SUBMITTED: Wednesday, September 07, 2005
POSTED: Wednesday, September 07, 2005
BBB Reliability Report
The Better Business Bureau
Serving Utah
5673 South Redwood Road #22
Salt Lake City, UT 84123
Storesonline Inc
754 East Technology Ave
Orem, UT 84097
Telephone: (801) 434-8582
Fax: (801) 226-8848
The BBB reports on members and non-members.
Original Business Start Date: January 2002 Incorporated: April 2002, DE
Principal: Mr. Brandon Lewis , President Employees: 97
Service Contact: Mari Silva , Customer Relations File Open Date: June 1993
msilva@storesonline.com
TOB Classification: Training Programs, Internet Marketing Services, Internet Web Design
BBB Membership: This company is not a member.
Additional DBA Names
Galaxy Mall Inc
Imergent Inc.
Government Actions
StoresOnLine has sold services and e-commerce sites on a non-refundable basis because they defined their product as a ?business-to-business? service. However, many states have re-defined the area of law that distinguishes consumer transactions, from business to business transactions.
On June 16, 2003, StoresOnline signed a Consent Agreement with the State of Maine, Office of Securities. It was agreed that StoresOnline shall not sell, offer to sell, advertise or undertake any other act in Maine relating to the promotion of products or services similar to those sold by StoresOnline without first registering pursuant to Regulations and otherwise fully complying therewith. StoresOnline shall not hold any workshops, seminars, conferences or similar events in Maine without first providing notice to Office of Securities at least 60 days in advance.
In December 2003 StoresOnline altered their refund policy to add a 3-day right to rescind for all new customers. The change in policy was at least in part a pre-emptive response to legal actions initiated by the State of California.
On April 7, 2004 Imergent, Inc., doing business in California as StoresOnline Inc., entered into an agreement to answer concerns raised by the State of California through a Stipulated Final Judgment and Permanent Injunction in Superior Court of the State of California, County of San Mateo.
The primary terms of the agreement require that Storesonline: a) offer a 3-day right to rescind in a manner prescribed by California law and the agreement, b) pay $102,333.19 in refunds to 42 purchasers of Storesonline products as identified by the State of California, c) provide customers a list of all additional and optional services that can be provided at the option of consumers prior to the execution of a contract, and d) that Storesonline continue to disclose that knowledge of and access to a computer is required to utilize its products and services.
On January 19, 2004, the Washington Department of Financial Institutions,Securities Division and Respondents, Imergent,Inc., StoresOnline, Inc., John J. Poelman, Brandon Lewis, Donald Danks,
and Charles Andrews entered into Consent Order number S-03-010-03-CO01.
The Division alleged that Imergent and StoresOnline were in the business of selling Internet merchant packages, which allowed investors to begin a business and make money by acquiring a presence on the Internet and by marketing their products through the Internet. The Division alleged that Respondents violated the Business Opportunity Fraud Act's registration
and anti-fraud provisions. Allegations included failure to register and failure to provide the required contract language and disclosures.
Respondents neither admit nor deny the Findings of Fact or Conclusions of Law, but agree to cease and desist from violations of the registration and anti-fraud provisions of the Business Opportunity Fraud Act. Respondents waived their rights to a hearing and judicial review of
this matter.
On February 22, 2005, Texas Attorney General filed a lawsuit against StoresOnline alleging misrepresentation of all fees and charges involved. This case is currently pending and will be updated as more information becomes available.
The Australian Competition and Consumer Commission has instituted legal proceedings against StoresOnline International Inc, Galaxy Mall Inc and a Gold Coast resident, Mr Brett Perkins, alleging they have been engaging in misleading and deceptive conduct and other contraventions of the Trade Practices Act 1974 over the sale and promotion of home business e-commerce software packages.
On June 1, 2005, the ACCC obtained an injunction preventing StoresOnline and Mr. Perkins from transferring funds outside the jurisdiction of the Australian Courts, pending further hearings. Additionally, the ACCC obtained an order that, prior to the commencement of all remaining seminars or workshops conducted by the company in Australia, that StoresOnline inform participants of the proceedings restraining StoresOnline from making misleading or deceptive representations.
This case is currently pending and will be updated as more information becomes available.
Report as of September 7, 2005
Copyright© 2005 Better Business Bureau®, Inc.