Text message provider fights back against Verizon

A company charged with fraud by Verizon and the Texas attorney general is fighting back, asking an Arizona court on Monday not to impose an injunction that would shut down its business.

Verizon has accused the company, Jawa, of duping people into paying around US$10 a month for short message services they didn't ask for.

In , Jawa argues that Verizon can't charge it with fraud because Verizon isn't a consumer of its services, and because Verizon can't identify any customers who were charged without their permission.

It also argues that Verizon should not be able to enforce its policies against companies that operate nationwide, such as Jawa, because the U.S. Federal Communications Commission and Federal Trade Commission are the proper bodies for regulating nationwide text services.

Verizon, in , said it doesn't know which of its customers may have signed up through Jawa websites. It claims Jawa hides details about recurring charges in violation of Verizon's policy, which requires that users have to opt in twice for such services.

AT&T has launched an investigation into Jawa but other operators, apart from Verizon, do not appear to have taken action.