A California law firm has slapped Dell with a class action lawsuit charging the computer giant with "systematically deceiving" its customers.
The suit, filed in San Francisco County Superior Court on Feb. 14, seeks class action status in California and accuses Dell of "bait and switch" practices, false advertising, fraud and deceit in sales and advertising, and breach of contract. The law firm behind the suit, Lerach Coughlin Stoia Geller Rudman & Robbins, publicized it on Wednesday.
The case centers on the allegation that Dell advertises low prices for its computers, but people who try to purchase a machine at the advertised price find it's no longer available for that price. Often those customers wind up with another computer, the suit said.
One plaintiff is a San Francisco nurse who said she bought a Dell notebook computer listed at $599 along with an $89 printer, but was billed $1,352 for her order. Another plaintiff said Dell shipped him products of lower quality than the ones he had ordered from the company's Web site. The Round Rock, Texas-based PC maker then resisted his efforts to resolve the problem, he said.
The suit also said that Dell and its lending partner CIT Bank change without notice financing packages promoted as "easy" and "preferred," to include much higher interest rates and hidden charges.
Lerach Coughlin Stoia said Wednesday that it has reviewed hundreds of complaints.
"We got quite a few complaints. We also saw quite a few complaints online," said Reed Kathrein, an attorney at the law firm. "The theme appears to be a bait and switch, where what Dell does is attracts you with one ad and then substitutes."
A Dell representative declined to comment, saying the PC company does not publicly discuss pending litigation.
Dell sells more personal computers than any other provider on the globe, and it's on a growth spurt. The company, which increased shipments by close to 20 percent in its most recent fiscal quarter, expects to rake in nearly $60 billion in revenue this year.
The suit alleges that Dell has violated numerous California laws and codes of conduct, including the California Consumer Legal Remedies Act, the California Business and Professions Code and the Unruh Act.
It was a 15GB model and was on sale for around $237.00. I was charged around $350.00 in all reality thou. I just figured it was because I used their credit line, but obviously not...
I have been buying computers for myself and at least 15-20 friends and neighbors over the past 6-8 years with no problem. Computers at the advertised price are available but I always customize my orders.
I am sorry to see that lawyers are looking for 'deep pockets' again!
I was the Operations Manager for a large oil corporation for over 18 years. We experienced more problems with Dell products than all other brands combined. How in the world did you get so lucky? (or is someone lining YOUR pockets?)
When you buy an item from Dell website, sometimes the advertised price includes shipping and customs taxes and sometimes not. That can be more than $100 that they add if subtract of the advertised price as they find suitable. Anyway Dell products are very cheaply made and priced just right. It's the kind of hardware that windows deserves to run on. I think quality is no longer demanded, hence the fate of the brilliant thinkpad line.
I have bought a desktop and a notebook from DELL in the last 7 months and both times I paid exactly what they said I would pay. Not only did I customize my machines but they gave me tons of free upgrades, free shipping and extended warranty as well.
I'd suggest the best way to buy DELL is via the phone. You can sort out the details and bargain for a better deal.
Anyone who's shopped for computers knows you have to be very very careful about those "special deals" Dell offers. I'm glad to see thier practice will finally get looked into in court.
But one thing I always harp to my coworkers about when it comes to buying a new computer is to just build your own. Building your own PC is far cheaper than buying new from any manufacturer, and you'll end up with quality components and a faster overall machine. And it's not a difficult process.
I'm still using the computer I built nearly 5 years ago. It's a P3 800MHz with 1Gig of RAM, running Win2K. The RAM was the fastest I could find for the 440BX chipset. And the motherboard let me overclock the Proc and RAM. It may be 5 year-old technology, but it's still a farily quick machine. I did have to upgrade the video card to a GeForce4Ultra about 2 years ago. And I can still play the latest games with great graphical quality.
I paid a total of $1700 for this machine -- including all the upgrades AND software -- over the last 5 years. That's a great value on investment, and why building your own machine is always the best way to go. (And avoid any potential scams a PC manufacture might throw your way.)
I looked around a lot before deciding to build my own computer (paying full retail for the software nullified the labour savings, so the price was the same).
Dell rotates their online deals fairly often, so I checked over the course of a few weeks, and while I was looking for a more powerful machine than their basic model, I could never, ever manage to configure one "starting from $359". Even after clicking right on that price advertisment, the price would be higher with the starting configuration. So, I built my own.
Then a friend, who's a little less tech-savvy, wanted help configuring a new computer. They were dead-set on Dell due to the fact that they knew the name. So, we took a Dimension, added some memory, etc, and bought it. The front page said "pay only $10 shipping on any Dimension over $799" and of course, when his $800 computer was rung through the shipping came to $99. My friend, still dead-set on Dell, decided to order it like that anyway.
In the end, there was a problem with his credit card, and they sent the most unprofessional email about it (full of typos, poor grammar, didn't capitalize Dell, and had different hours to call listed than what the voicemail we eventually got on the phone said -- and the phone connection was so poor we could barely hear the recording), which finally convinced him to let me build a computer from parts bought at the corner computer store.
Getting off-topic, but as long as I'm ranting, I also don't like how you can't order a Dell without a monitor (in some cases, without a flat-screen). Also, sometimes their "great upgrade!" advertisements pop up for _downgrades_ (e.g.: after upping my friend's configuration to 1 GB of memory, it suggested I go to 512 MB for more power).
I have been purchasing Dell computers for well over ten years. I purchase for work, friends and family. I have never been involved with any type of "Bait and Switch" either on-line, phone or even e-mail. I always find they offer better deals on the phone, but I have purchased on line specials for the advertised prices. The only way I know of to change that price is if you choose to CUSTOMIZE the special, then the price gets updated. This just sounds like lawyers out for the cash, unfortunetly as in any Class Action (If Justified) only the lawyers make money, the clients will lose no matter what. I have a hard time believing this premise, I go on-line all the time with Dell and HP products.
We may be done with Dell after a recent botched business order where the company went ahead and sent us equipment without our final authorization. As a business customer this was extrodinary frustrating as we had to deal with computers that arrived without any plans to receive them. Worse, we had to take time to arrange to send them back imediately which affected our staffing.
Even though Dell screwed up the order and we sent the equipment back ASAP, Dell after 2 months has failed to credit our corporate credit card, citing extra and unusual delays in processing time. What the heck is that?
Meanwhile, in contrast to Dell, we recently decided to test Apple's Power Mac workstations after having a very successful three year trial with Apple's servers -- specifically its Xserve. While most of our gear is Windows or Linux based, I have to say that working with Apple has been blissful compared to Dell. Every single aspect of that company has been, dare I say it, "easier".
And we really like the stability of their Mac OS too! And the virus thing is just extra icing on the cake.
In the future not only will our business be more critical and demanding of Dell, but we'll consider HP for Windows gear and at this point have zero plans for Dell servers. We'll gladly pay a slight premium for Apple's superb server hardware and OS.
I regret using Dell's "Preferred account" First is, thinking the APR was low, I had to customize a notebook that was within my credit limit. If I had known that the APR was rediculous I would of put it on one of my other credit cards. My APR was something like 22-23 percent. After receiving my first statement, I quickly paid it off. I should of just put it on another credit card and got more of the upgrades I wanted. Other than this, I think Dell is a good company, just beware of what your doing while buying.
I work for a school district. We have been systematically replacing all of our out-of-date machines with Dells. We even recently purchased a Dell server.
Currently, with up to 3 years of experience with Dell machines, we have about a 2-3% failure rate. That is unheard of in the industry. Especially considering that students (k-12) use these machines. Further, in most cases, if a failure does occur (usually something minor like a floppy drive or power supply), we have new parts the next day, and in most cases they send a tech to do the work.
I have also bought my own Dells. I have one that is 3 years old and never a problem. My last desktop, one year old, does it's thing as a gaming machine. And, two weeks ago I bought an Inspiron 8600 laptop.
I have built, literally, hundreds of machines. And was going to built the last desktop, until I compared the prices for what I was getting with that of a comparable Dell. I went with a Dell because it was nearly $200 cheaper.....including tax and shipping.
Personally, at least from my own experience, I have to rate Dell as top-notch.
Well I have done a little research on dells PC's and anybody with a good mind would know that they are getting ripped off. I have put together a couple of there PC's on their web site and can plainly see that a pc from Dell for 2500 dollars is atleast 1000 dollars cheaper anywhere else you want to look. As for dell being Top Notch, LOL dont make me laugh, they have more lawsuits pending from ripping off people than Jiff has peanut Butter LOL I rest my case. Just do a google search, and if ya want a good price go here buyxg.com
I find this so hard to believe. I am a dell certified technician as well as a recent never to be again Dell customer. I also am the master tech for a large office supply chain who repairs these machines. Most are Dell. Their customer support does not exist since going to a third party warranty repair company. My own laptop was shipped back to me not with my core 2 duo I paid good money for but a Celeron. 15 months later with the state Attorney General intervening, I got my original processor. I had to install it myself. By the way. It came from a returned machine.
I'm not sure that it was intentional, but I ordered accessories that were compatible with my Dell hand-held and I was delivered something that wasn't even close. Even the manufacturer was different. I am very busy so I just re-ordered them (batteries) so we'll see what happens. When I asked them what happened originally, they couldn't explain it. But, it might have something to do with the fact that the people taking NEW ORDERS have a very limited English vocabulary. Middle Eastern or Spanish seems to be the norm- and NOT that there is anything wrong with that, except when they can't get your order right. I am thinking of starting a new computer Co. (from the complaints from local programmers) that wwould ACTUALLY super-serve its clirnts! Stay tuned. DD
I can assure you from my own experience with Dell as a personal/small business user and as someone running tech support when the main IT team is busy/sick/on vacation in a public sector position, that Dell has a totally different support staff and structure for the big companies/governments that works much better...
Also, I know that when I was in high school, and the same is true of the few high school kids I know now, that the kids and teachers often end up maintaining the machines themselves, which is made all the easier since they tend to use parts from computers that are a generation old in families. I don't think many problems would get bumped up to the board level.
After studying their catalog, I stopped at the Dell Store in the Neshaminy Mall in suburban Philadelphia. I discussed, with their rep. how the 3000 mid-line model would be a great machine for additional needs at our home. Sure enough, he drewup a proposal sheet, with bundled costs, that offered the advertised machine at about TWICE the cost. This scheme must be going on everywhere!
Currently have a dispute with Dell through the Attorney Generals Office. However, still have not resolved. Any advice on a NY Attorney willing to start a class action in NYS would be appreciated.
Dells favorite ad with the boy asking for a new high end Dell you have never been able to purchase from Dell. The boy asks for 3.46Ghz CPU 533Mhz DDR2 memory. That Intel CPU is limited production with a new bus speed of 1066Mhz rather than the old 800Mhz bus. Only the XPS models get this high end as the boy requests or that could handle the high end gaming the kids wants. Yet even the hotest Dell has only a 450Watt power supply and max of only 3 harddrives. It is a far cry from my DVR with 7 drives Sony 16X DVD & Mad Dog 16X DVDRW dual layer dual format burner in an Antec Server Tower and Antec True Power 550Watt Power Supply and 1.44TB of storeage. Which I will upgrade soon to a over 2.2TB system yes that is 2200GB of file storage. Also why can't you get an XPS with ATI's All-in-Wonder card for full DVR with MPEG-4 hardware capture. Anyone that has any working brain cells know custom built is the best way to go. Highend Dells are over priced and poorly made with non-standard parts.
I've been involved in the purchase of several Dell laptops and desktop machines in the past few years. About two years ago, I thought it was time to try a different brand. And it was great--until something went wrong and I had to wait three days for their tech support to call me back. Luckily, I was able to return that machine and order another Dell.
At times I've had to wait up to an hour on line for Dell tech support--and at times I have a bit of difficulty understanding their reps, but they have always helped me resolve my problems.
Bait and switch? I've not encountered any of that from Dell representatives. However, I generally customize machines, and always get an e-mailed or faxed purchase proposal with specs and prices to review before committing to the order by phone.
I'll be ordering another computer within the next few months, and I believe there is more to a purchase than simply getting the lowest price. There's no question...my next machine will be another Dell.
As a sales rep for dell I do have to say in defense that I nor none of my associates have ever tried to mislead people when it comes to prices,promotions, or anything associated with our financing option. We give all information fully and it is up to the consumer wether to listen or ignore us. I do also have to say that we always have the machines we advertise, it is just that these systems are usually our lowest priced systems and are not going to serve everyones needs. Basically you can't get something for nothing and you pay for what you get. And if the consumer does not like it then it is their choice to go with a lower end machine from a poor quality competitor that is going to break down quickly and when they are ready to purchase the best (because that's what dell is) they can go ahead and give us a call.
the few people that are angry at dell are the ones that actuly have no business using a computer. the ones that call in and ask for the 399 system think that it will do everything a 2000 dollar computer will do. and when you try to tell them that it will not they become even more mad because they think that dell is trying to screw them. what they need to do is pull their head out of their ass and learn how to read
You are completely right and I totally agree. You get what you pay for and people need to stop being ignorant and come into the 21st century when it comes to purchasing their system
You need to have an issue before you speak with a Dell tech. I deal with Dell customer no care daily since I repair and service computers. Been doing it for 21 years. In the last 2 years or so I spend a minimum 1.5 hours per call to Dell on behalf of my customers. In the last year, I can spend up to 3 hours. Now they won't escalate to a level 2 Tech. We don't do that anymore, and in some cases a flat no is what I get. Most consumers just want to compute. They don't know in most cases what requirements are needed to run certain games or business apps. That is the real problem. The Dell sales people sell more machines to consumers that are either overkill or underkill.So you need to remove your head out of your ass and look at what the real issues are. Dell has some serious problems.
I had a Dell phone representative (a case supervisor) admit to me on the phone that their promotional information and advertising was completely meaningless. I complained about a long order processing time for a computer advertised on their website as "order today, ships today" and he said "you can't go by that that's just promotional....". I said "so you're telling my that what it advertises on the website is completely meaningless" and he answered "yes". I requested a copy of the recording of my phone conversation but it is for Dell internal use only; I really wish I recorded it myself - next time I will.
False advertising, bait and switch, junk products ... you name it, I got it from DELL. Michael has totally lost control of this once top-rate computer company. From corporate excellence to corporate crime in 7 short years. What a legacy! I'll never buy another thing from DELL. And here's a message for the crooks at CIT Bank: "You're wasting your time. You'll not get one dime of my hard-earned money. Call off your foreign tele-scammers or you'll have another lawsuit on your hands."
Next time you order, use the online chat. Then you can Print the whole conversation. The computer will do that for you., I always print a transcription of any online ordering or support so there will be no question of what I said or what the online chat rep typed.
We feel the same way many others feel in that Dell lures you in then gives you what they want not what you want. What a shame to see a business in our country act like this! Isn't it bad enough we have others coming after our people without this happening? We will never recommend this company for anything and all we want is our money back.
As a former employee for Dell, I have to say that most people that we (sales reps) talked to did not know there USB from a hole in the ground. The majority of our buyers would call in wanting the $299 computer to run applications that would not even load on the $299 system. YES Dell advertised a cheap comp but I as a salesman would do my job and up sell. If you were the company owner you would want the same thing. I blame a lot of the complaints on stupid people. If you refer to the computer (the tower and all of its content) as a hard drive, you have NO CLUE what you need in computing! I could go on and on with things like that. I would guess that only 1 in 10 callers actually new about computers!!!!
I would use a better choice of words. I agree with what you say about the consumer being ignorant about what requirements they need in a computer. God knows how many times a consumer has asked me why a piece of software did not work on their pc. They never read the box to see what recommended hardware was needed for the software they wanted to use. That is not stupidity. That is just not knowing or ignorant. I would ask this question first if I was the sales rep. What do you want to use the computer for. Then I would explain why the bargain would not work and go from there.
The consumer is responsible but Dell should make it easier for the consumer to understand what and why they need to be upsold. Its not rocket science.
We purchased a Dell computer on December 22, 2005. When it arrived there were two components on it that were not ordered. Dell had place a CD burner instead of a DVD burner and the speakers were supposed to come with subwoofers but did not. We were also supposed to receive a free 720 printer but they charged us $10.00. When we called them, 21 times, we were hung up on, transfered to music but no one came back to talk to us, and no one would let us talk to a manager at all. We were told we could ship it back but would have to pay $99.00 for shipping. Basically, there was nothing we could do! We tried and tried to solve the issues and no one wanted to help us. What it boils down to is, the whole business with buying a computer from Dell has been a huge disappointment and all we want is our money back so we can go buy what we need. I will never recommend anyone there nor will we ever buy anything from Dell again.
Im with you , they took my money and still have not refunded my entire price I paid. they have given me the run aroiuund , I have spent more than 50 hours on the phone with them trying to get my money back for a comuter they shipped to me by mistake. They stole my money and I want it back . Im sick of being robbed of my time, my money and my sanity(speaking to people who speak poor english and only write in the logs what they feel not what they promised)
Single mom, with Deadbeat ex and a 2 year cancer survivor-
I can't believe anyone could say Dell has treated them good and anything that has been written in that form has to be from someone that works for Dell. I wouldn't believe that for a minute and hope noone else does either. They will take you for a ride if you deal with them.
I purchased a Dell Laptop in February 2004. In the first 6 months, the unit failed and I called tech support for assistance. That was a joke! I work in a technical support environment and I had to explain the troubleshooting steps to their own agent, unbelievable. After waiting for the hard drive to arrive, I replaced the unit and reinstalled everything. When reviewing my statement I noticed that they promised me a lower interest rate and financed my purchase through DFS turned out to be between 27 and 31 percent. This is highway robbery. I contacted Dell and all I got was a run around. I am still dealing with this and have reached a boiling point! They need to be stopped! The amount owed is more than the cost of the unit originally.
I've used Dell, Sony Vaio and HP computers. Dell is by far the worst company I've ever had to deal with. I ordered a brand new XPS system with two all in one printers. The printers didn't work with the computer and while I was talking with the Hindu Hotline the computer shut down. After an hour they determined that it was the mother board. It's been two months since we sent it all back and we still don't have our money back for the pc. I'm going with HP.
I purchased a Dell computer in February of 2007. They lost the order and reordered 3-9-2007 at a higher price. The all-in-one printer never worked was sent another by the Hindu hotline it never worked as well. After over a month of one thing being fixed and two new issues breaking, I requested to send it back.They attempting sending me 2 new computers after I requested to send the Dell back. Two and a half weeks after the boxed Dell sat on my front door step, I paid to have it sent back. Now the Fillapino hotline is trying to understand why I will not pay for it and what "Breech of Contract" means. I also financed it through Dell Financial Services, I requested an American born and raised body to call me in regard to the financing. I still have Fillapinos trying to collect money on a computer that was sent back. After over 25 case numbers of things that were broken, I chose to purchase a computer at half the cost and anguish.
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I am sorry to see that lawyers are looking for 'deep pockets' again!
advertised price includes shipping and customs taxes and
sometimes not. That can be more than $100 that they add if
subtract of the advertised price as they find suitable.
Anyway Dell products are very cheaply made and priced just
right. It's the kind of hardware that windows deserves to run on.
I think quality is no longer demanded, hence the fate of the
brilliant thinkpad line.
I'd suggest the best way to buy DELL is via the phone. You can sort out the details and bargain for a better deal.
But one thing I always harp to my coworkers about when it comes to buying a new computer is to just build your own. Building your own PC is far cheaper than buying new from any manufacturer, and you'll end up with quality components and a faster overall machine. And it's not a difficult process.
I'm still using the computer I built nearly 5 years ago. It's a P3 800MHz with 1Gig of RAM, running Win2K. The RAM was the fastest I could find for the 440BX chipset. And the motherboard let me overclock the Proc and RAM. It may be 5 year-old technology, but it's still a farily quick machine. I did have to upgrade the video card to a GeForce4Ultra about 2 years ago. And I can still play the latest games with great graphical quality.
I paid a total of $1700 for this machine -- including all the upgrades AND software -- over the last 5 years. That's a great value on investment, and why building your own machine is always the best way to go. (And avoid any potential scams a PC manufacture might throw your way.)
Dell rotates their online deals fairly often, so I checked over the course of a few weeks, and while I was looking for a more powerful machine than their basic model, I could never, ever manage to configure one "starting from $359". Even after clicking right on that price advertisment, the price would be higher with the starting configuration. So, I built my own.
Then a friend, who's a little less tech-savvy, wanted help configuring a new computer. They were dead-set on Dell due to the fact that they knew the name. So, we took a Dimension, added some memory, etc, and bought it. The front page said "pay only $10 shipping on any Dimension over $799" and of course, when his $800 computer was rung through the shipping came to $99. My friend, still dead-set on Dell, decided to order it like that anyway.
In the end, there was a problem with his credit card, and they sent the most unprofessional email about it (full of typos, poor grammar, didn't capitalize Dell, and had different hours to call listed than what the voicemail we eventually got on the phone said -- and the phone connection was so poor we could barely hear the recording), which finally convinced him to let me build a computer from parts bought at the corner computer store.
Getting off-topic, but as long as I'm ranting, I also don't like how you can't order a Dell without a monitor (in some cases, without a flat-screen). Also, sometimes their "great upgrade!" advertisements pop up for _downgrades_ (e.g.: after upping my friend's configuration to 1 GB of memory, it suggested I go to 512 MB for more power).
where the company went ahead and sent us equipment without
our final authorization. As a business customer this was
extrodinary frustrating as we had to deal with computers that
arrived without any plans to receive them. Worse, we had to take
time to arrange to send them back imediately which affected our
staffing.
Even though Dell screwed up the order and we sent the
equipment back ASAP, Dell after 2 months has failed to credit
our corporate credit card, citing extra and unusual delays in
processing time. What the heck is that?
Meanwhile, in contrast to Dell, we recently decided to test
Apple's Power Mac workstations after having a very successful
three year trial with Apple's servers -- specifically its Xserve.
While most of our gear is Windows or Linux based, I have to say
that working with Apple has been blissful compared to Dell.
Every single aspect of that company has been, dare I say it,
"easier".
And we really like the stability of their Mac OS too! And the virus
thing is just extra icing on the cake.
In the future not only will our business be more critical and
demanding of Dell, but we'll consider HP for Windows gear and
at this point have zero plans for Dell servers. We'll gladly pay a
slight premium for Apple's superb server hardware and OS.
Currently, with up to 3 years of experience with Dell machines, we have about a 2-3% failure rate. That is unheard of in the industry. Especially considering that students (k-12) use these machines. Further, in most cases, if a failure does occur (usually something minor like a floppy drive or power supply), we have new parts the next day, and in most cases they send a tech to do the work.
I have also bought my own Dells. I have one that is 3 years old and never a problem. My last desktop, one year old, does it's thing as a gaming machine. And, two weeks ago I bought an Inspiron 8600 laptop.
I have built, literally, hundreds of machines. And was going to built the last desktop, until I compared the prices for what I was getting with that of a comparable Dell. I went with a Dell because it was nearly $200 cheaper.....including tax and shipping.
Personally, at least from my own experience, I have to rate Dell as top-notch.
Stay tuned.
DD
Also, I know that when I was in high school, and the same is true of the few high school kids I know now, that the kids and teachers often end up maintaining the machines themselves, which is made all the easier since they tend to use parts from computers that are a generation old in families. I don't think many problems would get bumped up to the board level.
At times I've had to wait up to an hour on line for Dell tech support--and at times I have a bit of difficulty understanding their reps, but they have always helped me resolve my problems.
Bait and switch? I've not encountered any of that from Dell representatives. However, I generally customize machines, and always get an e-mailed or faxed purchase proposal with specs and prices to review before committing to the order by phone.
I'll be ordering another computer within the next few months, and I believe there is more to a purchase than simply getting the lowest price. There's no question...my next machine will be another Dell.
The consumer wants the cheapest computer that runs the latest games and complains when his needs are not met..
Dell will listen when u order 500 laptops in one go..
on the phone that their promotional information and advertising
was completely meaningless. I complained about a long order
processing time for a computer advertised on their website as
"order today, ships today" and he said "you can't go by that
that's just promotional....". I said "so you're telling my that what
it advertises on the website is completely meaningless" and he
answered "yes". I requested a copy of the recording of my
phone conversation but it is for Dell internal use only; I really
wish I recorded it myself - next time I will.
The consumer is responsible but Dell should make it easier for the consumer to understand what and why they need to be upsold. Its not rocket science.
Cheryl and Mark Wilinski
Single mom, with Deadbeat ex and a 2 year cancer survivor-
Chery Wilinski