With AT&T there is a way you can get the discount even if your not eligble yet, you have to add something else onto your phone, like the unlimited internet, or text messaging, for atleast a month I believe. I'm not sure exactly how it works, but I have AT&T and I wanted a new phone before I could get the discount and that's what they explained to me. I'm sure you can ask any AT&T rep about it. I don't get why they didn't look up his information from the beginning though to see his prices
They can't tell you it'd be one price, then charge you another!