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New York Judge Joseph Teresi ruled that Dell is guilty of false advertising and deceptive business. The decision comes as a response to the complaints of some Dell customers who have accused the company that it misled them into buying its equipment by publishing advertising material that offered incomplete information.
The lawsuit was filed by New York State Attorney General Andrew Cuomo, who received about 700 complaints about Dell’s advertising practices during the last year.
According to advertising materials, Dell offers its customers no payment or no interest financing options, but only for the applicants that are ‘well qualified’ or ‘best qualified,’ as well as ‘next day’ repair service. However, only about 7 percent of the people who have applied for the financing options have been considered to fall into this category. In addition to this, a lot of Dell’s customers have not received the ‘next day’ repair service that was promised as well.
The computer company stated it does not agree with the result of the lawsuit, but it has not yet reached a conclusion about whether it will appeal the decision or not. Dell also said that it had about 6 million customers last year, and that the ones who filed complaints represent a very small fraction, meaning that the customers have usually been satisfied with the company’s services.
After the lawsuit was filed in May 2007, there appeared another 1000 complaints from Dell customers. The court will hold further proceedings to decide how much the computer company will pay to its unsatisfied customers.
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