Dell Settles Fraud Case for $4 Million

Posted 09/16/2009 at 1:15pm | by Paul Lilly

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Dude, you're getting a check. That is, if you live in New York and purchased a computer from Dell using a Dell-financed "no interest loan."

The OEM has reached a settlement with New York State Attorney General Andrew Cuomo in which the company will pay $4 million "in restitution, penalties, and costs to resolve charges of fraudulent and deceptive business practices that scammed consumers across New York State."

Cuomo initially filed the suit in 2007 accusing Dell of fraud, false advertising, and deceptive business practices over alleged misleading financing and failing to honor rebates, warranties, and service contracts.

"Today's announcement is the final step in ensuring New Yorkers harmed by Dell's deceptive and illegal business practices are fully compensated," said Cuomo. "Going forward, this deal means that Dell will have to clearly and fully disclose the terms and conditions of their products and services, to avoid this kind of fraud at the consumer's expense. We encourage anyone who was ripped off by Dell to come forward and file a claim to get their money back."

It should be noted that Dell admitted no wrongdoing in the settlement. Nevertheless, New York customers who think they may qualify for part of the $4 million settlement have until December 15 to file a claim, which they can do so at www.nyagdell.com.

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