an enjoyable and safe environment where they may communicate and consume with confidence a growing range of products and services that are available to them via their wireless handsets."

According to Albert Linn, research director at American Technology Research, "payment transactions by phone are a relatively new phenomenon." Thus, he states that "consumers in the mobile and online arenas are looking for assurances that they will be treated fairly, courteously and without surprises." He adds that "as consumer confidence rises and as more leading businesses institute and put into practice a consumer bill of rights, as SMS.ac has done, it's entirely possible for mobile phones to experience a smoother and more sustained growth pattern toward becoming a significant purchasing mechanism."

The Mobile Consumers Bill of Rights

The exact wording of the Mobile Consumers Bill of Rights is set forth as follows:

1. Clear Description and Pricing

• Mobile consumers have the right to clear and easy-to-understand descriptions of the products and services for which they are paying.
• Mobile consumers have the right to know exact costs for all products and services prior to purchase, clearly expressed in each customer's local currency, without the confusion of moving, scrolling or otherwise difficult-to-read text.

2. Privacy, Opt-in and Opt-out

• Mobile consumers have the right to communicate, participate and transact in a safe environment, where their personal information is protected.
• All pay-for products and services must include an opt-in process for the consumer that is clear and concise.
• All pay-for products, including premium SMS (text) messages received on a consumer's phone must contain clear and easy-to-follow instructions on how to opt-out of the product and/or service, along with confirmation that their opt-out process was successful, delivered on a non-premium message.

3. Prompt Possession and Satisfaction

• Mobile consumers have the right to receive the goods and services they paid for in a timely fashion and in a manner that meets their expectations.

4. Customer Service and Technical Support

• Mobile consumers have the right to courteous customer service and technical support that are easily accessible 24-hours per day and seven days each week.
• Mobile consumers must receive replies to all inquiries within 24 hours.
• Mobile consumers must have their issues resolved quickly and respectfully.
• Customer service assistance should be available through:
  Toll-free phone service, and/or real-time online chat with service personnel, as well as via email response.

5. Money-back Refund

• Mobile consumers have the right to request a money-back refund, in the event they are unhappy with the product or service provided. Money-back refund policies should be available to all mobile consumers within the initial 30 days of purchase, when customer confusion is most likely to occur.

6. Customer Confidence

Mobile consumers have the right to say, "NO."

• NO surprises. Customers only receive goods and services that they requested.
• NO hidden costs
• NO invisible opt-ins.
• NO spyware or other forms of intrusive data collection unless clearly specified by the content provider and opted-in to by the customer.
• NO spam. Mobile phone users have the right to a spam-free environment, where only authorized messages are sent to their phones.

Wrap-Up

Now is the time to think ahead when it comes to best practices involving the expected explosive growth of mobile product purchasing. SMS.ac should be applauded for getting out front in this effort, and its Mobile Consumers Bill of Rights should be evaluated by companies in the mobile arena.

Eric Sinrod is a partner in the San Francisco office of Duane Morris (www.duanemorris.com), where he focuses on litigation matters of various types, including information technology disputes. His column appears Wednesdays at USATODAY.com. His Web site is www.sinrodlaw.com, and he can be reached at . To receive a weekly e-mail link to Mr. Sinrod's columns, please send an e-mail with the word Subscribe in the Subject line to .

Disclaimer: This column is prepared and published for informational purposes only and should not be construed as legal advice. The views expressed in this column are those of the author and do not necessarily reflect the views of the author's law firm or its individual partners.

Reprinted here with permission from USAToday.com.