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Class-Action Lawsuit Accuses Dell of Bait-and-Switch Tactics

Class-Action Lawsuit Accuses Dell of Bait-and-Switch Tactics

by , 3:15 PM EST, February 23rd, 2005

Wintel computer giant Dell has been slapped with a class-action law suit accusing the company of bait-and-switch tactics, false advertising, and fraud. The lawsuit was filed in Francisco County Superior Court on February 14th, though Dell itself is based in Round Rock, TX.

CNet News reported Wednesday that the suit accuses the company of offering discounted computers in its advertising, only to tell consumers that call into the direct-order company that the low-price unit they wanted is no longer available. CNet News also reported that the suit accuses the company and financing partner CIT Bank of including hidden charges and higher interest rates than consumers expect.

"We got quite a few complaints. We also saw quite a few complaints online," Reed Kathrein, an attorney at the law firm, told CNet. "The theme appears to be a bait and switch, where what Dell does is attracts you with one ad and then substitutes."

There is more information in the full article at CNet News.

Observer Comments

Show: Subjects Only | Full Comments
Close Name:stericult Posts: 18 Joined: 18 Jan 2005
Subject: about time

Having "had" to buy Dell products at work, their whole approach to selling is bait and switch. If you are interested in a $349 system, and you click on customize, it immediately switches to a $529 system, before you change a thing. Stark contrast to Apple's site where the changes to a price are generally pretty clearly seen.

Close Name:Guest
Subject: Well that took long enough

Anyone who's ever gone to their website to see these mythical $400.00 computers will vouch for the fact that it's all a ruse. You have to strip the dang thing down to the rims in order to get it at their price point.

I could buy a car for $1000 too if all i wanted were the seats and sterring wheel.

The fact they are telling people that the computer they are inquiring about is no longer available isn't surprising and certainly should be viewed as criminal.

Close Name:Guest
Subject: YOU GET WHAT U PAY FOR

Morons who buy a computer for under a grand are getting ripped off. Unless ALL YOU DO is internet and email, youll need a computer than does something. And to do something it will cost you $1000+. With the mini mac, the point may be moot but to get it up and running u need a monitor ($100-$300). Anyway if u buy a dell, yu get what u pay for. A PIECE OF $#!%!

Close Name:fultonkbd Posts: 123 Joined: 02 Mar 2004
Subject: My work was just saying the same thing

I'm the only Mac user at work - G5 no less. (Lucky me, poor fellow coworkers). Anyway they went to order 4 Dells online and were complaining that they couldn't find the one that was advertised and that they thought the tactics were very "bait-n-switch" in nature.

I hope that Dell gets nailed for this. Not because I'm a Mac user but because that isn't fair for any user. (Well maybe partly 'cause I'm a Mac user - ha)

Close Name:Mace Posts: 9604 Joined: 07 Aug 2003
Subject:

The truth is out. Dell is not able to make money from a low cost model in spite of the direct model. Michael Dell himself acknowledged that Dell made money from higher price models - can't remember where I read it.

Close Name:Guest
Subject: Well...obviously, this means Apple is Doomed.

; )

Close Name:Biff Posts: 1479 Joined: 08 Apr 2004
Subject:

It's not the lawsuit or the unscrupulous practices that I find amusing. Apple has their share of both. What I find amusing is that these mysteriously nonexistent super cheap systems are the ones certain people always bring up as examples of why Mac's are so expensive.

Close Name:KitsuneStudios Posts: 2490 Joined: 25 Oct 2001
Subject:

Quote
Biff wrote:
What I find amusing is that these mysteriously nonexistent super cheap systems are the ones certain people always bring up as examples of why Mac's are so expensive.


Hear Hear!

Close Name:Guest
Subject: dLemmings

Only Michael's minions believe that one can own a functional computer for the numbers Dell touts, thanks to their deceptive pricing and techniques. These small numbers are just fodder for countless Windows fanboys, who have nothing better to do than troll Mac news sites and proclaim that the Mac is soooooo expensive.

Close Name:Guest
Subject: RC = DLemming?

You have to wonder.

Maybe RC will throw himself in front of a train to protest the legal action against Dull?

(we can only hope )

Close Name:dhp Posts: 182 Joined: 22 May 2003
Subject: Where am I?

Oops. Must have wandered into The Dell Observer by mistake.

Close Name:Guest
Subject:

Except for PowerMacs, Apple can't be accused of upselling when they sell dead end machines. Can't upsell graphics cards, sound cards, and (mostly) monitors. Mac zombies tell people to base their purchases off of what someone else like Granny does with the computer - email and documents.

Close Name:Guest
Subject: Full Article

Does anyone else think its ironic that there is a Dell ad for a "free upgrade" next to the article on CNet?

Close Name:jhonka Posts: 77 Joined: 05 Sep 2003
Subject:

Quote
Guest wrote:
Except for PowerMacs, Apple can't be accused of upselling when they sell dead end machines. Can't upsell graphics cards, sound cards, and (mostly) monitors. Mac zombies tell people to base their purchases off of what someone else like Granny does with the computer - email and documents.

...which is exactly what a lot of people (read: not just "grannies") do. Hell, that's all I do a lot of the times (when I'm not designing web sites, that is), and I'm 21. So long as you're not a heavy gamer (or do lots of 3D work) there's no reason to not buy a Mac, IMHO.

Close Name:BeStupid! Posts: 3 Joined: 23 Feb 2005
Subject:

Quote
jhonka wrote:
Quote
Guest wrote:
Except for PowerMacs, Apple can't be accused of upselling when they sell dead end machines. Can't upsell graphics cards, sound cards, and (mostly) monitors. Mac zombies tell people to base their purchases off of what someone else like Granny does with the computer - email and documents.

...which is exactly what a lot of people (read: not just "grannies") do. Hell, that's all I do a lot of the times (when I'm not designing web sites, that is), and I'm 21. So long as you're not a heavy gamer (or do lots of 3D work) there's no reason to not buy a Mac, IMHO.


It's too easy to be a troll on a Mac website. Don't you Mac readers ever rest? Always have to "correct" trolls? Respond to this to prove my point.

Close Name:Guest
Subject:

"Apple can't be accused of upselling when they sell dead end machines."

They also can't be accused of selling dead-end machines when they don't sell dead-end machines. Apple doesn't sell a single model of computer that they don't offer upgrades for. They have plenty to up-sell, but they don't use fraud to do it. That's Dell's territory.

"It's too easy to be a troll on a Mac website. Don't you Mac readers ever rest? Always have to "correct" trolls? Respond to this to prove my point."

So, I guess you'd like disinformation about Apple to go uncorrected and spread. You want people to believe it. Right? That's exactly what happens if the lies from Reality Check and Smith etc. aren't debunked. Which is coincidentally exactly what they want, too.

Close Name:RGE Posts: 165 Joined: 16 Aug 2003
Subject:

Quote
That's exactly what happens if the lies from Reality Check and Smith etc. aren't debunked. Which is coincidentally exactly what they want, too
No it isn't. What they wish to do is provoke a response. They do not care about Apple, or Dell, or Microsoft.... or indeed anything but their own amusement. Since there are certainly worse ways in which they could get their kicks, they are best left alone. Their posts do not need responses, but killfiles (a feature notably missing in all web boards such as this).

Close Name:Guest
Subject:

"What they wish to do is provoke a response."

They couldn't care less about provoking a response. They don't even directly insult anyone. Infact, the roughest they ever get is putting a lower case i before the word "disciple" or "lemming". If they were trolls, they'd be the poorest trolls in history. But they aren't trolls.

Their goal's to spread disinformation about Apple. Luckily people make that a very hard job for them to do by debunking their lies left and right, but if noone did, then things would get a whole lot easier for them. They're worst left alone.

Close Name:Guest
Subject: Um...yeah, stupid...

What I find funny is people coming here and responding to the comments, then making fun of people who...um...respond to their comments. Reminds me of the people who would come into where I work on Easter morning and complain over the fact that we were open on Easter morning while they shop. If you want people to stop commenting, stop coming. I promise we will never respond to anything you have to say as long as you don't post it.

Anyone else want to help me back that promise up? lol

Close Name:jimothy Posts: 612 Joined: 04 Jun 2004
Subject:

Quote
Guest wrote:
What I find funny is people coming here and responding to the comments, then making fun of people who...um...respond to their comments. Reminds me of the people who would come into where I work on Easter morning and complain over the fact that we were open on Easter morning while they shop. If you want people to stop commenting, stop coming. I promise we will never respond to anything you have to say as long as you don't post it.

Anyone else want to help me back that promise up? lol

Hey! Are you making fun of people who make fun of people who...oh forget it, I'm lost now!

Close Name:Biff Posts: 1479 Joined: 08 Apr 2004
Subject: LOL

Haha who cares what someone says who hates Apple yet spends their time going through each and every story on a Mac news site and even posting. Who's the fanatic? When I don't like things I don't usually devote significant portions of my time to it. There are too many good things all fighting for my time. But hey thats just me. Rock on, trolls!

Close Name:Mace Posts: 9604 Joined: 07 Aug 2003
Subject: Re: LOL

Quote
Biff wrote:
Haha who cares what someone says who hates Apple yet spends their time going through each and every story on a Mac news site and even posting. Who's the fanatic? When I don't like things I don't usually devote significant portions of my time to it. There are too many good things all fighting for my time. But hey thats just me. Rock on, trolls!
Well said. I don't respond to those too.

Close Name:Guest
Subject:

Funny, the people who spend their time speculating and posting about Mac rumors when they have little or nothing to go by, and funnier when they turn out to be false.

Close Name:Guest
Subject: #@!$ Dell

They are punk asses who take pleasure in ripping off customers

Close Name:Guest
Subject:

Mac idiots.

Close Name:Guest
Subject: Recent Dell Customer

Interesting reading here. I just purchased a Dell last month. No bait and switch, but it did take 19...yes...19 phone calls and online chats to resolve the issues that my computer had, right out of the box. Hardware issues, software issues, technician coming to my house issues. It's not just a computer, it's your new hobby! Why didn't I buy a Mac? Habit, I suppose. All the same, I think next time I'll wait a little longer, save my money, and give mac a closer look.

Close Name:Guest
Subject: private customer

Bought a dell system, one and a half years later the monitor went out. Tried 30 minuts on the phone, the rest of the morning, 4 hours on the computer to get help. Help was not avaialable because my address did not match my account. I ordered this computer at my address a year and a half ago and now Dell tells me it is not the right address to get help to. What is up with that. Protection for their customers???

Close Name:Guest
Subject: dell law suit

I am having problems with Dell preferred. The Dell company sent me a TV that I did not order and do not want. It was sent to my address in Va. I live in NC. By the time I picked the package up and discovered a product I did not order it exceeded its 21 day return policy.

This was June 30. I could not get the customer service to even acknowledge I had ordered the TV as it did not show up on my order history. I have been charged and turned over to a collection agency to the tune of $997.38. The TV is only a 20", how to they get to $997 on a LCD. I have sent registered letters, I have made numerous calls, I can get NO ONE to respond. I refuse to talk to customer service, bookkeeping or any other department that just wastes my time. I have spent hours and am so frustrated. Is there a class action suit I can join?

When I asked customer service what I was suppose to do with a TV I did not want did, not order and will not pay for .... I was told to try to sell it on EBAY.

After buying 4 computers from Dell, I bought my 5th from compaq.

I also run a Mac G4.

Jrobin90631@mac.com

JoAnn Robinson

Close Name:Guest
Subject: Stupid people learn where to post...

All of these people, PLEASE, if you have a problem with your Mac or website, POST in the help forums of this site instead of bumping up OLD threads.

Close Name:Guest
Subject:

I got the wsxga inspiron a week ago. No where they mentioned that to increase the size, you need to bump up DPI to 120%. 120% DPI has problem with some applications and most of the websites. Internet Explorer does not support it and other browsers will not show the site correctly if increased the fonts and kept the DPI at 96% (try cnn.com in Firefox, increase the fonts and watch the left menus).

I am going to return it with a slap of 15% restocking and shipping fees.

I would love to join against this Fraud company with the owner sitting at 25 billion dollars.

Javed
mailforjaved@yahoo.com

Close Name:Guest
Subject: Dell should be bashed with a class action lawsuit

I got the wsxga inspiron a week ago. No where they mentioned that to increase the size, you need to bump up DPI to 120%. 120% DPI has problem with some applications and most of the websites. Internet Explorer does not support it and other browsers will not show the site correctly if increased the fonts and kept the DPI at 96% (try cnn.com in Firefox, increase the fonts and watch the left menus).

I am going to return it with a slap of 15% restocking and shipping fees.

I would love to join against this Fraud company with the owner sitting at 25 billion dollars.

Javed
mailforjaved@yahoo.com

Close Name:Guest
Subject: Response to fraud

Dell can't help it if your a total idiot that can't even speak proper english!

Close Name:Guest
Subject: Bait & Switch alive & well at Dell Canada

Was sent advertising (printed) twice; to my personal address.

Ordered a Inspiron 9400 that was advertised with a T7200 processor. Received a T2065 or some such. Dell reps (in India) would not honour price. Reps in Canada unhelpful, would not call back, would always transfer calls etc. Sent machine back.

Received another printed flyer. Similar deal. Ad spec'd T7400 processor. When I called & tried to order, they would not honour ad. Would only supply T20something or other. Reps unhelpful. Another 3 hours on phone being transferred around & no results.

How many people ordered & didn't know any better? Better Business Bureau here we come.

Very very very disappointed.

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