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 user 2007-08-29 at 12:30:00 pm Views: 49
  • #18653

    Decision Bars Group from Misrepresenting Toshiba Supplies
    2007 In a significant legal victory protecting the business interests
    of authorized Toshiba dealers and their customers against
    misrepresentations and fraudulent business practices, Toshiba America
    Business Solutions Inc. (TABS) announced that the United States
    District Court ordered a permanent injunction against IDC SERVCO, Mytel
    International Inc., and parent company, G.M.N. Financial Services Inc.,
    barring the group from misleading customers by representing the company
    as an authorized dealer of Toshiba office product supplies.The
    permanent injunction further prohibits the companies from falsely
    designating any of their products as Toshiba’s or infringing on any
    Toshiba-held copyright. This precedent is the first legal success in
    TABS’ aggressive initiative to protect the Toshiba brand, Toshiba
    dealers and their end customers from office supply telemarketing
    scams.Following the U.S. District Court’s order, TABS unveiled its new
    Office Supply Telemarketing Fraud Protection Program, an educational
    section on the TABS Web site that empowers customers with tools and
    information to protect businesses from telemarketing schemes.“Toshiba
    values our customers and dealer partners too highly to allow companies
    such as IDC SERVCO to misrepresent themselves and make customers
    believe that they are part of the Toshiba Corporation,” said Tom
    Walter, director of Aftermarket Sales, Marketing & Operations,
    TABS. “TABS will continue to devote the resources necessary to
    aggressively protect our valued customers from opportunists that
    attempt similar misrepresentations.”

    TABS credits the success of
    the litigation to working closely with the Federal Trade Commission,
    the Imaging Supply Coalition, TBS subsidiaries and Toshiba’s authorized
    independent dealers. With known cases stemming back as far as 1987,
    office supply telemarketing scams have resulted in businesses reporting
    an estimated $200 million a year in operation losses in North America.
    A typical scenario involves a telemarketer identifying themselves as an
    authorized dealer of copier supplies, requesting information on office
    copier fleets or confirming a fictitious prior purchase. The
    telemarketing company then proceeds to ship unordered supplies with
    invoices demanding payment, sometimes at 10 times over the MSRP. The
    fraud preys on uninformed employees or unsuspecting customers through
    the use of trusted company brands, such as Toshiba.

    aggressive pursuit of legal action against IDC SERVCO stems from a 1998
    consent decree signed by the company’s subsidiary, Mytel International
    Inc., agreeing not to make any misrepresentations in the sale of
    photocopier or office supplies, including statements that Mytel, or any
    sales company contracted by Mytel, are affiliated with the end
    customers’ regular supplier, servicer or equipment manufacturer. In
    mid-2005, TABS began to receive reports that the Culver City-based
    company had resumed contacting end customers, posing as an authorized
    Toshiba supplies dealer.TABS filed suit against Mytel International
    Inc., IDC SERVCO, and parent company G.M.N. Financial Services, Inc.,
    which resulted in the August 2, 2007 U.S. District Court order granting
    a permanent injunction against the defendants.