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Source: ONE News
A video store owner is being investigated by the Commerce Commission after sending out debt collectors to demand payment for late returns.
Angry customers say they are being charged exorbitant fines by the store in the North Island town of Otaki. They are now seeking legal advice.
United Video claim to have the world on video but return one late to the Otaki store and it could cost you the earth.
"They sent me this fine for $57 which I was really stunned about," says local resident Liz Jull.
Jull hired a dvd from the store but took it back with a scratch.
"I said please let me know how much it is, to the woman who was serving. And she said that she would notify us of the costs," says Jull.
She says she wasn't notified until five months later when she got a letter from debt collectors, Baycorp.
Others have also had run-ins at the store but the owner says he is just running a business.
"Some people seem to expect an invoice or a letter of demand. We don't do that, our system is not set up for credit accounts...we're a cash business," owner Jeff Adlam says.
"People owe the debt from when they incur it. And that's when we expect payment."
But customer Ann-Marie Housiaux says with the way Adlam is running the business he may actually be running himself out of business.
"I've certainly closed my account," she says.
United Video's head office told ONE News that while the store is a franchise and owner operated, they would expect invoices to be sent out and would not want friction in the community.
Now the Commerce Commission is getting involved.
"We're concerned that there might be some offences under the Fair Trading Act, and if there have been offences in misleading or deceiving consumers, then obviously we'll take an active interest," spokesman Adrian Sparrow says.
The women's lawyer is also looking into the situation and the pair are hoping for a Hollywood ending.
