Yea those are pretty standard tactics for internet supplements these days, one term in the industry is Forced Continuity, although the phone call requirement is a new wrinkle.
Be sure you have read through all of their fine print, maybe email them explaining you tried to return according to their terms and throw in the names of a coupe of places like the Federal Trade Commission and RipoffReport you feel obliged to report the broken phone issue to. Maybe that would discourage them pursuing collection.
I'm guessing they may decline a return without an RMA number or such.
It depends on what you signed or entered into agreement on. I personally would have taken the avenue of contacting my financial institution and shared these details with them. They make their money off of money people like you deposit so it is in their best interest to protect you. It sounds like you used a debit card. In your shoes, my only concern would be my credit report but here again, you have not mentioned what personal information you divulged to them. Next time use an American Express or Discover credit card. They will instantly freeze charges towards your account until the situation is rectified.
not if card they were charging was closed out - all those types of offers will have automatic subscriptions attached to them at high prices
if you keep it, yes
