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Contract Cancellation Business Practices

Posted Wed August 23, 2006 1:27 pm, by Michael M. written to ADT

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I will describe the following events with detailed accuracy and leave no margin for error. In short, I have a complaint with ADT's contract cancellation policy and how they go about collecting there money.

Series of Events:

1. As of 07/27/2006 my wife and I cancelled our contract with ADT because we had to move across country to be with family.

2. We received a cancellation bill of $341.45 stating that we had to pay 75% of the remaining contract. Furious about receiving such a large bill and not understanding the cancellation policy, I called ADT to have them explain the policy to me. They explained that the contract we signed stated that we had to pay 75% of the remainder of the contract if we cancelled early. Figuring that there would be a moving clause (no cancellation fee if you proved we were moving), I ask ADT about it and they said there was no such clause. At this point I could not believe that I had to pay SO MUCH money to cancel my service.

3. I decided to READ ALL THE FINE PRINT on the contract and found that ADT LIED to me about the 75% contract cancellation fee! The contract states that if I cancel my contract in the first year, I would pay $450.00, in the second year I would pay $200.00, and the third year $100.00. We fall into the 2 year cause and we should only have to pay $200.00 total. AT THIS POINT I WAS ABSOLUTELY FURIOUS!

4. I called ADT back to explain my findings about the cancellation fee. They said "oh - sorry we made a mistake". I DO NOT BELIEVE THAT THIS WAS A MISTAKE! ADT tried to get as much money out of me as possible in hopes I would not read the fine print. The ADT rep stated that they would adjust my bill accordingly.

THIS BUSINESS PRACTICE IS TOTALLY UNACCEPTABLE. Because of this practice, if ADT does not waive the entire cancellation fee, I will NEVER recommend or USE ANY ADT PRODUCT/SERVICE EVER AGAIN. I am concerned that other customers of ADT fall into this category and potentially paid much larger amounts than actually owed when trying to cancel there service.

I would like ADT to waive the entire cancellation fee.


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