Consumer Rights and Responsibilities Chapter 23

The Consumer Bill of Rights Outline by President John F. Kennedy in 1962 The Right to Be Informed The Right to Choose The Right to Safety The Right to Be Heard The Right to Have Problems Corrected The Right to Consumer Education The Right to Service

Consumer Movement Movement to pass laws protecting consumers from unfair and unsafe business practices.

The Right to Be Informed You have a right to accurate information about products. Businesses are required to give you certain information about products Ingredients in food Interest rates for loans

The Right to Be Informed Energy Guides inform us of the estimated energy consumption and the estimated yearly cost of operating the product Clothing labels provide information about what the garment is made of, how to care for it, where it is made, and what size it is. Food labels give us useful information about the food we eat

The Right to Choose Consumers have the right to choose from a variety of goods and services. Competition gives consumers more choices of goods to buy Federal government regulates the market to keep it competitive Anti-trust laws: designed to keep monopolies from forming

The Right to Safety Consumers have the right to products that are safe to use. Product Liability – manufacturers have a legal responsibility to make a safe product. Can you think of any safety devices or warning labels on the products that you use?

Warning labels How about… Cigarette Label CD Labels ATV Label         Cigarette Label CD Labels ATV Label Warning Labels Video

McDonalds Coffee Lawsuit In 1994, $2.9 million was awarded to an 81-year old woman who was scalded by McDonald’s coffee. While removing the lid to add cream and sugar, she spilled it causing third-degree burns to her inner thighs Judgment was later reduced to $430,000 What changes do you think occurred after the verdict?

As a result… Batman: The Animated Series Armor Set Halloween costume: PARENT: Please exercise caution—mask and chest plate are not protective; cape does not enable wearer to fly. Conair Pro Style 1600 hair dryer: WARNING: Do not use in shower. Never use while sleeping. Instructions for folding up a portable baby carriage: Step 1: Remove baby. On packaging for a Rowenta iron: Do not iron clothes on body. More Funny Warning Labels

The Right to Be Heard Consumers have the right to complain about products or services “The customer is always right” Many businesses rely on satisfying their customers to stay in business Do you have an example of a time when you complained about a product and the business responded positively?

SPAM emails for free gifts The Right to Be Heard Bait and Switch Store advertising an item at a low price to lure you in Then the product is not available They attempt to sell you a more expensive item Fraud deliberately misleading the consumer Vacation Scams SPAM emails for free gifts

Vacation Scams

The Right to Have Problems Corrected Many large businesses have customer service departments Companies want to keep your business and will usually correct any problems that you’ve had How would your respond if you purchased an item that was defective, and the company did not rectify the situation?

The Right to Consumer Education Customers have the right to know how the economy works Orientation to Business Be an informed consumer Read Consumer Reports Watch the news CBS News Consumer Alerts Comparison shop http://www.shopping.com/ Consumer Websites http://www.fightback.com/ http://www.consumeraffairs.com/

The Right to Service Consumers have the right to be treated in a respectful and courteous manner Consumers have the right to expect fast delivery of goods or services Consumers have the right to be served without discrimination What could you do if you feel you are not being treated fairly?

Your Responsibilities as a Consumer We have 7 rights as consumers, but we also have responsibilities as consumers too Responsibility to be informed Responsibility to choose carefully Responsibility to use products safely Responsibility to speak out Responsibility to learn consumer skills

The Responsibility to be Informed As a consumer, you have the responsibility to be informed and educate yourself Before making a major purchase, do your homework. Consumer Reports Read Fact Sheets

The Responsibility to Choose Carefully Make comparisons to find the best product or service at the best price Find out about the product choices Which product has the best guarantee Which product fits your budget and your needs? Choose products that don’t hurt the environment Pollution – contamination of air, water, and land Conservation – process of preserving, protecting, and planning the management of resources. Recycling – collecting products for processing so they can be used again

The Responsibility to Use Products Safely Government has passed many laws to make products safe You have a responsibility to read information about a product and use the product the way it was intended Extreme Home Makeover Video` Consumers must follow the instructions given by the manufacturer for the safe use of products What is the recommended dosage? How should chemicals be stored?

The Responsibility to Speak Out You have a responsibility to report unfair, unsafe, and illegal business practices Boycott – refusing to buy a good or service A modern boycott was the blacklisting of the country band The Dixie Chicks after one of the members made a derogatory political comment about President Bush. Many country music stations in the U.S. refused to play their music as a result. List of active boycotts http://www.ethicalconsumer.org/boycotts/boycotts_list.htm

The Responsibility to Seek Remedy You have a responsibility to seek remedy for a defective product If you plan to exchange an item or get a refund: it’s your responsibility to bring the item with you It’s your responsibility to bring the receipt and bring any warranties or guarantees that came with the item.