• Report: #173600

Complaint Review: StoresOnline - Stores Online-a Imergent .

  • Submitted: Fri, January 27, 2006
  • Updated: Thu, May 18, 2006

  • Reported By:Penticton British Columbia
StoresOnline - Stores Online-a Imergent .
754 East Technology Ave Orem, Utah U.S.A.

StoresOnline - Stores Online - Imergent ripoff dishonest misleading misrepresentation product dissatisfaction services not rendered unethical decitful exorbitantly overpriced ineffective tools bad company bad procucts Orem Utah
Rip-Off Report Investigation: shows that StoresOnline & iMergent is fulfilling its commitment to provide excellent customer service. Rip-off Report gives StoresOnline a POSITIVE rating in customer support and quality assurance. StoresOnline pledges to resolve complaints and address any issues from the past, present and in the future - committed to 100% satisfaction - whatever it takes say company executives.

*Consumer Comment: It looks like I'm getting a refund....FINALLY!!!!

*Consumer Comment: Update about Don Danks returning emails - What does it take to get a refund from these people?

*Consumer Comment: Don Danks Has Not Returned My Emails

*Consumer Comment: This company is holding info sessions in Ottawa this week!

*Consumer Comment: me too

*Consumer Comment: Don Danks has not returned my calls

*Consumer Suggestion: I received a refund!

*Author of original report: StoresOnline, Imergent Inc, to loose affilitation with RIBO

*Author of original report: Securities and Exchange Commission (SEC) are investigating

*Consumer Suggestion: I was called by these guys to remove my ad!

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This company solicited business from my community Dec 8, 2005 in Penticton BC and again on Dec. 20, 2005, in Kelowna BC Canada.

Following an intriguing 3 hour presentation in Penticton, I attended an intensive, overwhelming full day educational workshop in Kelowna BC, where many participants signed up for the irresistable, highly enthusiastic, highly motivational, no-brainer, be in business tomorrow scam.

No one could not leave that workshop feeling utterly overwhelmed and exhausted with the fast pace, fast talking flood of information that lead one to believe they could easily tap into a lucrative business. There were no breaks, the profesional presentation of internet educational information was non-stop, even through the serving of lunch. There were no bathroom or toilet breaks. The volume and speed of information was likened to someone turning a fire hose on you.

At the end of the day, under duress, I signed up for 6 e-commerce web sites, complete with shopping carts and training tutorials that would guide one through the steps to set up e-commerce store fronts.

Their final words to those of us who signed up were to go home, take a good few days rest, and once refreshed, the first two things to do: read the Getting Started packet and look at the DVD. Never did anyone tell me to review the licensing agreements and the accompanying documents. I understood these were implemented a long way down the road, once you had done your research, found you market, your supplier, and were ready to build your storefront. As a matter of fact I just read them on Jan 23,and was shocked to see that each store front has an annual maintenance fee of $2500.00 in addition to the monthly hosting fee of $24.95. They had disclosed this fee at the presentation. We had been told, under this special offer, being offered, today only, the maintenance fees were being waived.

Never was it discussed or revealed that the product was non-refundable, non-cancellabe. Never did anyone bring our attention to the clause that says it was refundable only for 3 days from the time of signing on. (Given the documented record of this company, it appears they do not honor the 3 day clause anyway.)

With the passing of Christmas and New Years, I started to seriously look at all of the information. That is when I happened upon the 3 day clause. Reading about the arbitration made me a little uncomfortable but I shunned the "red flag" that went up ...nothing I could do about it now, I was a good 12 days passed the time of signing, which would mean, 9 days late for the 3-day clause, given Christmas and holidays factured into that time. All I could do was to stay posivitive and dig into their data bases and figure out what it was I was going to do with my e-commerce store fronts.

Well a whole lot of research later, a few more red flags, Jan 23, 10:30 p.m., I decided to check the BBB...having just learned about the importance of this from suppliers I was reasearching, and I was horrified, I could not even finish reading the report, I felt so sick.

I immediately phoned my credit card to stop payment, a little late but I am expecting a dispute letter from them any day now and hopefully will win the dispute.

At the credit cards direction, I sent the company a letter with the subject title: "Wanting to Return my Licenses" and the letter was returned to me via an auto responder stating I was a spammer and had been added to their Spammers List. I was stunned and terrified, what kind of a company is this? They won't even accept my letter! I immediately phoned the credit card company again and they said then they would send out a letter of dispute.

I then went to the RCMP, my binders, my newly purchased lap top in hand, to have them investigated for fraudulent practises. The RCMP did a check on thier computers and returned with a few print offs, this web site being one of them, and said unfortunatley this company, as bad as their reputation is, had not done anything criminal.

After several attempts, my letter "Wanting to Return my License" was finally delivered. The live online chat services both proved to be unavailable or unable to deliver a service. Only at my persistence and "due diligence" did my mail finally get delivered.

In my letter to the company I informed them that I was dissatisfied with the product, that I was disillusioned with their company. That they had lost all credibility with me and that I insist on a RA# and a full refund of my $7,065.72 It is a no-brainer, who could do business with the reputation they have as presented in the Orem, Utah Better Business Bureau Report?

Their return letter to me dated Jan 25, 2006 stated: "the purchase you made was done so on a non-refundable, non-cancelable basis. This is stated several times in normal and large sized print on your order form, and again throughout all of your purchase paperwork." I have requested copies of this paperwork as I cannot find and have not seen this. To date they have not forwarded the information. They did send a return e-mail saying: "below is the list of all your ommunciations with Help, including your questions and answers to them." That is their answer to my request for copies of the documentation? Again, proof that they are incapable of rendering a service. A service that comes with a $7000.00+ price tag!

I feel the need to inform others about the presence of this company doing business in My Country, My Province, My Penticton. I have sent letters to the BC Attorney Generals Office, the BC Securities Commission, the BC Business Practises and Consumer Protection Authority, the Vancouver Better Business Bureau that serves the BC mainland, the City of Penticton, the Penticton Chamber of Commerce, the City of Kelowna, the Kelowna Chamber of Commerce and finally the luxurious hotels/resorts that host these characters: The Penticton Lakeside Resort and The Kelowna Grand Okanagan Resort.

This company has such a documented history of misrepresentation and deceitful dealings. Why are they allowed into our communities? Why are we allowing them to solicit valuable dollars from our communities?

I have sent all of the above named agencies an e-mail from this web site, in particular the page submitted Dec. 29/05 from Heather in GTA, Ontario, looking for other Canadians for a nationwide lawsuit. I have made all agencies aware that there are 342 entries on ripoff.com and I have sent all agencies a copy of the Better Business Bureau Report from Orem, Utah. Surely something needs to be done.

I have had a response from the Vancouver BBB recommending I file my complaint with the Orem, Utah BBB. I will do this.

I have had a response from the BC Securities, based on the information I provided, they cannot conclude that a violation of the Securities Act has taken place. (not sure, maybe I need to re-visit what I provided them with, what could I provide that would make them more interested?) They state "your investment does not appear to be in a security under our jurisdiction." (Any feedback or direction from others will be appreciated.) They have referred me to the Business Practises and Consume Protection Authority.

It is important to understand that in contacting these agencies I am not looking for their involvement in my personal situation with StoresOnline, but on a more broader perspective of why is this company allowed to be doing business in our country, our provinces, our communities? Surely there are laws or licensing terms that can regulate their presence or make business so difficult for them that they cease and desist.

I have had a response from the Businsess Practises and Consumer Protection Authority (BPCPA). They are unable to intervene or assist as this is out of their jurisdiction. This is a business -to-business dispute not a business-to-consumer dispute. Similarly, as per the BBB report from Orem, Utah, the consumer protection offices in the US have also concluded that the transaction that has taken place is one of a contract between a seller and an individual for the purposes of entering into busiess and is therefore a business-to-business transaction.

However, the BPCPA has also stated they are aware of the concerns regarding this company and have been in communication with law enforcments offices locally and nationally and have been advised to refer such complaints regarding Storesonline to the Competiton Bureau. I will follow up with them.

I will keep you posted as I learn more.

Penticton, British Columbia

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This report was posted on Ripoff Report on 01/27/2006 04:14 PM and is a permanent record located here: http://www.ripoffreport.com/r/StoresOnline-Stores-Online-a-Imergent-/Orem-Utah-84097/StoresOnline-Stores-Online-Imergent-ripoff-dishonest-misleading-misrepresentation-pr-173600. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.

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#1 Consumer Comment

It looks like I'm getting a refund....FINALLY!!!!

AUTHOR: Misty - (U.S.A.)

Today, I received an email from Mari Silva (msilva@storesonline.com:


I was forwarded the email that you sent to Don Danks and have read and discussed your response to me with the upper management team. We have therefore, decided to offer you a cancellation and refund on the basis that we cannot know for a fact that you were told verbally about your three-day right of rescission. Although we believe we did abide by all the laws and statues of your state, we want to make sure and find resolutions to every concern that any of our merchants may have. In your case, we feel you would be best served by us offering a cancellation and refund your purchase. I have attached a release form that will need to be signed, dated and returned to us within the time frame specified in order for us to complete this request for you. Please contact me directly if you have any questions or concerns.

Mari Silva
Customer Relations
StoresOnline Inc.
Fax:(801) 812-8533
Fax:(888)416-7370 Toll Free

It looks like I have to fill out a form & fax it back, as well as mail in my Stores Online package.....THEN I should receive a check in the mail. Let's hope they follow through. The only reason she finally agreed to the refund is because I've sent in several emails & I think I bugged Don Danks enough that they probably just wanted me to leave them alone. I had sent Mari an email stating that Iowa law requires both written & oral notice during the seminar of a 3-day cancellation policy & I included a link to the Iowa attorney general website where it stated this. On the phone she had told me that I was notified orally, but I was not. In my email, I told her that there was no way she could know if I were notified orally because she wasn't there. If you are trying to get a refund from Stores Online, you may also want to check into the laws of your state, regarding seminars.
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#2 Consumer Comment

Update about Don Danks returning emails - What does it take to get a refund from these people?

AUTHOR: Misty - (U.S.A.)

Don Danks did finally return my email on 5/10/06. This is what he wrote me:
Misty ? I'm sorry I didn't get back to you sooner; I was out of the office for most of the last week. I am sending your message on to Sean Guy, our head of customer service and he will work with you. I am sorry for your experience, but I am unaware of the specific challenges you've faced. Sean will be able to look up all that has happened with your account and work through this with you. I am copying Sean on this email and he or one of his top people will be directly in contact with you in the next day or so. If for some reason you don't get a contact from us, please email me back and I'll get more involved personally.

Also, I'm not sure if you're aware that we are willing and fully capable of completely programming your site for you. StoresOnline is a hosted software program and it is fully operational, that is, if it didn't work for one person, it wouldn't work for anyone since all of our clients access the same software from our servers. Sean can go through this with you, but again, I'm sorry for your frustration. Take care and do write back if you don't get a response in the next day or so.

Don Danks

The email address for this Sean Guy is sguy@storesonline.com. I did a reply-all on this email, letting them know that I had just filed a complaint with the Iowa Attorney General & would be happy to cancel that complaint if offered a full refund from Stores Online. I thanked him for getting back to me. I also quoted the attorney general website about Iowa law stating the 3-day cancellation policy must be stated both orally & in writing at the seminar. I mentioned that I was not orally notified of the 3-day policy which, according to the attorney general, allows the consumer to request a refund after the 3 days. I did not receive a response to my email. I told them "I am not interested in using or keeping the product. I am only interested in a full refund. This product is not a good fit for me."

I emailed Don & Sean again today requesting a response. I was then contacted by phone, by a Mary Silva (msilva@storesonline.com). She then gave me the same answers I received the 1st time I spoke to a customer service manager, which is that all of my problems can be resolved by them & my complaints do not warrant a refund. She has asked me to send her a list of things I wanted the website to be able to do for me (because I had complained about customizability & being misled), so she can go through one by one, & see if their website can do it. If not, she said THEN it might warrant a refund. I may try to do that this week. When I told her I had submitted a complaint with the attorney general, she stated that those complaints come through her & she will tell the attorney general that she has already offered to resolve my problems & that I was unwilling to accept that (because I just want a refund at this point).

I plan to email Don Danks again today, referring to the previous rebuttal in here where his email stated he would try to help anyone with complaints or even buyer's remorse, & tell him about my conversation with Mary.

What does it take to get a refund from these people? I've been going back & forth with them for 3 weeks now & getting nowhere!
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#3 Consumer Comment

Don Danks Has Not Returned My Emails

AUTHOR: Misty - (U.S.A.)

After reading this report, I also tried to contact the CEO of ImergentInc, Don Danks. The phone # listed in this report has been disconnected. I noticed his email address (ddanks@imergentinc.com) on this report also & have emailed him twice requesting a refund. I did not receive any delivery failure notices, so I'm assuming it's a valid email address. I have received no response. Has anyone found a valid phone # for this guy? I too have been unsuccessful with my refund request to Stores Online customer service.
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#4 Consumer Comment

This company is holding info sessions in Ottawa this week!

AUTHOR: Johanna - (Canada)

Thanks for all the other posts.

I hope everyone that has received invitations in the mail for this company's information session in the Ottawa area this week is doing their homework on the internet!

This company sounds scary. It's amazing!
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#5 Consumer Comment

me too

AUTHOR: Lynne - (U.S.A.)

I too fell for stores online. I read this took the number to Don Banks 949-300-5233 and guess what? I is not a working #.
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#6 Consumer Comment

Don Danks has not returned my calls

AUTHOR: Noreen - (Canada)

Has Don Danks called anyone else yet? Or are we continuing to get the run around by Mr. Danks. I am still gathering information on his fraudulent and deceitful business practices.

My credit card company is still standing behind their merchant agreement, but I'm working on it. Having a terrible time, but I am going to keep fighting.

Thanks for your help and support. Keep the advice coming, I really appreciate it.
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#7 Consumer Suggestion

I received a refund!

AUTHOR: Jeannie - (U.S.A.)

After reading Nancy's ripoff report, I decided to call the CEO of Stores Online, Don Danks, to see if he would ever call me back to help me with my problem.

I called him on 2/5/06 and left a voice message on his cell phone.

On 2/6/06, to my surprise, Don Danks called and left a message to call him because I wasn't home to answer his call.

That same night, we spoke. I told him that the products that I purchased from Stores Online wasn't right for me. I purchased 3 websites with the ECI and Link4trade for $3898.00. I told him that I tried to get a refund from the supervisor but they said no because it was passed the three days cancellation.

Don told me that he will take care of it and promised me a full refund. He told me that he will contact his head of customer service to start the refund process.

On 2/14/06, my credit card company told me that I received a refund back from Stores Online.

Don Danks can help you too if you call him. He told me that out of the 4 years he's posted his cell number, only about 3 people ever did call him. He was very polite and understanding and he kept his word to give me a full refund.
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#8 Author of original report

StoresOnline, Imergent Inc, to loose affilitation with RIBO

AUTHOR: Nancy - (Canada)

Advocacy works! RIBO (Registered Insurance Brokers of Ontario) withdraws their approval of StoresOnline Internet Marketing Workshops and advises them to immediately remove any reference of RIBO from Imergent's website. RIBO is to be congratulated on their exemplary behavior. They have restored my faith in business ethics and integrity. Now if only Imergent and StoresOnline could do the same. My prayers are out there.

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#9 Author of original report

Securities and Exchange Commission (SEC) are investigating

AUTHOR: Nancy - (Canada)

In response to the Consumer Reply:

Why, if Mr. Don Danks was sincere in his offer, why hasn't he contacted me? The ball is in his court. He says he contacts everyone? He has not contacted me, myself or I. Could it be becuase he has bigger fish to fry?

Check out the Salt Lake Tribune article updated 1/31/2006 re: Orem's Imergent misses another filing deadline by Bob Milne. Here is the link: www.sltrib.com/portlet/article/html/
fragments/print_article.jsp?article=3463017 or do a Google search of Imergent Inc. and one of the first listing is this news report.

The Securities and Exchange Commission (SEC) are investigating account statements of income for 2003, 2004, 2005 and the first 2 quarters of its current 2006 fiscal year. Imergent Inc. acknowledges it is having "revenue recogniton-related problems."

The news release states: "Imergent, which sells its Web site software and services through seminars, also is the target of numerous proposed class-action lawsuits filed in Salt Lake City's U.S. District Court. The complaints include allegations of securities fraud and violation of accounting practices that plaintiffs contend led to materially inaccurate financial results over the past four fiscal years."

Further the report atates that "Imergent ran afoul of Australian consumer protection officials, and last November agreed - without admitting any guilt - to a settlement of a $460,000.00 settlement of a Texas state fraud complaint.

Finally, the report states, "Investors, who have watched their Imergent stock bounce from a high of $26.50 per share in the past year, saw a close at $5.45 on Tueday, down 6 cents."

I place a call to my broker today seeking reassurance that I did not own any stock via a mutual fund with Imergent Inc.

Otherwise, I'm busy bringing all of my information into a semblance of understandable order. I am filing with the Competiton Bureau in Canada who are very interested in this company and its conduct in our country.

As well I am asking Goldhawk, www.goldhawk.com; for his valuable input. He solves problems, chases bad guys and fights for change. He is a Canadian icon.

Back to Mr. Don Danks: if sincerity and integrity is the name of the game, why has he not contacted me with his olive branch?

I am still waiting for requested information from customer support at StoresOnline...further proof they cannot deliver on service and support.

I see by the tracking number, that my return package to to StoresOnline was received but refused and is on its way back to me. Perhaps it will useful as evidence in a court of law.

On another note of update, I received my letter of dispute from my Credit Card company and sent 80+ pages of documentation to them yesterday, the very day I recieved the dispute letter.

By the way, your rebuttal led me to take another look at Imergent Inc. Corporate web page. In the newsroom there, I was shocked and horrified to find that the RIBO (Registered Insurance Brokers of Ontario) have affiliated themselves with StoresOnline Internet Marketing Workshops. RIBO members can earn 7 Continuing Education Units by attending SOL workshop!

I am very dismayed at this, coming from an insurance background myself and now having been briefly involved with SOL. A BIG mistake on behalf of RIBO as they regulate the licensing, professional competence, ethical conduct and insurance related financial obligations of all independent general insurance brokers in the province. How could they possibly align themselves with this company? What were they thinking?

On another note of interest, I found this report on an Alexa search for Imergent Inc. Site: http://members.aol.com/mhenzel182/iig.htm

Therein it states: "A class action lawsuit was filed in the United States District Court for the District of Utah on behalf of purchsers of Imergent, Inc. (AMEX: IIG) pubicly traded securities during the period between November 30, 2004 and Febgrurary 25, 2005 (the class period)."

Further: "the complaint alleges that through out the Class Period, Imergent represented to the invesment community that it was a successful software company while concealing that its sales practices violated the laws of many of the states it operates in and the full extent of the uncollectibility of its installment contracts with its client, many of which did not meet the Company's own credit ciriteria. On February 22, 2005 it was disclosed that the Texas Attorney General had filed suit against Imergent, the Company's Chairman, Donald L. Danks (Danks), and the Company's President, Brandon B. Lewis, alleging the Company's wholly owned subsidiary, StoresOnline.com, was selling defective storefront software and service packages and extorting thousands of dollars in additional "executive mentoring" fees from its customers when they could not use the software packages. In addition, Danks admitted at an investment conference held on February 25, 2005, that Imergent had been selling the software packages in installment contracts to customers with subprime credit. Many of these customers had little or no success with the Company's software and simply walked away from their contractual obligations when new online "businesses" failed. Danks admitted that in the aggregate, only approximately 56% of the purchase price was eventually collected from these subprime customers through installment contracts."

Further: "According to the complaint, as a result of defendants' false statements, Imergent's stock traded at inflated levels during the Class period, increasing to above $25 per share on February 9, 2005, at which time the Company's top officers and directors sold or otherwise disposed of more than $6.5 million worth of their own shares. As the market digested this news, the Company's stock price plummeted from its class period high of over $25 per share on February 9, 2005 to below $12 per share on March 1, 2005, when trading was halted.

As the saying goes: What you sow, you reap. I only hope that all of us "customers" see our day in court when we are reimbursed for our losses. Perhaps we will be entitled to pain and suffering as well.
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#10 Consumer Suggestion

I was called by these guys to remove my ad!

AUTHOR: Mr. - (U.S.A.)

Since the company I work for builds website UsellCorp.com and connects people to dropshippers, we get calls from people who have joined StoresOnline. Once these people realize what they can get from us, they feel like they have been ripped off.

I then tell them to go here and file a complaint along with hundreds whom have already done so.

We ran some ads in Goggle and other SE's letting people know of their reputation, so one day I got a call from a man representing himself as Dan Danks ( See Email Below) Mr. Danks told me that he wants to help all those people who think they were ripped off and wanted me to remove the ads. I agreed to remove the ads as long as they change their business practices and send me an email with his information so those people can contact him.

Below is that email I was sent from Mr. Danks. We are still getting many calls from clients of StoresOnline, so at least now you have Mr. Danks contact information. I called his cell phone below yesterday January 31, 2006 and it is still in service.

Hopefully he wi8ll keep his word, if not then Post it here -

Date: Tue, 14 Jun 2005 09:47:31 -0700 Download StoresOnLine.msg
From: "Don Danks" Import addresses ddanks@imergentinc.com Block email ddanks@imergentinc.com Block SMTP Relay ylpvm01.prodigy.net
Subject: StoresOnLine All headers
All attachments

Just a brief email to follow up our conversation - -

Imergent, Inc. (AMEX TRADING SYMBOL: IIG) iMergent provides eCommerce solutions to entrepreneurs and small businesses enabling them to market and sell their business product or idea via the Internet.

We are headquartered in Orem, Utah the company sells its proprietary StoresOnline(TM) software and training services, helping users build a successful Internet strategy to market products, accept online orders, analyze marketing performance, and manage pricing and customers.

In connection with our software, we also offer site development, web hosting, marketing and mentoring products. We typically reach our target audience through a concentrated direct marketing effort to fill Preview Sessions, in which a StoresOnline expert reviews the product opportunities and costs. We will hold about 2700 of these two hours Previews this year and these sessions lead to a follow-up full day Workshop Conference, where product and technology experts train potential users on the software and encourage them to make purchases. We will conduct about 750 to 800 of these in the U.S. and internationally.

From time to time we have customer complaints and we want to solve 100% of these. To that end, I would like to have anyone who contacts you complaining that they felt like they have been misled or even just have buyer's remorse, to call me personally at 949-300-5233. That is my cell phone and I take all my own calls.

I would like you to take down the link from Google - http://www.google.com/search?hl=en&q=storesonline&btnG=Google+Search that leads to http://www.usellcorp.com/ripoff.htm . I have been personally contacting anyone who posts on Rip-Off report and to date ONLY one person has contacted me back and I resolved their issue is two minutes. This forum and other internet sites are used PRIMARILY by what I believe to be short sellers in our stock trying to create havoc and uncertainty to get people to sell the shares in our company that will create a nice profit for the short seller. We have been battling these folks for a long time. They contact newspapers, TV stations, etc. and lead them to the few Attorney General inquiries and all the Internet complaint sites and have gotten several to print negative stories.

The newspapers and TV reporters, who contact us, get the full picture and do not run their stories. The lazy ones think they have a great consumer rip off story and run with it

We run our business ethically and with full disclosure. From time to time we have had Attorney General Inquiries and a few who have thought we sell business opportunities. In every case, we educate them and get resolution.

I've attached a PowerPoint on the company including a profile of our technology and you can visit some merchant sites at www.imergentinc.com.

In addition to getting you to remove the link, there may be a business relationship.

Please have your President/CEO contact me at 949-300-5233.


Don Danks


Imergent, Inc.

--------- end ------------

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