You’d think that if you bought a laptop computer from a store, and it didn’t work, you’d be able to return it and get your money back.
But it’s not necessarily so easy.
Some retailers are charging so-called restocking fees for returned merchandise.
As New Hampshire Public Radio’s Amy Quinton reports, one Epsom resident was told if he wanted a refund he’d have to pay 150 dollars.
Computer consultant Matt Southerton recently bought a laptop computer from the Circuit City store in Concord.
But when he took it home, he found that the battery didn’t work so he took it back.
Southerton says the technician at Circuit City verified the computer had a battery problem, so offered him another one, the same make and model.
"I’ve been there two times in 24 hours, I was so excited to have another laptop, and then, I got it here and the exact same problem happened, I attempted to charge the laptop for about two hours, it wouldn’t work."
Southerton says he made a third trip to Circuit City. At this point he was told there were no more of that kind of laptop in stock.
"I went over and talked to the manager on duty and by this time I was so frustrated I said can I just have my money back can I please have my money back, and she said I can refund your money but we’re going to charge you a 15-percent restocking fee."
That would have been 150 dollars.
Restocking fees are legal.
In most cases, the fees –usually a percentage of the purchase price – only apply to higher ticket items like computers, plasma TV’s or digital cameras.
Circuit City corporate spokesperson Amanda Tate says there’s good reason for the fees.
"when a customer returns one of those products those items need to be inspected, or serviced and then must be sold at a discount, so that’s why we assess a restocking fee."
Those fees also would prevent someone from using an expensive TV for a Superbowl weekend and returning it.
Southerton says he doesn’t see how that reason could apply to him.
" I could understand a restocking fee for an item that works, I have no problem with that but if an item is defective, and you’ve bought two of the same item, each one the same problem, I just believe its not ethical to charge them a fee to return that broken item."
Not only does it sound unethical, New Hampshire Senior Assistant Attorney General Richard Head says the practice is illegal.
" in that circumstance it’s our position that it would be a violation of the consumer protection act and probably a violation of the uniform commercial code to charge the consumer a restocking fee."
NHPR called back Circuit City’s corporate office.
Their response was a moving target.
First, company spokesperson Amanda Tate had this to say.
"If they’re returning the product and it’s been open we will assess a restocking fee, if its defective our policy is there’s a number of options to ensure you still get a product that’s not defective. (The AG’s office says that’s illegal)..okay I’ll have to check with our legal department because I don’t know the laws there. I'll have to find out"
A few minutes later Tate said the Circuit City Store in Concord was wrong.
"If its defective and you want your money back, you do not want an exchange we need to do that for you."
Tate said they’d work out a refund with Southerton.
The New Hampshire Attorney’s General office says Southerton isn’t alone – its received a few complaints about companies charging restocking fees for products that don’t work.
In New Hampshire, companies don’t have to make sure their restocking fee policy is prominently displayed before the customer makes a purchase.
Other states –like Massachusetts-have stiffer policies.
Chris Goetcheus is with the Massachusetts office of Consumer Affairs.
"our law requires the merchant to clearly and conspicuously disclose the stores refund return or cancellation policies and generally we feel that restocking fees are part of those policies and should be prominently displayed."
Geoetheus says that usually means listing restocking fees at the counter, before a purchase is made.
He says consumers should always ask about fees up front – or go to a store that doesn’t use them.
For NHPR news, I’m Amy Quinton.
