StoresOnline.com agreement with the Washington State AG's Office
I can't believe I missed this press release as I've been following this companie for years now, wondering how it was getting people to hand over so much money despite the large volume of existing complaints and what seemed to me at the time questionable business practices.
From the News Release:
"Kristi Chadd, of Clarkston, paid more than $5,500 to StoresOnline after attending a sales presentation in Spokane. A car crash left the former traveling nurse with a back injury that limits the type of work she can do and the number of hours. Although she doesn’t even have an e-mail address, Chadd was convinced by the sales agents that she could start a successful online sales company. She said they told her she didn’t even need a product to sell; they’d help her find one. She said they showed her a video where children and a woman who could barely speak English talked about the money they were making online."
One person who claims to be a victim of the StoresOnline business has posted about her experience with StoresOnline.com here and put together a list of other companies she claims to be related to StoresOnline at this blog. (Note: I haven't verified her story or the accuracy of the list of sites she posted).
You can read the original Washington State AG's press release here.
Important information for people over 65 (this is something I hadn't seen before):
"Tassi said today’s agreement should help ensure that any consumers contacted by StoresOnline in the future understand what they are – and aren’t – getting for their money. State law allows consumers to cancel a purchase made during a seminar at a hotel, for example, within three business days. The state’s agreement extends those refund rights to ensure that all consumers have at least a full weekend to examine the StoresOnline product and that consumers 65 or older have 15 days to rescind a purchase."
I haven't checked to see if any of the other states offer similar extensions for consumers over a certain age.
I don't mind broken promises…
To quote one of Jack Handey's Deep Thoughts:
"Broken promises don't upset me. I just wonder, why did they believe me?"
Here's the promise the companies have made in their agreement:
"The companies, which cooperated with the investigation, also agreed to restrictions that prohibit them from engaging in deceptive business practices in the future."
We'll see…
Filed under AG Releases by Comment. 
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Comments on StoresOnline.com agreement with the Washington State AG's Office
3:29 pm
Here is the template of deception, from the consent decree.
" In connection with the advertising, promotion, offer for sale, sale, or distribution of any of Defendants' products or services in or affecting commerce, representing, expressly or by implication:
a. That Defendants' products or services are easy to use or designed to be used by novice business persons or computer users unless such representations are, in fact, true;
b. That Defendants' products can be used successfully without the consumer owning or otherwise having unrestricted access to a computer and a high-speed Internet connection;
c. That Defendants will provide all needed support to enable the consumer to successfully use Defendants' product or services, unless such is the case;
d. That coaching or mentoring services are included in the price of the Defendants' products or services, unless such is the case;
e. That Defendants' customers run successful Internet businesses, unless Defendants have knowledge and possession of factual and verified information supporting such a representation;
f. That training or technical support will be provided with the sale of Defendants' products or services, unless such is the case;
g. That the Defendants will not misrepresent the marketing experience of the people providing the sales representations, and will make clear that they are compensated by the Defendants;
h. That consumers do not need to pay Defendants a fee for website hosting unless the consumer builds and activates, i.e., publishes a website, unless such is the case;
i. That it is easy to find drop-shippers to supply products for consumers' e-commerce sites;
j. That consumers who finance their purchase of Defendants' products or services will be able to recoup the cost of the products or services through use of Defendants' products or services; and
k. That it is better for any reason to purchase a package of multiple websites rather than a single website or website license without explaining the business rationale for such."
So basically they should say, it is hard, you need experience, we offer not real training, you will have to have access to a computer, paying hosting fees and other fees, it is hard to find shippers, and you only need one website.
4:43 pm
Thanks, Michael
I'm still curious about the comment you made on another post where you said you had an idea of why people don't do the research they need to do about a business opportunity, even when they can.
I'd love to hear your thoughts on that.
12:48 am
I am working on a post, but basically it boils down to three different concepts which work together.
1. Pascal's wager, the secular version. It goes like this: well I know that there is a low chance of success, but the prize is so large, I might as well investigate further.
Uh, there is no chance of success.
2. The light was red went I went through it – or cognitive dissonance. Many times we do recognize the danger signs, and ignore them anyways. Instead of running away, we try to convince other people to join us in our delusions.
3. Finally, is the notion of "something for nothing". Kid Yellow was very good at explaining his psychology of fraud by concentrating offering the victim something for nothing – but it was the Kid who got something and the victim nothing. The something for nothing concept is a parody of the usual economic transaction, an exchange of value. Many people fail to ask – what is in it for the other guy and fall for the "something for nothing" gambit.
I have sub categories which fit into these three, but this is pretty much my current thinking.
7:04 pm
Andrew Salinas here, I am a pastor and was interested in the software to
build sites for local churches in my area. I am also involved with parents
who have lost children (as I too have lost a son) and would like to host
sites for there kids as well. I went to the Storesonline Pro Workshop and I
paid the $7,000.00 almost 15 months ago and was told then that I could host
the sites with whomever I wish. I have a local IP that will host the church
sites for free but storesonline will not let me have a copy of the software I
paid for. I have called twice a week for about 2 1/2 months trying to get a
copy of the "storesonline downloadable pro" I haven't seen it yet.. maybe
you can help me. email to revsalinas@charter.net
5:28 am
Hello,
I have recently purchased two websites with this company and we have a workshop to attend that is no cost. I do not have thousands
plus dollars for any more add ons. I am shocked to hear of the
scammy way they are doing business. I wish I could stop my bad
decision. I hope that they have cleaned up their act for your
sake and for mine! I also have dreams of grandeur!