APX pays $60K to settle with Oregon AG

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05/03/2010
The Oregon Attorney General's office announced last week (April 28) APX Alarm will pay the state $60,000 to settle a lawsuit against the summer-model giant for unethical sales tactics and specifically preying on elderly residents. "Targeting elderly Oregonians with misleading and high-pressure sales tactics is unacceptable," Attorney General John Kroger said in a prepared statement. According the the press release:
More than a dozen consumers filed complaints against APX Alarm Security, accusing company door-to-door sales representatives of various illegal sales tactics, including offering "free" security systems to consumers if they put an APX sign in their front yards. Many of the systems in fact cost the consumer an average of $39.99 a month and locked the consumer into a 60-month contract. Consumers also complained that APX sales representatives used aggressive sales tactics, including falsely stating that a consumer's neighbor had just been robbed or burglarized; refusing to leave consumers' homes for hours; and claiming partnerships with fire or police associations in order to close the sale.
The release said "In addition to paying $60,000, APX must make significant changes to its sales practices." I asked Stuart Dean, APX's press guy, about the settlement and he sent me this statement.
APX Alarm worked in good faith with the AG’s office to satisfy the customer complaints going back to 2008 and are happy we were able to come to agreement. We were not found in violation of any Oregon laws and will continue to conduct business in a way that exceeds the provisions of the agreement.