Thread regarding Sears layoffs

Yep, not illegal @2slk

@2vmj- You got it!!

You guys are confusing something being morally wrong with being illegal. It's not illegal because of the technicalities. Sears is only speculating bankruptcy but from the outside it appears they're trying to survive. So technically they're selling PAs with intentions to fulfill the contract.

However...if the higher ups know theres a chance their business will go down in flames before they can satisfy their newer contracts it would be morally wrong to add more contracts even if they're trying to survive.

That said, removing the sales of PAs at any point in time would be absolutely suicide because that's one of their highest profit margin deals.

If there ever comes a point where sears stops selling PAs You can bet sears will declare bankruptcy within 24 hours.

Nobody will take over the liabilities of the warranties unless there's a ongoing and growing sales business. In a shrinking sales business where you sell less and less warranties and have to pay out more and older sales, it just work. Warranties will go the same way as they did in Canada, anything above the manufacture's warranty will be worthless.

Another company takes over the extended warranties Co android money from the BK Co, given by a judge , to perform the repair efforts in the future. You can call BS but you are ignorant to do so

1wqy- They said the same thing about the Enron executives. Smart guys, good lawyers, lots of smart investors. Why would they allow or want anything illegal to go on? See how that story ended for a reference.

There is a reason we have and need an SEC.

Right...@pkq cited just one example of that exact situation. There are NUMEROUS examples in the news.

@icri Yes, that would be the case but no one is doing that. There isn't one sales associate who would/could know if there are or aren't parts supplier issues. Things vary from day to day. It could be absolutely nothing to do with Sears. It could be a parts supplier who is having his own issues.

Knowingly selling something you can't deliver is fraud plain and simple.

Okay there is no scam going on here. I am sure if there are issues with the current parts suppliers, other parts suppliers will be found. Or another agreement will be hammered out. There is nothing illegal here. It always amazes me how everyone jumps to "oh something wrong is going on." Nothing wrong is going on. Remember Eddie is a very smart man who is surrounded by lawyers with his friends and family, so he isn't doing anything illegal or allowing anything illegal to happen.

I call BS. Why would any company buy extended warranties from a bankrupt company. There's no upside. Now if the extended warranties are backed by a 3rd party, like an insurance company, that might make sense because the insurance company is footing the bill for any calls.

IN BK the judge may sell the extended warranties to another company to fulfill. Sears got Montgomary Wards service contracts to fulfill. Judge game them the money from remaining assets to do so

hzh- Not a scam on the part of the sales people but maybe a scam on the part of SHC because you cannot sell a warrenty that you know you cannot fulfill. This would be a contract legal issue.

As far as "forcing" or "encouraging" sales people to push the PA's that would come under some labor law an may be an unlawful termination of employment issue. More for a lawyer to talk about than me.

@ylz No there is nothing illegal going on here. The biggest scams are the extended warranties on cars and when you sell your car, you are supposed to be able to get your money back. Guess what....it is just gone and you have spent far more on a car warranty than on an appliance warranty. No one is forced into buying a warranty.

@nhn - It is more like the salespeople are coerced into participating in the scam. Although the company states that an associate cannot be let go for not meeting their PA metrics, I've yet to see an associate who does not sticking around for very long. Wink, wink, if you can't usher them out through the front door, then just usher them out through the backdoor. It goes by the euphemism, "coach them up or coach them out." Coaching starts out as computer assisted training and management platitudes, but quickly devolves into vailed and indirect threats! Most PA deficient associates "self-terminate" rather than endure the constant barrage of abuse, that is coaching, from management over the issue. The theme is always, "the member isn't saying NO to the PA, they are actually saying KNOW."

Will somebody end up behind bars if Sears does go under?

@hzh Is it part of the job? You bet your a$$. Is it a scam you also bet your a$$. The PA's are just outrageously expensive and unnecessarily if they aren't living up to its hype. You are basically paying half of it at that point for the product or a good chunk of it for that protection. The problem is Sears is not meeting their terms of the condition as promised.

Also sounds like the sales people are complicit with the scam since they know its a scam but sell it anyway.

Its likely a scam in the eyes of the law since the seller isn't living up to the terms of the contract.

@hzh - Why always so much officiousness and denial?

Come on. Everyone knows when you sign up to work commission sales at Sears this is part of the job. There is no scam going on here. Why always so much drama?

Yet you need to sell that PA or it'll risk your job. PA's are now a scam at Sears. The contract will be cancelled if the company goes under and even while in business it takes far too long for the repairs to be completed. I would rather keep my money and call the damn manufacture and happily pay for the repairs then dial the MPA 800 number.

Sounds like grounds for an attorney general investigation.

Yeah, had a customer buy a fridge in early sept. with a PA. The fridge broke in mid October. Repair man took two weeks to get out and see what was the matter then ordered parts. Parts are suppose to come in Nov. then they were delayed until late Dec. Now parts are suppose to be in mid-feb. How can you expect someone to not have a fridge for over 4 months expecially during the holidays? SHC can't give her a new one because they are on backorder and they wont take the old one back for a refund because it is over 30 days and she has a PA. Crazy80

Worst rated service in the US