The reason you got pressured to sign the document is that any telephone sale for over $500 is non enforceable without a signed contract. I got a call from Cambridge Who's Who the other day trying to sucker me into the same type of scam. My friend got a call from Stanford Who's Who a week ago and gave them her CC info. She called back not even 10 minutes later to cancel and they said she couldn't - wrong - under NY state law she was not in possession yet of any materials and she was allowed to cancel. Both Cambridge and Stanford Who's Who are based in the state of New York as are many of the other Who's Who scams. Below is some content on New York state law regarding contracts that might be of help to anyone else that has been scammed by these organizations.
Both Stanford Who’s Who and Cambridge Who’s Who are located in the state of New York. This is important because under the New York Uniform Commercial Code (U.C.C.), the statute of frauds requires all contracts for the sale of goods with an underlying value of five hundred dollars ($500) or more to be in writing, or the agreement is not binding on the parties. Further, telephone agreements with a total value of five hundred dollars ($500) or more without a subsequent written contract are not enforceable. I’m sure this is one of the reasons that these pushy sales folks from Standford, Cambridge, and other Who’s Who organizations are so willing to drop their price to $199 and then to $99 – because it falls under the $500 limit.
“Cooling-Off” Law
Under the Federal Trade Commission's Cooling Off Rule, a consumer has until midnight of the third business day after a contract was signed to cancel either of the following:
· door-to-door sales contracts for more than twenty-five dollars ($25), or
· a contract for more than twenty-five dollars ($25) made anywhere other than the seller's normal place of business--for instance, at a sales presentation, at a hotel or restaurant, outdoor exhibit, computer show, or trade show (other than public car auctions and craft fairs).
Under the “Cooling- Off Rule,” after the buyer has cancelled a purchase, the seller has ten (10) days to:
· Cancel and return any promissory note or other negotiable instrument signed by the buyer;
· Refund all of the buyer’s money and inform the buyer if any products in their possession will be picked up; and,
· Return any trade-in.
Within twenty (20) days, the seller must either pick up the items left with the buyer, or reimburse the buyer for mailing expenses, if there was an agreement to send the items back. If the buyer received any goods from the seller, the buyer must make them available to the seller in as good condition as when the goods were received. If not, or if the buyer agrees to return the items but fails to do so, the buyer remains obligated under contract. Complaints about sales practices involving the Cooling-Off Rule should be directed to the Consumer Response Center, Federal Trade Commission, Washington, D.C. 20580.
There is no general “cooling-off” law in New York. Therefore, consumers should be very wary of ANY salespeople calling from any company based in the state of New York attempting to sell them services. Below are 2 rules within the state of New York regarding those types of memberships that can be cancelled. One could consider that membership in Who’s Who is similar and should fall under the same rules and if pursued in court will likely find in favor of the person wanting to cancel.
· Membership Campground Contracts.(May be cancelled within three (3) business days after the date of receipt by the buyer of a copy of the written contract.)
· Social Referral (Dating) Services. (Consumer has three (3) business days to cancel the contract.)
