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More than 5,000 Life Alert customers in New York will be able to cancel their contracts early and several hundred will be eligible for refunds after the state’s attorney general investigated the company for allegations that it was running afoul of consumer protection laws.
New York Attorney General Letitia James announced the agreement with California-based Life Alert Emergency Response, Inc, on Tuesday. The company – which sells small bracelets and pendants that function as emergency response systems and is best known for its “Help! I’ve fallen, and I can’t get up!” television advertisements – had failed to notify New York consumers of their right to cancel contracts within seven days of signing, as is required by law in that state, according to the announcement.
Consumers signing up for Life Alert’s emergency response service must sign a 36-month monitoring agreement and pay a monthly service fee, in addition to programming and installation fees. Customers pay, depending on the level of service they chose, between about $50 and $90 per month for 36 months of service, on top of upfront fees and shipping costs, which results in a cost of between $2,000 and $3,400 during the 36-month term.
In New York, consumers purchasing systems like those sold by Life Alert must be told verbally and in writing that they have seven days after signing any agreement to cancel it – and the cancellation period does not begin until it is disclosed to customers.
James’ office alleged that between 2014 and 2020, not only did Life Alert fail to make these disclosures, but it also refused to allow consumers to cancel their contracts when requested, even though state law allows customers who have not been notified of the seven-day cancellation period to cancel their contracts at any time. More than 16,000 New York customers were affected, the attorney general’s office said.
“When the elderly and disabled fall and hurt themselves, they trust Life Alert to come to the rescue, but Life Alert violated that trust when they refused to honor consumers’ rights,” James said in a press release. “Today’s agreement holds Life Alert accountable and ensures they not only protect seniors’ physical well-being, but their rights as consumers going forward as well. New York’s seniors can trust that I will always fight for their best interests.”
Under the terms of Life Alert’s agreement with the New York Attorney General’s Office, the company will send notices to all current New York customers – more than 5,500 – who are in the first 36 months of their contracts to notify them of their right to cancel their contracts immediately, according to James’ office. The company will also offer refunds to customers who unsuccessfully requested cancellation during their contracts and pay the state of New York $750,000 in penalties.
Do you use Life Alert? Were you confused by the terms of the contract? Tell us about your experience in the comment section below!
The investigation of Life Alert was led by assistant attorneys general Melvin Goldberg and Stephen Mindell of the New York Attorney General’s Office Bureau of Consumer Frauds and Protection.
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6 thoughts onLife Alert To Pay $750K, Refunds After NY AG Investigation
My brother in law died. The week of his death, I called life alert to have his contact cancelled. Because when he pushed the button for help, he had to have my sister call 911 direct after several minutes.
Life alert tested equipment. Said that a supervisor would contact us in regards to cancelation. They never called back. 3-4 days later. My brother in law was home alone pushed the button…… And now he is dead….. We have 2 phone messages to him. First one saying call us back if this was a false alarm. 2 nd call 5 minutes later the message said they were sending an ambulance.
Right there was 5 minutes. And who knows how long he really was waiting.
I called life alert for details 4 to 5 days after this event. Taped the conversation….
Supervisor literally stated to me. I have to be careful how I word this. Because he refused to give me exact times. And admitted to being able to see exact times. But couldn’t give them to us.
Life slert broke into my call n offered me a free system but i’d have to pay 4.99 a month gor service. Well, i chrcked my account n they charged me 49.99. I cannot afford 49.99.
When i bought this i tried to cancel before signing the contract. They said they lowered the bill so i contracted them out of pressure. They never said i could cancel. Im in washington guess i have to call the ag and file like ny did.
they are the worst ever. my mom was tricked into purchasing a life alert. aggressive salespeople do not care about situations elderly experience. I was told “no refunds for any reason” and “you did not comply with contract”. These charges made her almost bounce several items, they do not care. At least the NYAG office has THEIR #, I want my moms refund, DO NOT START A DEAL WITH THESE CANNIBALS!! File the suit immediately!!
I tried to cancel this service on October 15, 2020 as I was moving to assisted living where I would get a pendant similar to the one from LifeAlert.
All I was told then was that I should have someone at the new facility write a letter to that effect on letterhead stationery which I did.
That same week I was admitted to the hospital and then to a rehab place that lasted two months. The required letter was sent in December.
Meanwhile their monthly charge of $49.95 kept appearing on my MasterCard bill.
Sometime in January, a very rude bill collector kept phoning me and demanding payment for the equipment which I’d left behind when I moved.
When I cancelled, there was no mention of returning the equipment.
As of now, I have had 5 dubious charges of $49.95.
I am in California, it’s true life alert would not let you cancel even if you tell them that I am staying with my daughter. I have several issues’ plus they lied to you. Customer service sucks.