Their contract practices are deceptive. My wife was tricked into signing a three year agreement. We got absolutely no consideration for agreeing to the three year term. What I mean by this is, we paid full price for the installation and we paid full price for the monthly monitoring. So, we had no incentive whatsoever to sign a three year contract. Cell carriers, for example, will ask for a two year contract, in exchange they'll give a free or greatly reduced price cell phone. The cell carrier is giving something in exchange for being bound by the two year agreeement. Further, the two year contract is very clearly explained verbally and in writing, and is all over the agreement. There's never any surprise when signing the two year agreement.
Also, ADT just settled a class action, or was recently fined for this very practice. I am bound to them for three years, but they are free to raise my rates. This is even more predatory. I am now paying a higher price per month than my contract calls for. That's another term in their contract. They can raise rates on me, and I can't leave them for three years. No company can get away with this, which is why they are being sued for this practice.
This is a very generous offer ADT is making. We'll waive the penalty if you agree to another 3 year contract with us- wow thanks for the offer. I will never do business with ADT unless this early termination charge is waived.
Let me reiterate- we never would have purchased the product if we had known there was a three year contract. We have moved for my work on average every two years. So we would have guaranteed ourselves early termination charges. There was no meeting of the minds under the contract, which is a required component of a contract. To simply state the 3 year term was clearly indicated in the fine print is not the appropriate bar for a contract to be valid. I truly can't wait to join the class action lawsuit that will certainly be brought against ADT for these deceptive and predatory contract practices.
We have paid ADT more than $2,000 and they've never had to respond to a single alarm call. In other words, they've installed hardware, which has a cost, and the labor to do it. That cost us $1,000. Safe to say they made some money on that- let's call it $250 profit. And they've charged us approximately $1,000 for monitoring since we turned on the service- let's say they made $750 profit since they've never had to do a thing aside from have a connection to their monitoring stations. So, conservatively they've made $1,000 profit from me, but that's not enough. Now they want to charge me more than $500 after they turn off my service- that's greedy and absolutely unacceptable.
To summarize- I had nothing to gain by signing a 3 year contract, and for the life of me, I cannot determine what they had to lose if they did not require a 3 year contract- other than the strong likelihood they could rip off a customer who needed to terminate early.
Also, they have barely attempted to reach me regarding this complaint. I received my first message from ADT on 6/27. I returned their call the same day. Then I received another message on 7/2. I returned the call on 7/3 and spoke with a gentleman named Albert- ID#66308. My favorite quote from him was- I could give you an answer but you wouldn't like it. I left a message for my representatives back-up, since my rep is out of the office until the 9th. I expect to hear from her backup today.
I can't figure out how ADT stays in business treating high paying customers like this.
Product or Service Mentioned: Adt Installation.