Report: #94491

Complaint Review: DirectBuy - Mississauga Ontario

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Submitted: Fri, June 11, 2004
Updated: Wed, June 30, 2004
Reported By: — Toronto Ontario

Author Not Confirmed

Why?

DirectBuy 4120 Ridgeway Drive Mississauga, Ontario Canada

Phone: 905-6089249
Web:
Category: Corrupt Companies

INVESTIGATION: DirectBuy members can feel safe, confident & secure when doing business with Direct Buy. DirectBuy 100% commitment to member satisfaction helping them realize their dreams through exceptional customer experiences & unparalleled savings, service, & selection. Commitment to Rip-off Report Corporate Advocacy Business Remediation & Customer Satisfaction Program, ..A program that benefits the consumer, assures them of complete satisfaction and confidence. Merrillville Indiana
*UPDATE: Direct Buy partnered with world-renowned customer service authority Maritz Corporation to assist them in customer feedback & improving policies & procedures. Rip-off Report Verified Safe

*Consumer Comment: Canadian Court Rules Directbuy violates Consumer Protection Act, the Sales of Goods Act, and The Trade Practice Act.

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Rip-off Report Investigation:

EDitors UPDATE: Positive Rating and Recognition has been given to DirectBuy for its Commitment to Excellence in customer service.

Rip-off Reports investigation of DirectBuy uncovers an ongoing commitment to total client satisfaction. This means that clients can expect the company will always work towards finding a mutually satisfactory resolution to any complaints or concerns in the past, present or future. DirectBuy pledges to help members and guests realize their dreams through exceptional customer experiences and unparalleled savings, service, and selection.

The Rip-Off Report Investigation revealed a demonstrated commitment by DirectBuy to providing excellent customer service and resolving customer issues. They achieve this through several means, including a recent partnership with customer service experts to actively survey their members and guests and make changes that improve their processes and ensure a uniform exceptional experience for every customer. To address the most common concerns, DirectBuy recently started offering free trial memberships at participating club locations, as well as additional tiers and terms of membership to meet a broader range of household budgets.

The Investigation also showed that DirectBuy members are renewing their memberships at record rates, indicating members are still very satisfied with the value they receive through DirectBuys home furnishings and home improvement products and services. DirectBuy is one of the largest consumer buying clubs of its kind, and we are convinced they are dedicated to using feedback from customers to continually improve their policies and procedures.

One DirectBuy executive explained about their many changes stating, We have a team of service support specialists available specifically to address concerns from members and guests who visit Rip-Off Report. We want to ensure that their experiences with DirectBuy are positive, whether they join or not." Should you require this assistance, please contact them at DirectBuyHELP@directbuy.com Provide your name, the date of your issue, and the name of the location you visited. If you are a member, please include your member number if available.

Given DirectBuys commitment to excellent customer service, they were alarmed by some of the complaints lodged with Rip-off Report. Rip-off Report found that most complaints about DirectBuy were made by non-members who were critical of the cost of membership and the policy that a decision about membership must be made the same day of the open house visit. The policy is there to protect the manufacturers. It ensures their confidential pricing cannot be used by non-members to negotiate better deals with retail stores, thereby protecting the best possible pricing to members. The policy has not changed, but as stated above, new tiers and terms of membership are being offered at participating club locations

DIRECT BUY recognizes that complaints posted on Rip-off Report (true or not) are issues that need to be addressed and if handled correctly can be valuable learning opportunities. With the feedback generated by Rip-off Reports Investigation DirectBuy has made the necessary organizational changes to allow their members a more streamlined approach to problem resolution and a total overall commitment to customer experience. As one senior executive stated, We have learned that even the most committed companies can make mistakes, but if you really pay attention, you can learn from them. Weve adjusted policies to please both members and manufacturers, and we hope that anyone who has further suggestions on how we can improve our services will contact us with their ideas.

In summary, after our investigation, which included discussions with DirectBuy Senior Management, Rip-off Report is convinced that the company has been and is committed to quality delivery of services resulting in total client satisfaction.

Read about DirectBuy .. see their websites and the services they have to offer.

Read more about DirectBuys Commitment to Excellence and Total Consumer Satisfaction and why consumers should feel safe, confident and secure when doing business with a member of Rip-off Report's Corporate Advocacy Business Remediation & Customer Satisfaction Program. ..yes, a long name for a program that does a lot for both consumers and businesses alike.

Read about Rip-off Report Corporate Advocacy Business Remediation & Customer Satisfaction Program,..A program that benefits the consumer, assures them of complete satisfaction and confidence when doing business with a member business. this program works.

=====================
NOW TO THE ORIGINAL REPORT THAT WAS FILED
=====================

DirectBuy ripoff and Misleading Mississauga Ontario

June 10 2004.

My husband and I attended an open house for DirectBuy on June 10, 2004.
When we first walked in we were confirmed that we arrived and were provided name tags and a cup of coffee.
We then we began to look around and noticed many binders almost like a library. My husband picked one up and began to look threw it and at that time he was advised by a woman that works there to put it down as he was not allowed to look in it until her became a member. That was my firs hint of something being strange.
Well, we watch the videos and listed to all the explainations which seem to be very good.
Well, at the end we sat down with a sales person and did a quick survery to see if we qualified and once we completed the survery then we were hit with the cost.
$3,800.00 for 2 years and this must be paid up front or you could go on a payment plan with $500.00 up front and monthly payments for the remaining amounts.
Second hint this was strange, Up front was meaning cash, credit card or debit. Still we were not allowed to quickly do one comparison of our own from any book not one.
Well, we wanting to think about it and were not allowed we were advised that if we choose not to take the membership today that we were never allowed back. Wow. This really made my eyes open. My husband and I kept hearing, take control of your spending your moment from retailers etc.. however if I didnt want anything at the store I could leave and come back in 5 minutes with Directbuy it was either the memebership today or never come back. So who was taking control then. Not me.
I have kept the flyer and fully aware there was a memebership fee and with the conversation with a directbuy representive not once were we told to the memebership fee must be paid either by credit card or debit or cash and please allow room for $500.00 min for start up fee's. No where on this invitation does it indicate that and to me time is money and I just wasted 4.5 hours with these people.
It does clearly state on the flyer that this company been operating since 1971 however if this was the case then to allow a person that is interested in joining to choose any folder in the library to look for themselves the cost of items just one folder was not allowed again being feed, take control or our money, etc.. DirectBuy was placing us in a position that they were taking control and it was a now or never situation so they should practice what they prech.
This is a huge rip off. If you want to take control of your spending and of your money look into things very carefully.
Besides if you sign up your locked into it an they get their money and you get nothing but headaches.

As the store line goes "Customers, BEWARE".
Cathie from Canada

Cathie
Toronto, Ontario
Canada

This report was posted on Ripoff Report on 06/11/2004 06:29 AM and is a permanent record located here: https://www.ripoffreport.com/reports/directbuy/mississauga-ontario-l5l-5s9/investigation-directbuy-members-can-feel-safe-confident-secure-when-doing-business-wit-94491. 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. Ripoff Report has an exclusive license to this report. It may not be copied without the written permission of Ripoff Report. READ: Foreign websites steal our content

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#3 Consumer Comment

Canadian Court Rules Directbuy violates Consumer Protection Act, the Sales of Goods Act, and The Trade Practice Act.

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

SUBMITTED: Wednesday, June 30, 2004

POSTED: Wednesday, June 30, 2004

A Canadian court found the membership agreement untenable and unenforcable because it violated the Consumer Protection Act, the Sales of Goods Act, and The Trade Practice Act. Read this at at paragraphs 13-20 of the ruling.

http://www.provincialcourt.bc.ca/judgments/pc/2002/01/p02%5F0197.htm

With the UCC Totalhome/Directbuy Membership Agreement violating all this law, you may be able to get your money back in court.

Here are some links to more information about them-

http://www.nationalpost.com/financialpost/story.html?id=19E244B1-7DD0-45A2-B66D-7883F94E1DB4

http://www.cbc.ca/consumers/market/files/services/ucc/

http://www.cbc.ca/consumers/market/video/programs%5f2001%5f02/ucc%5fqt%5f020306.html

http://www.newsnet5.com/news/335540/detail.html

http://www.wbz4.com/lyons/local%5fstory%5f063165203.html

http://www.startribune.com/stories/1229/4780642.html

http://formeraboutguides.com/investingcanada/library/weekly/1999a/aa062399.htm

http://formeraboutguides.com/investingcanada/library/weekly/1999b/aa110499.htm

http://formeraboutguides.com/investingcanada/library/weekly/2000b/aa122100a.htm

http://www.thecomplaintstation.com/cgi-bin/frames.cgi?1594

http://www.thecomplaintstation.com/cgi-bin/frames.cgi?0511

http://www.thecomplaintstation.com/cgi-bin/frames.cgi?2148

http://www.thecomplaintstation.com/u/unitedconsumersclub%5ftoc.htm

http://forums.moneysense.ca/thread.jsp?forum=3&thread=1229

http://plex.us/outbursts/marx%5fmotivation.html

http://martinsquest.com/personal/UCC%5fTotalhome%5fDirectbuy.htm

http://forums.delphiforums.com/ucctotalhome/start

A NY court found the membership contract "grossly unconscionable" and that "Club membership is nothing more than a cleverly disguised method of selling nothing but hopes and dreams."

http://www.mlmlaw.com/library/cases/mlm/state/nyniemiec.htm

A Canadian court found the membership agreement untenable and unenforcable because it violated the Consumer Protection Act, the Sales of Goods Act, and The Trade Practice Act. Read this at at paragraphs 13-20 of the ruling.

http://www.provincialcourt.bc.ca/judgments/pc/2002/01/p02%5F0197.htm

Paragraph 8 is where they said they aren't required to give any service after the sale. Yes, see for yourself they used it in court to try to save themselves.

http://www.sconet.state.oh.us./rod/documents/2/2002/2002-ohio-3806.doc

UCC blames the member for the delay in receiving merchandise for over 4 months! Read it for yourself at paragraph number 33!

http://www.sconet.state.oh.us/rod/documents/2/2004/2004-ohio-2426.doc

Lawsuit shows lack of moral and ethical conduct by UCC/TH/DB franchisee Darryn Fossand.

http://www.lawlibrary.state.mn.us/archive/ctapun/0405/opa031376-0511.htm

BEWARE:

There are no merchandise returns.
There are no refunds if not satisfied.
Merchandise is sold without warranty.
There is no after sale support or service.

http://free.hostdepartment.com/d/directbuyinfo/

MEMBERSHIP AGREEMENT - READ IT BEFORE YOU GO IN FOR THE PRESENTATION:

http://free.hostdepartment.com/d/directbuyinfo/MembershipAgreement.htm