1. Robert resolves his complaint!
Chapter 7: How to Resolve Consumer Problems

2. Meet Robert!
Robert saw an ad for a shoe store offering a pair of $49.99 basketball shoes. He knew this was a great deal for these particular shoes. However, when he went to the store, those same shoes were $ Let’s go through the process Robert learned to help solve his problem.

3. Robert learned about consumer laws
Consumer Sales Practices Act
Prohibits unfair, deceptive, unconscionable sales practices
Vermont Statute - Deceptive Trade Practices
We have a complete list of Vermont consumer laws that businesses must comply with on our website.
The Consumer Sales Practices Act (CSPA) is the cornerstone of Ohio consumer law. This law prohibits unfair, deceptive and unconscionable sales practices. It also defines how a business can advertise and market to consumers.

4. Advertising Exclusions and limitations must be listed
No bait advertising
Rain checks
Free must really mean free
Advertising a “prize”
No used for new
Here are some advertising guidelines outlined in the law:
Exclusions and Limitations – It is illegal to advertise a sale without listing any specific limitations. Advertisements must list the important terms and conditions, extra cost (delivery charges, restocking fees and handling fees) and limited time offers such as July 1, 2-3 p.m.
Bait Advertising – Bait and switch tactics are illegal, and it occurs when a business offers goods or services for sale, but the offer is not bona fide or made in good faith. For example, the supplier misrepresents an important aspect of the product or service. (Car dealership offers 0% rate)
Rain Checks – Consumers are entitled to a rain check when businesses advertise goods or services at a certain price, sell out, and the consumer responds to the ad after the product is no longer available. A rain check must be honored within 60 days after it is issued and consumer has 14 days to redeem. Or the seller may sell a similar item at the same price.
Free – A seller may not advertise goods or services for “free” when the cost of the “free” offer is passed on to the consumer by raising the regular price of the goods or services.
Prize – A seller cannot advertise a consumer won a prize when the consumer must pay a certain charges to receive the prize.
New/Used – Used, refurbished or reconditioned products cannot be sold as new; they must be properly labeled.

5. Additional Requirements
No failure to deliver
Refund policies must be posted clearly
Deposits
Failure to Deliver – Business has eight weeks to deliver the product purchased. If not, the consumer is entitled to an explanation, delivery of the goods or service, full refund, or substitution of similar goods or services of equal or lesser value.
Refund Policies – Sellers must have refund policies even if their refund policy is that they do not accept refunds. Each policy must be clearly and conspicuously posted prior to the point of sale (i.e.- not good enough to have it listed on the receipt and no where else because at that point in time, you’ve already made the purchase).
Deposits– Requires a seller to provide the consumer with a dated receipt including the amount paid, total price including any additional cost (storage, assembly, or delivery charges), timeframe, and refund terms. Seller may not offer the goods to any other customer if a deposit is made.

6. Robert found the shoe store didn’t follow the law
First, Robert wrote to the company explaining:
Purpose of letter
Facts of situation
What he wants
Deadline to resolve
He called to follow up
When that didn’t work, he filed a complaint
If you have a pRobertlem with a product or service you bought, give the company a chance to correct the pRobertlem. Take action by calling or writing to the company to explain the pRobertlem. Be polite but assertive and tell the company what would be a reasonable resolution to your pRobertlem.
Most reputable companies will work with you, because they want your business. Also, file a complaint with the Attorney General’s Office. (Complaint information continues in the next slide.)

7. Filing a Complaint with the AG
Free informal dispute resolution
5896 scams reported in Vermont in 2015
6308 scams reported in Vermont in 2016
Provides critical information
Helps protect Vermonters
File a complaint:
Online: Vermont Attorney General – TJ Donovan
Consumer Hotline:  Toll Free In VT (800) or (802)
Telephone: live-intake
AG complaint resolution process
In 2012: 30,500 complaints filed
You may file a complaint one of three ways:
Online (often the easiest way):
By phone: – Our help center now offers live complaint intake.
By mail: Visit our Web site or call our help center to ask for a hard copy of the complaint form. Complete the form and send it to the Ohio Attorney General’s Consumer Protection Section, 30 E. Broad St., 14th Floor, Columbus, OH
Please provide all the information necessary to help explain your issue with the business and what you have done to resolve it. We will need copies of contracts, receipts, purchase agreements, work orders, etc. Send COPIES only – keep original documents for your files.

8. Vermont Top Ten Scams List of 2016
Overall, the scams reported to the Vermont Attorney General last year increased by approximately 25%, from 5,896 to 7,364 reported complaints. These are the main scams reported in the last two years
IRS Scams (4,261 complaints)
Computer Tech Support scams (463)
Phishing scams (382)
Debt collection scams (222)
Scams targeting businesses (197)
Graph depicting scam increase in Vermont
Source: Consumer Assistance Hotline- Atty. General TJ Donovan

9. Robert’s complaint In his complaint, Robert… Identified the business
Provided contact info for himself and the business
Described the problem
Included photocopies of relevant documents

10. Remove financial info and personal info (SSN) before submitting
Any info sent to the Attorney General’s Office will be considered public record and will be shared with the business against which you’re complaining.
Remove financial info and personal info (SSN) before submitting
Send only copies
File a complaint even if you haven’t lost money, but suspect a scam, or to report a business for unfair or deceptive acts
Your complaint may also be shared with others, so information such as account numbers should be blacked out.

11. After filing his complaint…
The Attorney General’s Office contacted the supplier (store) and informed the supplier of Robert’s complaint.
The store agreed that the ad did say $49.99, so they offered Robert the shoes for $149.99
Robert’s complaint was closed.

12. OR After filing his complaint…
The store said “too bad, so sad” and refused to honor the price of the ad.
At the same time Robert filed his complaint, 20 other people filed a similar complaint
The Attorney General’s Office took action against the store after realizing there was a pattern of unfair and deceptive acts and practices.
The Attorney General’s Office has the ability to take action against bad actors. While the AG may not always take action, when the AG starts to see a pattern of bad behavior, it is important to intervene to protect the State as a whole. This is why it’s important to file complaints- 1. to try to protect your rights as a consumer and 2. to help the state identify bad actors.

13. Consumer Rules to Live by
Research companies
Read the fine print
Remember your rights
Reconsider the purchase
Report fraud
Remember the five “R’s” to protect yourself in any consumer transaction:
Research companies and charities before doing business with them: Check complaints filed with the Attorney General’s office and check reliability reports developed by the Better Business Bureau,
Read the fine print: Look for exclusions and limitations, refund policies and cancellation procedures. Make sure you agree to all the terms and conditions before you sign anything or make a payment.
Remember your rights: Ohio law protects you from unfair and deceptive business practices. To learn more about your rights, check out the materials provided, visit our Web site, or call our help center.
Reconsider the purchase: Take your time before signing a contract or making a big purchase. Talk to trusted family members, friends or teachers to help determine if you will benefit.
Report fraud: If you suspect a scam, file a complaint with the Ohio Attorney General’s office. Your help is critical. Information you provide in a complaint could serve as the basis for an investigation or even a lawsuit against a company that’s violating the law.

14. Review Questions
Who should consumers contact first to resolve complaints?
Where else can consumers go to file complaints? 1.
Contact the company first to give it a chance to correct the problem. 2.
The Vermont Attorney General’s Office at Online: Vermont Attorney General - William Sorrell
Consumer Hotline:  Toll Free In VT (800) or (802)

15. The 5 Things Product Packaging Should Do
1. Stand out. You need to make your brand the consumer’s signpost to the category.
2. Be Simple. Simple design is more effective.
3. Pass the five-year-old test. If you can describe your brand to a five-year-old, send them into a store to find it, and actually get it, your packaging creates an iconic connection.
4. Trigger emotional engagement. Consumers act when a brand makes them feel something. 
5. Create iconic assets. The best packaging creates a series of visual equities, a sort of tool kit that can be transferred to every form of consumer communication. Coke® is a master of this.

16. Fair Packaging and Labeling Act enacted in 1967
Directs the Federal Trade Commission and the Food and Drug Administration to issue regulations requiring that all "consumer commodities" be labeled to disclose net contents, identity of commodity, and name and place of business of the product's manufacturer, packer, or distributor.
Basic Requirements: The FPLA requires each package of household "consumer commodities" to bear a label on which there is:
a statement identifying the commodity, e.g., detergent, sponges, etc.;
the name and place of business of the manufacturer, packer, or distributor;
and the net quantity of contents in terms of weight, measure, or numerical count (measurement must be in both metric and inch/pound units).