Nov 19, 2009 9:48 pm US/Pacific
Call Kurtis: Burned Over A Cancellation?
SACRAMENTO (CBS13) ―
"We were going on vacation to Mexico so I wanted to have a little bit of a tan before I hit the beaches and got sunburned."
In February, Laura Brown signed a six-month membership deal with California Sun Tanning Salons, based in Roseville. For $89.00 a month she had unlimited use at any location.
"I was happy with the services and I'd been a member, I just did the pay as you go t hing and I wish I'd never signed up for the membership now."
When Laura wanted to cancel at the end of her six-months, she says she followed the contract, sending a letter to the California Sun Corporate Office thirty-days prior to the payment due date.
"After that I didn't hear anything from them so I assumed that they would be cancelling my membership."
Two-months later she notices they had still been taking money out of her account.
"They had no record of ever receiving my cancellation request from July 2nd."
On September 30th Laura says she again cancelled. This time through certified mail. But she was charged for the month of October too. Now a total of $267.00 she wants back.
"I didn't use them in August, September, or October, but I've been charged for those months."
We spoke with CEO Michael Blore weeks ago who told us he gave her an $89.00 credit towards future tanning. He told us;
"Her contract was for a minimum of six-months and continues until she cancels it in writing. We never got her cancellation"
But today he sent us this statement reading in part;
"It's unfortunate.... that the facts have been mischaracterized in an effort to place our company in a false and unfavorable light to effect a repayment that is not legally due.... At you suggestion, we credited Ms. Brown's account for two-months of payments."
Laura is pleased with the refund, and hopes others don't go through the same thing.
"It would be great for me if they would change their policies going forward."
Full Statement of California Sun:
I am writing to respond to the email I received from you yesterday. Quite frankly, I was very surprised to receive your email since, at your request, we have credited Ms. Brown's account for two months of payments even though we were not legally required to do so.
California Sun is committed to providing the highest level of service to our clients. We pride ourselves on providing an outstanding overall experience for our clients from start to finish. It is unfortunate that one of them (out of thousands) has turned to the media to resolve a simple dispute, and that the facts have been mischaracterized in an effort to place our company in a false and unfavorable light to effect a repayment that is not legally due.
Our agreement with our clients is quite simple. Enjoy our services for as long as you like by paying a monthly fee. If you wish to discontinue the service at any time, then provide us with notice in writing and the agreement will be terminated. To ensure that notice is given, however, our agreement requires that it be sent by certified mail. It is really that simple.
With respect to our cancellation policy and its relationship to the "Mail Presumption Rule" to which you refer, we are not familiar with the "Mail Presumption Rule" and question how this rule would be applied since, based on your statement of this rule, the receiving party would be required to prove a negative the receiving party would have to affirmatively prove that that it never received a certain piece of mail. You may, instead, be referring to the "Mail Delivery Rule," which appears to be the law only in certain jurisdictions. The "Mail Delivery Rule" raises a presumption that mail has been received by the addressee upon proof that the letter or other mail matter has been properly addressed, stamped, and mailed. According to this rule, the person taking the position that notice of cancellation was given by mail would have to prove that such cancellation was in fact properly addressed, stamped, and mailed (which is not the case in this matter). Further, my understanding of the Mail Delivery Rule is that it does not apply to mail sent by ordinary mail where a contract or law require notice by certified mail. Once again, to avoid disputes like these, our agreement requires cancellation by certified mail.
In the case of Ms. Brown, we were not notified that she wished to terminate her agreement until September and, at that time, her agreement was cancelled. In addition, although we were not required to by law to do so, at your suggestion, we credited Ms. Brown's account for two months of payments. Further, as I believe you are now aware, we have contacted Ms. Brown directly and have agreed to refund two months of payments to her instead of crediting her account. She has expressed that she is satisfied with this resolution.
We trust that this letter answers any questions that you may have and, if you choose to run the story despite the fact that it has been resolved to Ms. Brown's satisfaction, we trust that it will be accurately depicted by you now that you are fully aware of the facts.
Best regards,
Mike Blore, CEO
California Sun Centers, Inc.
(© MMX, CBS Broadcasting Inc. All Rights Reserved.)
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