Oh this is interesting.
The plaintiffs have argued that even customers fulfilling their two-year contracts with AT&T for the iPhone are unable to switch carriers and continue using their handsets, effectively locking them in to AT&T for longer than their signed contract unless they are willing to switch phones.
That's a big reason why I don't like the iPhone. Basically turns it into an iPod when your contract is up.

And besides, AT&T's new data plans are terrible so I bet a lot of people are going to sign up for his lawsuit.... and hope they can jump ship to Verizon.