ROANOKE TIMES
Copyright (c) 1996, Roanoke Times
DATE: Thursday, September 5, 1996 TAG: 9609050116
SECTION: EDITORIAL PAGE: A-6 EDITION: METRO
THE RECENT squabble involving Roanoke-based Holdren's Inc. and its customers illustrates the value of a state consumers-affairs office.
When Holdren's chain of Southwest Virginia appliance stores was sold to a North Carolina company, some of its customers were left holding worthless extended-service contracts, bought and paid for when they'd purchased new appliances. (Manufacturers' warranties remain in effect, of course.)
The North Carolina firm, Crenshaw TV & Appliance Co. of Raleigh, said that it was under no obligation to honor the contracts sold by Holdren's former owners.
So what are the customers to do? Sue? Write it off as their own bad luck?
Neither answer seems as likely to produce a happy ending as might intervention by Virginia's Division of Consumer Affairs.
Both sides should welcome the decision by state consumer officials to step in and try to negotiate a settlement of the dispute.
This brokering service - helping consumers and businesses - would have been seriously diminished had the 1996 General Assembly not blocked the Allen administration's plans to reduce the consumers-office staff by 40 percent or more.
The Allen plan was a misguided attempt to foster a more ``pro-business'' atmosphere in Virginia. In fact, most businesses still recognize the old axiom,``Keep the customers satisfied.'' Nobody wins if company-customer disputes fester for many months, undermining consumer confidence in business generally.
The state consumers office is well-positioned to bring about resolutions to such spats as quickly as possible. And usually with savings for all involved - considering what each side might spend hiring lawyers.
In the Holdren's situation, a resolution may or may not be possible. It is well in either case that the consumers office is on the scene working toward a resolution.
LENGTH: Short : 41 linesby CNB