5.01 Students will be able to understand the rights and

responsibilities of consumers.

Objective 5.00 Understand Consumer Rights, Responsibilities and

Information.

Essential Questions

What basic consumer rights are protected by law?

What does it mean to be a responsible consumer?

What adjective describes these bananas?

General TermsGoodsServiceRetailerMarketplace

MerchandiseConsumable Products

Durable Products

Warranty

Exercising Consumer Rights and Responsibilities

Government agencies---federal and state consumer agencies

Merchant servicesConsumer advocate groupsConsumer affairsConsumer action panel

Sources of consumer resources and protection

Government Agency Federal Agencies: Federal Trade Commission (FTC) –

Ensure fair transactions, product labels, privacy

Department of Labor (DOL) – Ensure fair and reasonable working conditions

Food and Drug Administration (FDA) – Protect against unsafe food, drugs, cosmetics

Consumer Product Safety Commission (CPSC) – Set safety standards for products

Department of Housing and Urban Development (HUD) – Supervises programs related to housing needs and fair housing opportunities

United States Department of Agriculture (USDA) – Inspects and sets standards for meat, poultry, and canned foods

State Agencies Attorney General’s

Office – takes legal action on behalf of the state and its citizens

NC Cooperative Extension – provides unbiased research-based consumer education and information

Merchant ServicesWarranty and return policies – provide

guidelines for dissatisfied customersConsumer affairs departments – deal with

consumer concerns and complaints

Consumer Advocacy GroupsJustice Department - Enforces the laws to

maintain free tradeBetter Business Bureau (BBB) – provide

reliability reports on businesses, accept consumer complaints

News media – provide consumer investigative reports

National consumer organizations – provide consumer advocacy, educational materials, product/service information

Consumer Reports - Consumer Reports is published by Consumer’s Union

Exercising Consumer Rights and Responsibilities

Be their own advocates Look out for their own interests as a consumer with rightsBe aware of the steps to take to resolve problems with

products/servicesBe aware of organizations that assist consumers in

resolving complaintsKnow when to seek help

To protect their rights in the marketplace, consumers should:

Better Business Bureau (BBB) A private, non-government agency available at

local and state levels Logs complaints from consumers Passes complaint information to businesses that are

members, frequently resolving issue Makes complaints available for public viewing Tries to steer consumers to reliable businesses that

conduct business ethically

http://nwnc.bbb.org/

Rights of Consumers

Right to be safeRight to be informed

Right to choose products and services

Right to be heard

Right to redressRight to consumer education

Right to serviceRight to a healthy environment

A basic set of protections, agreed upon by society and written into law, apply to purchases of merchandise and services in the United States. These rights of consumers include:

Responsibilities of Consumers

To use products safely

To find and use information

To choose purchases carefully

To speak up

To seek redressTo learnTo reward good

serviceTo promote a healthy& caring relationship

with the environment

Types of activities a consumer is expected to perform as part of a purchase decision. Each consumer responsibility parallels a consumer

right.

Consumer Issues Objective 05.01

Students will understand how to settle a consumer complaint.

What if I have a complaint? First, contact company customer

service department to give notice of the problem and allow time to resolve conflict with involved parties.

Frequently, companies will resolve the problem with a consumer at this stage by replacement, repair, or restitution for the item.

The company desires to keep the customer satisfied to ensure future business and positive goodwill.

If complaint is unresolved, proceed to next contact.

Steps to Settle a Consumer Problem

 Identify the problem  Decide on desired

solution

Gather up important documentation

Take your complaint back to the store

Direct to the Manufactor

Take your complaint further, if necessary

1. Identify the problem. Is the product broken?

Is the product something other than what you thought it was?

2. Decide on a solution.Do you want your

money back(refund)?

Do you want a repair performed?

Do you want a replacement product?

 

3.  Gather up important documentation.Find your sales

slip or credit-card receipt.

If you paid by check, bring your cancelled check.

If you had the item fixed, bring the repair bill.

Find your service agreement or contract.

Bring your warranty.

4. Take your complaint back to the store. Go to customer

service department or see a salesperson.

State the problem.State how you

would like the problem resolved.

If necessary, see the store manager and repeat your complaint.

 

5. Direct to Manufacturer

If you do not get resolution through customer service, then go direct to manufacturerCall toll free # Mail letter Email your complaint

Contact local “Action 9” ReporterMedia attention often gets results

Mail a letter

Call to complain

Email a Complaint

Exercising Consumer Rights and Responsibilities

Greeting/salutationOpeningBodyClosure

State the problem clearly and be brief as possible!

Components of a successful complaint letter

Refer to Sample Letter

 

6. Take your complaint further, if necessary. Get in touch with the

BBB or other private consumer organizations.

Contact applicable federal regulatory agencies for assistance.

Contact the state or federal attorney general’s office.

File a claim in small claims court.

Contact a private attorney to file individual litigation or be part of a class action lawsuit.

Better Business Bureau (BBB)

A private, non-government agency available at local and state levels

Logs complaints from consumers Passes complaint information to businesses that are

members, frequently resolving issue Makes complaints available for public viewing Tries to steer consumers to reliable businesses that

conduct business ethically

http://nwnc.bbb.org/

Government Regulatory Agencies

Contact the government regulatory agency related to your complaint.

Examples:Consumer

Product Safety Commission

Federal Communication Commission

Federal Trade Commission

US Postal Service

State or federal attorney general’s office chief law enforcement/justice

officer committed to protecting the

safety and welfare of all state residents

AG's Office aggressively prosecutes those who break criminal, environmental and consumer protection laws and defends the state against legal actions.

Last Resort – Legal Action

Last option, if all else fails to resolve the conflict:Go to small claims court orSeek legal counsel to:

File individual litigation orJoin a class action lawsuit