Wednesday, December 18, 2013

Avoid KlearGear.com At All Costs: They Dinged a Couple's Credit for a Negative Review on a $20 Gift

Talk about a company sticking it to a consumer for writing a bad review.

The story goes back to December 2008 when KlearGear.com didn't deliver Jen Palmer's online Christmas order of a desk ornament and keychain that cost less than $20. Jen Palmer, now 40, wrote a negative review on private business review site RipoffReport.com, saying KlearGear.com had "horrible customer service practices." 

Last summer, her husband, a senior network engineer, received an email from KlearGear.com demanding $3,500 pursuant to a non-disparagement clause that it claimed was in its "Terms of Use" on its website. 

The Palmers say they asked RipOffReport to take down the negative review, but the site has an arbitration process that requires the involvement of the business. The couple say they shared this information with KlearGear.com, but the company didn't respond. 

The Palmers refused to pay the fine, prompting KlearGear.com to report their "debt" to one or more credit reporting agencies, the suit claims. When the Palmers disputed the debt with several credit reporting agencies, KlearGear.com continued to maintain that the debt be paid and then demanded a $50 "dispute fee" because they attempted to dispute the debt, the couple claims.
KlearGear.com did not respond to a request for comment. 

I'm still marveling that a company had a non-disparagement clause in their "Terms of Use." It takes all sorts of gall to actually send a letter asking for $3,500 to a customer for writing a bad review. Then they go the extra mile and reported it to their credit company as a debt that the customer didn't pay. I wonder if they actually expect someone to buy their products after this story became public? They should have just read the review and endeavored to do better. Now you have to worry about a company dinging your credit because you wrote a bad review on a $20 purchase.

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