Canada Post Cybersurf

THE CANADA POST CLASS ACTION SETTLEMENT IS FULLY COMPLETE AND OUR FILE IN THAT REGARD IS CLOSED.

IF YOU HAVE AN OUTSTANDING INQUIRY OR ISSUE WITH RESPECT TO THIS CLASS ACTION, YOU OUGHT TO FOLLOW-UP WITH CANADA POST DIRECTLY IN THAT REGARD.

BY REVIEWING THE INFORMATION BELOW, YOU CAN OBTAIN A BASIC UNDERSTANDING AND REFRESHER IN RESPECT OF THE STRUCTURE AND OUTLINE OF THE SETTLEMENT. A REVIEW OF THAT INFORMATION MIGHT ANSWER YOUR INQUIRY.

IF NOT, YOU MUST AS INDICATED, FOLLOW-UP WITH CANADA POST IN RESPECT OF SPECIFIC QUESTIONS RELATING TO THIS CLASS ACTION SETTLEMENT.

Latest Developments

THE TIME FOR RECEIPT OF SETTLEMENT BENEFITS IN RESPECT OF THIS CLASS ACTION EXPIRED MAY 24, 2004.

Purchasers of CD-Roms from Canada Post that promised “Absolutely Free Internet and Unlimited E-mail Access for Life” had until May 24, 2004 to return their CD-Roms to any Canada Post Retail Outlet for reimbursement of the purchase price plus, at their option, receipt of three months premium Internet service at no cost.

Court Approval was granted in Ontario on December 22, 2003, and in British Columbia on April 7, 2004.

The Ontario Superior Court of Justice and the British Columbia Supreme Court approved settlement of the class action law suit between Canada Post Corporation, Cybersurf Corp. and 3Web Corp. and consumers who purchased from Canada Post CD-Roms that promised “absolutely free Internet and unlimited e-mail access” for life.

Hearings were held in Hamilton on December 22, 2003 and in Vancouver on March 5, 2004 and April 7, 2004. Both Courts approved the settlement as fair, reasonable and in the best interests of class members.

The Defendants were required to publish notice of the settlement in 9 newspapers across the Country. The publication took place April 7, 8 and 9, 2004.

Furthermore, the Defendants sent notice by electronic mail to the last known e-mail address of each class member to the extent that such e-mail addresses were available to the Defendants.

Purchasers of the CD-Rom had 45 days after publication of Notice to return their CD-Rom to a Canada Post Retail Outlet to be entitled to a refund payment equal to the full amount of the original retail price of $9.95 plus applicable taxes, and also at their option could choose to receive three months premium Internet service at no cost whatsoever.

David Thompson, of Scarfone Hawkins LLP in Hamilton, lead counsel for the Class, said he is very pleased with the approval of the settlement on a National basis by the Ontario and British Columbia Courts.

Canada Post reports having sold approximately 150,000 CD-Roms in its 900 retail outlets across Canada between late 2000 and summer 2001.

The CD-Rom provided access to the free Internet and e-mail service only for a limited period of time after which the service had to be discontinued due to business constraints. Users were presented with pop-up messages that indicated that continuation of the service could be obtained, however, it would no longer be free, but rather would cost $9.95 per month.

Scarfone Hawkins LLP is a law firm with significant experience in handling complex class action claims on behalf of plaintiffs.

Overview of the Settlement

The settlement covers all persons who purchased from any Canada Post retail outlet a CD-Rom that was said to contain installation software for accessing a free e-mail and free unlimited Internet access service provided by Cybersurf Corp. and 3web Corp.

Consumers who still have their CD-Rom may attend at any Canada Post retail outlet to obtain reimbursement of the original purchase price of $9.95 plus applicable taxes.

In addition, any consumer who receives reimbursement of the purchase price of the CD-Rom will also be entitled to receive 3 months’ Internet access at no cost whatsoever.

Notice of the settlement will be advertised via newspaper publication on a national basis and consumers will have 45 days to return their CD-Roms and 60 days to request the 3 month free Internet offer.

Final Court Approval of the settlement was obtained in British Columbia on April 7, 2004 and all time periods run from that date.

Overview of Claim

A Statement of Claim was issued in the Ontario Superior Court of Justice on March 28, 2002.

The Statement of Claim names Canada Post Corporation, Cybersurf Corp. and 3Web Corp. as Defendants.

It is alleged that Canada Post sold through its approximately 900 retail outlets all across Canada CD-Roms that were to contain installation software which would allow purchasers to access an advertised and represented “free unlimited Internet access” service.

The underlying Internet service was to be provided by Cybersurf Corp. and 3Web Corp.

The CD-Rom was co-branded between Cybersurf Corp. and Canada Post Corporation.

The CD-Rom was sold at Canada Post’s retail outlets for $9.95 plus applicable taxes and was purchased by approximately 140,000 Canadians across the country.

The CD-Rom was sold for a period of approximately 10 months.

In or about August, 2000, Cybersurf/3Web determined that it could no longer provide “free unlimited Internet access” and began to charge $9.95 per month for the service.

At that point, Canada Post pulled the CD-Roms from its shelves and appears to have terminated its relationship with Cybersurf/3Web.

Despite numerous complaints from customers, Canada Post has failed to reimburse its customers the purchase price of the CD-Rom which is now useless as it no longer accesses the advertised and represented “free unlimited Internet access” service but rather a $9.95 per month unlimited Internet access service.

We are compiling a database of individuals who purchased the CD-Rom from Canada Post.

If you have not contacted us, we would appreciate hearing from you as it may assist us in pursuing this claim. You may contact us by e-mail, telephone, mail, courier, fax, etc.