Due to Florida's poor economic climate, many businesses are finding creative ways to pull in unsuspecting consumers in order to purchase long term product and service contracts that they really don't need, don't fully understand and in some instances, simply can't afford. It is our intent to educate you.
We have all heard about the unscrupulous used car salesman, Pyramid, Work at Home, Investment Scams and other such devious ways to separate you from your hard earned cash but many of the contracts that are executed on a daily basis can be just as financially damaging. We are going to help you look out for the warning signs and arm you with the questions to ask before executing your next consumer contract.
We can't refer to these dealings as Consumer Fraud or Scams because most consumer protection laws don’t apply to private sales or contracts that are entered into by the consumer willingly, although unwittingly. Simply stated, it's up to the buyer to beware. Many of these contracts may not be illegal, but they are unethical and misleading to the consumer.
Most long term contracts strongly favor the business, leaving little regard and "wiggle room" for the consumer to terminate the contract, regardless of whether the business has fulfilled their end of the bargain. Violating or attempting to terminate such a contract often comes with a hefty price and legal ramifications to the consumer.
Our goal is to review contracts that are being presented by area businesses to local consumers and alert the consumer to warning signs or clauses that may make entering into the particular contract a bad deal for the consumer.
Before entering into any written agreement "READ AND UNDERSTAND THE FINE PRINT!"
If you are not completely confident or fully understand what kind of a commitment that you are making as a result of entering into any written agreement or contract, our advice is to ask additional questions and address all concerns before signing on the dotted line. Follow your gut feelings and never be pressured to sign anything that you don't fully understand. The best advise is always to consult with a family member, friend or an attorney that you trust before entering into such an agreement.
Although the "Fine Print" is a part of many contracts, providing clauses in fine print is controversial because of its deceptive nature. Its purpose is to make the consumer believe that the offer is really great. Though the real truth about the offer is "technically" available to the consumer in the smaller print of the advertisement—thus virtually ensuring plausible deny-ability from claims of fraud—it is often designed to be overlooked. The unsuspecting customer, who can instantly see all the attractive aspects of the offer, will, due to natural impulsive behavior, time constraints, and/or personal need, generally not bother to learn the caveats, instead focusing on the positives of the deal.
Many offers advertised in large print only apply when certain conditions are met. In many instances these conditions are difficult or nearly impossible to meet.
In many cases, the business states in fine print that it reserves the right to modify the terms of the contract at any time with little or no advance notice. This controversial practice is often seen in the banking and insurance industries as well as well as some unscrupulous health club operators. It is also widely abused in terms of use statements and privacy policies.
Our first web installment will focus on the health club industry, in particular, the risks and benefits of entering into contracts to purchase memberships from Gyms or Health Clubs.
Stay tuned as we conduct our research in order to provide the necessary answers to many of your consumer questions. In the interim, be careful what contracts and written agreements that you commit yourself to and above all, make sure to Read and Understand the Fine Print.
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