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AOL reaches settlement with 37 states over access problems

america.online January 29, 1997
Web posted at: 3:00 p.m. EST

CHICAGO (CNN) -- America Online has reached an agreement with 37 states over problems faced by subscribers since the computer network service provider changed its fee structure four weeks ago.

The settlement was be announced by the attorneys general of Illinois and New York in separate news conferences Wednesday afternoon, sources told CNNfn.

The settlement addresses issues relating to access to AOL by subscribers, the sources said. The top attorneys from about 20 state governments met in Chicago last week to discuss possible legal actions against AOL for its failure to live up to promises to subscribers.

AOL was overwhelmed when subscribers took advantage of a new rate structure that replaced a previous hourly charge. Beginning January 1, subscribers could purchase unlimited access to the AOL system for a flat $19.95.

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