Business and Personal Ethicsbusiness ethicsEthical BehaviorethicsYou Gotta Be Kidding

Is there anything smaller than small print? Yes, it’s KlearGear.com and ethically they stink in my opinion!

By December 4, 2013 One Comment

Here’s an ethical doozie for the holidays as reported by Pamela Brown for CNN (December 2, 2013) in her article entitled: “Couple Fined for Negative Review Online.”

KleargearThe article takes us back to Christmas of 2008, when a man in Salt Lake City bought a Christmas gift for his wife online via a website called KlearGear.com. The gift never arrived. Naturally, he tried calling the company – several times, and apparently no one ever answered the phone.

I would like to say this was a highly unusual occurrence, but I too – and I suspect many of you – have tried calling “websites” only to find “no one at home.”

Back to the nice couple.

“After 30 days, PayPal said ‘Hey, there’s no activity here’ and they turned around and gave the money back into my husband’s account and effectively canceled the sale,” the wife told CNN.

In frustration, the couple posted a negative review of the company saying:

“There is absolutely no way to get in touch with a physical human being. No extensions work.”

The Kicker

We now fast forward a few years when the couple received an email, apparently from the company stating, according to the article:

“…that they (the couple) would be fined $3,500 if the negative review posted on ripoffreport.com wasn’t taken down within 72 hours.”

            Naturally, the couple was shocked. They posted the negative review on a “rip off” complaint site after frustration and incredibly poor customer service and now they were about to be fined?

Again, and according to the article:

“The e-mail cited an obscure non-disparagement clause in the terms of use contract that states: ‘Your acceptance of this sales contract prohibits you from taking any action that negatively impacts KlearGear.com.’”

Apparently, and according to the experts:

“The First Amendment does not protect certain kinds of free speech and you can sign a contract giving away your free speech,” according to CNN legal analyst Paul Callan. (Quoted in the article).

The couple acquiesced and tried to remove their negative review, but they had trouble removing it. KlearGear.com then turned their claim against the couple over to a collections agency and now the couple’s credit rating has fallen through the floor.

Oh sure, the story went viral and the social media has hammered the folks at KlearGear.com, but the company, as it turns out, is not alone.

Many companies “out there” have non-disparagement clauses. If you have signed a contract with one of these companies stating you will not disparage them online remember this: no matter what these companies may do, and no matter how cheated you may feel, unless you have kept impeccable records, and unless you are absolutely certain of winning a complaint in a court of law, get your refund, avoid the temptation to “vent” and walk away.

A New Era

The Utah couple is going to “lawyer up,” and wants to take the company to court. They are challenging the non-disparagement clause, and perhaps they will win. It will undoubtedly cost them a lot more money than the original gift. It will not stop the use of those clauses.

Do I think the company in question suffers from a case of poor ethics? In my opinion, they do. Here we have the ridiculous situation where a company will happily accept praise, but will sue if they don’t. It is the same thing as saying: we are never wrong, but if we are wrong, we are still right and you can’t do anything about it.

In this new era, you must arm yourself. Ecommerce and internet sales in general can be fraught with danger. I am not anti-internet; I am saying that if you find an interesting new site, do your research. Check them for complaints – and by all means, read the contracts, just don’t “click the box.”

I often hear how anonymous the internet can be. Don’t believe it. The world is not quite as “flat” as the internet and social media experts purport.

The internet, as well as in real, three dimensional life, can be unethical in practice and application. The way to best arm yourself is the old-fashioned “smell test.” If it doesn’t smell right, walk away. The test does not only apply to this situation, but to many ethical tests that confront us. No amount of room freshener will chase away a poor ethical odor and KlearGear.com stinks!

IF YOU’VE HAD A SIMILAR EXPERIENCE FEEL FREE TO SHARE!

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