Know your rights; review your states law on the 3-day right to rescind. YOU MAY BE ABLE TO CANCEL YOUR CONTRACT WITH NO FINES OR PENALTIES.in some cases the right to rescind may be longer than 3 days and if the company provided false information there may be NO time limit on your right to rescind
MY STORY: I received a solicitation phone call at home for an income from home deal. I spoke with one person on Tuesday evening; his role was to see if I was a suitable candidate for this limited time offer. The next day I received a call from his supervisor because I was deemed a suitable candidate. After a lengthy phone conversation I entered into an agreement with a Utah based firm where I was to take part in an online and phone based training program to teach me internet sales & marketing for a cost of $7,299.
While discussing the offer with this Utah based company I asked if they were subject to the 3-day right to rescind law, and was told YES. During the sign up process, I was transferred to another person whose role was to send me the contract and then on a recorded line she was to walk me through the contract. She very briefly went through each section and then said she would hold while I signed, via electronic signature. I felt pressured because she was holding, so I said something like, since you are subject to the 3-day right to rescind law I am going to sign now but continue to review the contract in greater detail. Later that same evening, after further review & research, I decided to invoke my right to rescind
I called the company representative and informed him, I sent an email, and I left a voice mail message for the supervisor that I spoke with.
The next day the supervisor called me back and I explained that I was cancelling the contract and after a brief conversation he said ok and hung up. About an hour later he called back and proceeded to tell me that they were going to refund my money LESS a 15% cancellation penalty. Needless to say, I got upset. No way, I said, not going to happen that was never disclosed and I have the 3-day right to rescind and I rescinded within a few hours, so I certainly meant the time frame under the law."
He proceeds to tell me that I will be charged the 15% and there is nothing I can do about it. I inform my husband; he takes the phone and says, basically he said, aint gonna happen and hangs up on the guy. A few minutes later I get another call from the supervisor and he wants to help me out, so he is going to get me into a different version of the program and it will only cost $3,400 and this way I will not get charged the 15% penalty.
After another lengthy discussion, during which I explained to him how the 3-day right to rescind law works, we ended the call with him claiming that I would be charged the 15% penalty; it was out of his hands and there was nothing that he could do. I could speak with his secretary because she was handling the refund and I should work it out with her.
WELL I was unable to talk with the secretary that day, but she called me the next day and said that they would be refunding ALL of my money. She stated that they had inadvertently forgotten to include the 15% penalty language in my contract, so she was processing a refund for the entire $7,299.
Personally, in my opinion, I doubt that this was the reason. It was true there was no language in my contract about a 15% penalty; but I believe it was the 3-day right to rescind that saved me. At the time I cancelled the contract I had not received any goods or services from the company, so I had nothing to return and had not used any services.
Under the Utah Code Title 13 Commerce and Trade, Chapter 26 Telephone Fraud Prevention Act, Section 5 Right of rescission — Cancellation. I have the right to cancel a contract.
In part the law states:
13-26-5. Right of rescission — Cancellation. (1) (a) Except as provided in Subsections (1) (b) and (c), in addition to any right to otherwise revoke an offer, a person making a purchase from a telephone soliciting business required to be registered under this chapter may cancel the sale up to midnight of the third business day after the receipt of the merchandise or premium, whichever is later, provided the solicitor advises the purchaser of his cancellation rights under this chapter at the time any solicitation is made.
(b) If the solicitor required to be registered under this chapter fails to orally advise a purchaser of the right to cancel under this section at the time of any solicitation, the purchaser's right to cancel shall be extended to 90 days.
(c) If the solicitor required to be registered under this chapter fails to orally advise a purchaser of his true name, telephone number, and complete street address at the time of any solicitation, the purchaser may cancel the sale at any time.
(2) Sales shall be cancelled by mailing a notice of cancellation to the telephone solicitor's correct street address, postage prepaid. If the telephone solicitor provided no correct street address, cancellation can be accomplished by sending a notice of cancellation to the division's offices, postage prepaid.
I am not a lawyer; I am just a regular person trying to make some extra income. I wanted to put this information on the rip off report so if anyone else finds themself in a similar situation they may have some recourse.
If this company was not subject to the 3 day right to rescind law I NEVER would have signed the contract without first doing all my research. The ONLY reason I signed was because I knew about this law and knew that it was designed to protect me.
In the end the Company did say they are going to refund all of my money; I just need to wait to see it appear on my credit card.
Hope this else others.
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