Many of us own a cellular phone. Some households, in fact, have more than one. But I am almost certain that few of us take the time to carefully read the terms and conditions of our contract when we purchase our cellular phone.

Just like any unread contract, however, a cellular phone agreement can spring some surprises for subscribers if they don't read the fine print before they sign on the dotted line. Reading the terms and conditions of the contract could determine whether or not you default on your agreement.

Most cellular phone agreements provide that a subscriber is in default of their agreement if they fail to make payment of any owed sum, or fail to perform any of their legal obligations at the time and in the manner specified in the agreement. In default, the cellular phone company has the right to discontinue service to you without notice. At this time all balances would be due and payable.

If any legal action occurred the subscriber would also be bound by the agreement to reimburse the service provider in full for legal costs incurred. Even if the service provider agreed to restore suspended or disconnected service, the subscriber would be obliged to pay a reconnection fee.

There are some other surprises waiting in standard form cellular phone agreements. For instance, one service provider here on the Island has a standard form agreement that provides that the company has the right to "change telephone number assignments from time to time". This is on the basis that "the subscriber has no proprietary rights to any telephone number".

In other words, you are not given exclusive rights to your number once it has been issued to you, therefore if your service has been terminated for any of the above reasons your number may be reissued to another customer. This may be of particular relevance to someone who may use their cellular phone number as a business line.

Cellular phone companies also have the right to change the rates for service at any time. Most contracts provide that the company may provide substantial notice of these changes but is not obligated to do so.

If such a rate change is made, subscribers must notify the service provider, in writing, that they to do not wish to comply with these additional charges. Otherwise it will be assumed that the rate increase is agreed and subscribers will become bound by these terms.

Many of us are likely aware that a $3 late penalty fee is incurred if a bill payment is late - but you may not know that service providers may also add an interest charge if balances are outstanding for over 30 days. That interest charge may be 1.5 percent, which translates to 18 percent annually.

Most cellular phone contracts provide that subscribers waive their rights to dispute these charges unless they do so, in writing, with 60 days of the charge being incurred.

So, before you buy a cellular phone, be sure to read the "fine print" in the contract. That way, you will avoid any unwelcome surprises down the road.

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Andresa Tucker is a Paralegal in the Company Department of Appleby Spurling & Kempe. A copy of Miss Tucker's column can be found on the Appleby Spurling & Kempe website at www.ask.bm.

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This column should not be used as a substitute for professional legal advice. Before proceeding with any matters described herein, persons are advised to consult with a lawyer.