Consumer rights – goods delivered but not ordered

Posted by: Dec 01, 2013By Brian Stutheit

This useful information about Colorado consumer laws comes from the Colorado Attorney General:

Negative Option Plans

A lot of products (especially books, records, videos, and similar products) are sold through what are called “negative option” plans. Under a negative option plan, products are automatically delivered to you unless you affirmatively indicate that you do not want them. Under the Colorado Unsolicited Goods Act (COLO.REV.STAT., section 6-6-101) a sender of unsolicited goods is prohibited from sending a bill for such unsolicited goods or any dunning communications. Violation of this section shall constitute a class 2 petty offense, and, upon conviction thereof, the violator shall be punished by a fine of not more than $250.00.
Unless otherwise agreed, where unsolicited goods are delivered to you, you have the right to refuse to accept delivery of the goods and are not bound to return such goods to the sender. If such unsolicited goods are either addressed to or intended for you, they shall be deemed a gift and you may use them or dispose of them in any manner you sees fit without obligation to the sender.

The Federal Trade Commission has a specific Rule dealing with pre-notification negative option plans (16 CODE of FEDERAL REGULATIONS Part 425) – including book, music and video clubs where you agree to be obligated to continue purchasing merchandise unless you opt out of a specific purchase.