Complaint About Store Selling Fake Product

[LillFilly]

A customer complained to security today about one of our smaller family-owned stores. This is a rather large family whose various members own 4-small stores in our mall, 2-selling crap and knockoff stuff, 2-selling useful items. The customer purchased some jewelery stamped with .925 (for sterling silver) from a case labeled STERLING SILVER. Each piece was approx. $15. Once home he tested it with a magnet, it stuck, so he returned the items. The store owner didn't bat an eye, which made the customer figure he knew the stuff was fake. In my personal opinion, I would see the price and realize that the stuff couldn't possibly be sterling silver, but since it is stamped and labeled as such I'm sure many just figure it's their lucky day, it must be a sale! I have no problem with him selling the fake stuff if it's labeled such. Another store this family owns also sells jewelery. We had another customer complain after purchasing a $300 'gold' necklace (also stamped and from a case labeled SOLD 18K GOLD), then having it checked at a jeweler to find it was plated. However, this store refused to refund the customer or do a return, so he was pissed.

I've spoken with one manager who pretty much said 'buyer beware' but I think I will go to the mall's boss because there have been so many complaints and everyone in the area thinks that this family is a bunch of cons. I don't like them myself, but as long as they stick to the rules we will be fine. When you lie to the customers though, that crosses the line. I don't know if the customers can do any legally and don't know if I could recommend that anyway. I don't know if some sort of anonymous investigation could be launched, but then that would look bad for the mall. The stores probably feel that if they revealed what they actually sell, they wouldn't get as many large purchases from people who really seem to think you can buy a 20inch sold gold chain for $300 so they can feel important. Someone seemed to imply that it's ok to sell the fake stuff to someone who believes it's real as long as they never actually SAY that it's real; then they can fall back on "well, the customer never asked if it was or not!"

[ArcticChicken]

It's fraud. It's illegal. Report them.

[Marszenka]

This is completely illegal. The US has regulations about this; that's the entire point of the stamps -- there is a set standard for metal and only metal meeting those standards is meant to be stamped. ENTIRELY against the law, and frankly if an investigation will make your mall look bad, NO investigation will make your mall look worse.

Also, it's entirely possible to get sterling and gold at those prices. I worked in a trading post that sold a lot of Native-made jewelry (mostly sterling, although there was a selection of gold), and the prices depended on when the owner had purchased them. They'd been in business over 20 years and some of their pieces had been purchased that long ago, and were either on the shelves or in a warehouse. Obviously the price of these things was lower then, and they did not jack up the prices now to fit with the current demand. Or if they did, it wasn't enough to be noticeable -- they had the best prices in the mall and possibly the town.

Although in all fairness I now feel like I'm getting ripped off when I buy silver. The Navajo/Hopi/Zuni pieces I bought were either heavy silver, really finely handcrafted, or both, so when I go to Kohls and see super-delicate earrings going for 40-50 dollars, I gag a little. >_>

[Slayer]

Have to agree with the above, definitely illegal. Those customers have every right to sue.

And chances are with people that upset, they'll sue the mall, too, if they find out they were aware of the problem beforehand and did nothing. Whether or not that holds up will still cause issues for the mall and its tenants.

[Irving Patrick Freleigh]

I don't know if the customers can do any legally and don't know if I could recommend that anyway.

Sure they can. They can sue the store for selling them a knock-off.

I don't know if some sort of anonymous investigation could be launched, but then that would look bad for the mall.

It will look even worse if the customers also decide to sue the mall, and their attorney is demanding to know why the mall did nothing when told one of their tenenats was selling counterfeit merchandise.

Someone seemed to imply that it's ok to sell the fake stuff to someone who believes it's real as long as they never actually SAY that it's real; then they can fall back on "well, the customer never asked if it was or not!"

If you believe that, I have a beautiful Louis Vuitton bag to sell you.

[Kristev]

It's fraud, no doubt about it.

And it's illegal, no doubt about that, either.

[SongsOfDragons]

In the UK all gold, silver, palladium and platinum jewellery is sent to one of the Assay Offices for testing, and only then will it get the Assay hallmark. I always check for the leopard, castle, anchor or rose in any major jewellery purchase.

Hallmark fraud = bad. I learnt all about hallmarks when I worked at F.Hinds for a short time.

[Victory Sabre]

The only possibility is that they are plated in sterling silver or 18k gold, not made from it.

[RealUnimportant]

If the signs are implying that anything in that case is a certain standard of metal, then the customer IS "being told" that it's something it's not.

CYA time, seriously.

[csquared]

While I am not an attorney, I believe that as long as you have not bought anything from them, you have no standing to file a criminal complaint. That does not mean you can not offer a tip to the local DA about a criminal activity.

I might start with an investigative reporter at the local news outlet. Someone like the Fox News I-Team.

[RealUnimportant]

Perhaps a word to the local BBB - I think they're the US equivalent of our Trading Standards?

[PepperElf]

I'd suggest notifying the mall as well cos this can hurt their reputation.

and you can always go in as a customer and bring a magnet along. once you find fake stuff call the police non-emergency line and ask them what your options are.


(i'm betting if you do it within the store they'll freak out though so you might want to decide if you want them knowing or if you want them caught)

[Geek King]

Perhaps a word to the local BBB - I think they're the US equivalent of our Trading Standards?

Not really. When you get down to it, the BBB has no real power other to say, "There was a complaint against this store, and here is how we feel about how they handled it." They have no enforcement powers. That falls to the individual states in the U.S. and how the local governments handle business fraud.

[PepperElf]

Not really. When you get down to it, the BBB has no real power other to say, "There was a complaint against this store, and here is how we feel about how they handled it." They have no enforcement powers. That falls to the individual states in the U.S. and how the local governments handle business fraud.

This.

The FTC may be the ones to contact if not the police.

[Becks]

If you believe that, I have a beautiful Louis Vuitton bag to sell you.

But it matches your eyes and shoes so well!!