On July 23,1999, my husband and I purchased a Toshiba Satellite 2595 XDVD Laptop computer from Circuit City in Mobile, AL. We paid $2299.99 for this unit and were not planning to purchase the $399 extended warranty but changed our minds when the sales counselor strongly encouraged us to do so due to the high cost of replacing the screen. He explained that screen damage was the most expensive problem with laptops and for that reason alone, we should purchase the extended warranty to protect our investment. Explaining the extended warranty, he mentioned that physical abuse was not covered. When asked to clarify physical abuse, he replied that meant obvious, deliberate misuse. We were told by the sales counselor that screen burnout or cracking occurring during the course of normal use were items protected by the warranty. We left thinking we were covered under reasonable circumstances.
One year and one week after the purchase, I returned from a trip and used my laptop at home that evening. It functioned normally and I stored it in a travel case approved by Toshiba. The laptop had not been dropped, shipped, or checked as baggage. Approximately 36 hours later, when I removed it from its case, I found that the display was not normal. It continued to degrade. I know of no factors that would explain this occurrence. I checked my sales receipt to make sure that it reflected the purchase of the warranty and took the laptop into the local Circuit City in Hoover, AL. We were told by a sales counselor that if we had purchased an extended warranty, the damage was covered, no problem. We were told to follow the instructions on the receipt and call GE who would authorize a pickup. GE would either repair it within 7-10 days or the unit would be replaced with a model of equal or greater capability. Thinking this was more than fair, I called GE the next day to follow the procedure. I was told that they would not authorize a pickup, as cracked screens were considered physical abuse and not covered under the extended warranty.
I called the Cool Line and spoke with a Customer Service representative and was told the same thing: No Coverage.By this time I was livid and phoned the Mobile, AL store where I had purchased the unit. I asked for someone in computers and began to inquire about laptops and the extended warranty. A sales counselor told me that screens were covered and that physical abuse was the only exception. I asked him to define physical abuse and he replied that physical abuse meant that I would have to do something as flagrant and extreme as drop it off a boat dock and use it as an anchor, his exact words!
I then told him I was inquiring because I had a problem with a cracked screen. The sales counselor told me that this should be covered and that he felt sure that the Cool Line would put me in touch with someone who could help me. He mentioned that sometimes screens crack for no apparent reason, e.G., improper torquing or thermal expansion/contraction. I told him I had already spoken with the Cool Line and had received no help. He suggested that I call the Cool Line again, thinking a different person might be more helpful.
I called the Cool Line again and still received no help. I called the Mobile store again, this time speaking with the store manager. The Mobile Store manager stated that he was not responsible for misinformation provided by a sales associate. Once again, I called the Cool Line, this time requesting to speak with a manager. Ellen Shepperson (800 399-2565 ext. 8458) told me cracked screens were considered physical abuse and not covered. She agreed to add a GE Customer Service Manager as a third party to our conversation. The GE Service Manager consented to have the laptop picked up and to open a case on it. I shipped the computer to GE and it was subsequently returned marked Unrepairable. There was a note enclosed stating a Cracked LCD was not covered by the warranty.
Prior to shipping the laptop to GE, I phoned several Circuit City locations across the country asking for details concerning extended warranty coverage. I received varied responses ranging from Total Coverage - No Questions Asked to Physical Abuse Is Not Covered. At no time was I told that a cracked screen necessarily constituted physical abuse and would not be covered under the extended warranty. Most of the counselors talked about the need to purchase the extended warranty if for no other reason than the fragility of the screen and the cost of its replacement. I spoke again to Ellen Shepperson, relaying the information I had been given by these various sales counselors. She stated she might call as a customer to determine if consumers were being misled by sales associates. I asked if sales counselors received commissions for warranty sales. She stated they did, but did not feel that this would induce them to misrepresent the terms of the warranty. She told me that in the future more attention would be given to making sure sales people were trained more thoroughly regarding the extended warranty.
Upon the return of my laptop from GE, we returned to Circuit City in Hoover and informed a sales counselor that my laptop had been returned Unrepairable. The sales associate informed us that the extended warranty provided that if an insured item could not be repaired, then a replacement of equal or greater value would be provided. We were then referred to the Customer Service Manager who told us that cracked screens were not covered under the extended warranty. We asked to speak with the store manager and was told he was not in. The Customer Service Manager stated that she would explain our problem to the store manager and that he would call us. We never received his call.
July 2 Due to the nature of my employment, I had been traveling continually and had been unable to pursue this matter again until this time. I renewed my efforts to resolve this problem with Circuit City.
July 5 We went into the Hoover store and spoke with Jon, the new Customer Service Manager. He said that he would have to speak with the store manager, Ruben Franklin, who was not in. During the course of the next two weeks, we spoke with Jon several more times. He stated that he had been instructed to contact the District Manager. After several days had passed, we requested the District Manager's name and telephone number hoping to expedite the process. Jon asked us to give him a few more days.
On July 19, I was contacted by the Hoover, Alabama store manager, Ruben Franklin. He explained that the Customer Service manager, Jon had discussed our problem with him and that he would try to help us. He agreed to see what he could arrange and get back with me.
On Monday, July 23, I was contacted again by Hoover store manager, Ruben Franklin who told me they were going to try and provide me with another unit, but that he needed a few days to try and locate something which would replace my unit. He asked me to give him until the end of the week.
On Saturday, July 28, I called Ruben Franklin and asked him where we stood on the replacement of my unit. He told me he was looking at replacing it with either a Hewlett Packard or a Compaq display model. I told him I would prefer to have my Toshiba unit fixed instead of accepting a display model because of the abuse I feel they receive on the floor. I also told him that I had done extensive research on laptops before my purchase and that I would not accept any other model other than Toshiba or possibly a Sony. He then told me this put the entire situation in a different light. He said that he had checked on the cost of replacing my screen and that it would be approximately $1177 plus $65 per hour labor. He stated he would have to get back with me. Later in the day, Ruben Franklin called me again to say that he had located a Toshiba unit which is comparable to the one I purchased two years ago. He stated that this unit is not a new one and is either a display model or a repaired unit. I again expressed my concern at being offered a unit which is not new. He stated that he could not provide a new unit because a decision of that magnitude had to be made at a much higher level than his.
Ruben Franklin, the Hoover, AL store manager, is attempting to remedy a problem caused by the Mobile store, and I have nothing but praise for him.in fact, he and the Customer Service manager, Jon are the first in Circuit City management who have been willing to try and resolve this matter. We have spoken to Circuit City sales counselors in many other stores in several states and they continue to misrepresent the warranty on laptop screens stating that cracked screens are covered.
When I purchased my laptop two years ago, it was the top of the line Toshiba laptop which Circuit City sold. I trusted Circuit City to stand behind the warranty I purchased. I am frustrated beyond belief because I have a $2950.57 computer (including the warranty and tax) that is worthless to me. This unit was charged to a credit card and I continue to be charged interest and to make payments. I am not asking for a computer worth $2300 only for a unit which is comparable to the Satellite 2595 XDVD. Circuit City stocks a Toshiba 1805S253 which retails for $1399.99. I feel that would be a fair replacement for my laptop.
I have a copy of my sales receipt showing that I purchased the extended warranty,
documentation of all conversations with Circuit City, and a copy of the warranty page which is given at the time of sale. This credit card charge and can be documented through MBNA.
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