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Path: utzoo!linus!philabs!cmcl2!seismo!ut-sally!ut-ngp!werner
From: werner@ut-ngp.UUCP (Werner Uhrig)
Newsgroups: net.consumers
Subject: Consumer Buying Clubs (continued Austin story)
Message-ID: <1566@ut-ngp.UUCP>
Date: Fri, 5-Apr-85 17:04:12 EST
Article-I.D.: ut-ngp.1566
Posted: Fri Apr  5 17:04:12 1985
Date-Received: Sun, 7-Apr-85 09:21:29 EST
References: <722@druxp.UUCP>
Organization: U.Texas Computation Center, Austin, Texas
Lines: 31

[you asked for it:  excerpt from today's paper]

UNVERIFIED CLAIMS BANNED IN SUIT AGAINST DISCOUNT BUYING CLUB

A judge Thursday ordered the UNIVERSAL BUYERS CONCEPT, a discount buying club,
not to make any claims of discounts or buisness affiliations that it cannot
verify.

... Several witnesses testified that items they bought through the club could
be found at nearly equal prices in Austin retail stores.  ...[ some examples,
where the club was even MORE expensive] ...

... phone solicitation was used, prices were offered, like a "food processor"
which turned out to be a set of 2 knifes, claims were made about the club
being a member of the BBB and that $1 million bond had been posted.  company
claimed it could sell cars and mobile homes at "fleet prices", and that the
membership was a "LifeTime Membership" ....  About 30% of the furniture
displays were leased.

The judge ordered that the club discontinue all these false statements and
that the leased furniture be labeled as such.

[ While significant discounts are available when buying just about anything
  in quantity, I am more than surprised that someone seems to believe that he
  has received his $700-plus dollars worth.  Employees of large companies like
  Exxon, IBM, AT&T, etc, for many years, have had the opportunity to purchase
  things at large discounts - I remember, that especially cars and major
  appliances were real cheap at Exxon - however, I do not remember that
  such *large* membership fees were required.  I'm really SCEPTICAL about
  any such outfit and would recommend anyone take a real hard look before
  forking over a couple of hundred dollars "in advance"  --  Werner ]