A Guide for Elders: Planning That Protects You and Your Assets, Chapter 8
WHAT IF I GET “RIPPED OFF”
AS A CONSUMER?
DO ELDERS GET “RIPPED OFF”MORE THAN OTHER PEOPLE?
While most people in business are honest, there have always been thieves, con men (and women), scam, bunko, and rip-off artists. While their scams may vary, they have one thing in common: they choose their victims carefully, targeting vulnerable people, with, of course, money or property to take. Regrettably, elders are more often the targets and the victims. Many scammers have invested much time, money, and guile in creating ways to rip off elders.
Elders can make good targets, because often certain characteristics are present. The person:
• has “nest egg” money available • is too trusting or courteous • is physically weaker • is lonely or looking for attention • is home alone • is unwilling to report being victimized • is unwilling to compromise on issues where his or her independence is being questioned or threatened.
While these factors do sound stereotypical, there appears to be enough truth in the perceptions that scam artists do, in fact, target elders.
HOW CAN I AVOID BEING THE VICTIM OF A CONSUMER SCAM?
You can avoid consumer scams by using common sense and good judgment, and by learning about scam artists and their tricks. An educated and wary consumer is far less likely to be a victim, and follows these suggestions. He or she:
• deals only with reputable people or companies • checks the reputation of the person or company, if unknown • does comparison shopping, gets more than one estimate • does not sign blank forms • does not sign for more than he or she can afford • is wary of “free” gifts which require the purchaser to pay “shipping and handling charges,” “redemption fees,” or “gift taxes” before delivery • resists high-pressure sales tactics to “ACT NOW” — is not afraid to say “NO” over the telephone, or hang up • refuses to do business with people or companies who will not provide written material about the company or the product • is wary of “bait and switch” tactics, where the purchaser is lured by the offer or promise of one thing, and then are showed another • remembers that if he or she signs a contract, the law allows a grace period of three days in which the contract can be rescinded or canceled • invites a friend or relative to be present when a salesperson is coming into his or her home • never gives personal information, like bank or credit card account numbers, or Social Security numbers, over the telephone • is wary of getting something for nothing, or a deal “too good to be true.”
Remember that if it sounds too good to be true, it probably is.
HOW DO I DECIDE WHERE OR WITH WHOM TO DO BUSINESS?
Most likely, you have developed your own way of knowing how to select where you shop, or what people you hire to do work or provide services for you. If you are thinking about hiring or doing business with someone new, ask people you know and trust for a recommendation of someone they have done business with, and where the results were satisfactory. Once you find someone you are ready to settle on, check with the Better Business Bureau, or the State Attorney General’s office to see whether complaints have been lodged against the person you are considering.
WHERE DO I GET HELP IF I AM RIPPED OFF?
If you are a victim of an unfair or deceptive business practice, or an outright scam, you owe it to yourself and other potential victims to do something about it. You should report your bad experience to the Better Business Bureau or to any authority that controls or licenses the wrongdoer. You may file a complaint with the Attorney General’s Office; a complaint form is found following this chapter. (The Attorney General’s Office cannot accept complaints over the phone but you can call the Consumer Complaint Section at 617-727-8400 and request a complaint form.) If the conduct you complain of rises to the level of criminal conduct, you may want to file criminal charges. (Read Chapters 9 and 10 for more information.) If you do not believe or are told that no criminal conduct is involved, you may sue in civil court to get your money back, and maybe more, if you are entitled to additional damages. For example, the person you are suing may be liable to you for multiple damages and may have to pay your attorneys’ fees.
HOW CAN I SUE A DISHONEST VENDOR?
Massachusetts has a very strong Consumer Protection Law, found in Chapter 93A of the Massachusetts General Laws, which forbids anyone in business to engage in any unfair and deceptive trade practice. If you feel that your vendor has committed an unfair and deceptive trade practice, you should write a “demand letter,” which sets out your complaint and clearly states the relief that you are demanding. Following this chapter, you will find a sample of what a 93A demand letter should look like. If the vendor does not respond to your letter, or makes an inadequate response, after 30 days you may file a complaint in court. As part of your complaint, you may request treble your damages if you can show that the vendor’s conduct was knowing and deliberate. You can also sue for reasonable attorney's fees, if the conduct of the vendor is willful. If the amount that you are suing for is less than $1,500, you can bring the complaint yourself in the Small Claims session of the District Court for the area in which you live.
You should always report the matter to the Attorney General’s Office so that they have your report on record for the benefit of any future consumer looking for information on the vendor you have had a bad experience with. If the vendor has a bad reputation, and is showing a pattern and practice of ripping off consumers, the Office of the Attorney General may become involved in court action against the wrongdoer.
The Office of the Attorney General publishes regulations that govern the conduct of most businesses in the Commonwealth. So, for example, there are regulations governing landlords, nursing homes, merchandising, advertising, and automobile sales and repairs. These regulations often specifically declare certain conduct or practices to be unfair and deceptive trade practices. For example, a landlord may not collect more than one month’s security deposit, which must be held in an interest-bearing Massachusetts bank account. If a landlord fails to follow that rule, he or she is liable to the tenant for having violated that rule, and may be subject to paying damages, perhaps even three times the tenant’s damages, and reasonable attorneys’ fees to the tenant's attorney. Furthermore, the absence of any regulation of the Attorney General addressing a particular unfair or deceptive act or practice does not mean that the act or practice is not illegal under the Consumer Protection Act. The regulations are not designed to address every possible example of impermissible conduct. In summary, be a smart and prudent consumer, and avoid getting into deals where you can be victimized. But if it does happen to you, despite your best efforts, get help and get even.
WHAT IF I WIN THE SUIT BUT CANNOT GET MY MONEY BACK?
If you successfully sue a vendor in court but the Court finds that he or she does not have the income or assets with which to pay your judgment, you may be out of luck, since nobody goes to jail anymore who is unable to pay a debt. If the vendor is “judgment proof” (cannot pay a lawful debt), there is not much you can do, except take some comfort in the fact that you probably helped drive this person out of business.
The significant exception to this rule is if you have sued over a home improvement contract for work done on your own home. Massachusetts law, in Chapter 142A, regulates home improvement contractors and provides protections for homeowners. That law requires all persons or companies who perform “residential contracting” to register with the Home Improvement Guaranty Fund in the Office of Consumer Affairs and Business Regulations. Contractors who register pay fees toward the Fund that, in some cases, may pay a homeowner who wins a lawsuit but cannot collect on the judgment. All the rules of this program are found in C.142A and the state regulations, at 201 CMR 15.00. Before hiring anyone do to work in your home, check with the Guaranty Fund at (617) 727-7755 to make sure the contractor is registered. If so, you know that the contractor is at least complying with the law and, if a problem arises, you have more than just the contractor's "guarantee."
Chapter 8 Exhibits
Sample 93A Demand Letter
Office of the Attorney General: Consumer Complaint FormBack to start of Chapter 8
Back to Table of Contents of A Guide for Elders
On to Chapter 9