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Dell consumer practices illegal

by on28 May 2008


NY State Judge rules

A New York State Supreme Court Judge has ruled that Dell Inc. has engaged in fraud, false advertising, deceptive business practices and abusive debt collection practices in the State of New York.

Judge Joseph Teresi ruled that Dell’s advertisements to consumers lured them in with offers of “no interest” or “no payment” financing options, which were false, as Dell’s financial group instead charged higher than normal interest rates.

Dell issued a statement that it disagreed with the Judge’s ruling, but did not indicate whether it would appeal. "We don't agree with this decision and will be defending our position vigorously. Our goal has been, and continues to be, to provide the best customer experience possible." a Dell company spokesperson said in a statement.

The action was brought against Dell in May 2007 by New York State’s Attorney General, Andrew Cuomo, who had sought an injunction against Dell for its practices and unspecified damages for those affected consumers. Cuomo indicated that the Supreme Court will decide how much restitution Dell will have to pay to consumers in further proceedings.

Last modified on 28 May 2008
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