Vivint Doles Out $1.4M for Violating Alarm Company Act

Vivint agreed to pay a total of $1.4 million to settle a case involving instances of elderly and/or incapacitated consumers signing contracts.

BAKERSFIELD, Calif. — Vivint has agreed to pay a total of $1.4 million to settle a case in which the smart home giant was accused of violating California’s Alarm Company Act, which outlines how an alarm company must conduct business.

According to Bakersfield Now, an individual complained that her elderly father had been taken advantage of by a Vivint salesperson who signed him to a multi-year contract.

The District Attorney was able to find additional instances of elderly and/or incapacitated consumers signing contracts, with over 300 total complaints statewide.

DA’s also found additional instances of elderly or incapacitated consumers signing contracts where some consumers ended up in contracts with two companies after Vivint salespeople failed to pay off existing contracts, despite promising to do so.

Vivint agreed to pay a total of $1.4 million to settle the case, comprising $700,000 in civil penalties and costs and $700,000 in restitution to consumers based on specified criteria, according to Bakersfield Now. Vivint said it would modify its business practices and redress consumer complaints brought to its attention.

This isn’t the first time Vivint has ended up in hot water for deceptive sales practices. The company agreed to pay ADT $10 million last year over a lawsuit that alleged the Utah-based company used deceptive sales practices to mislead ADT customers into signing long-term contracts.

In 2017, the company paid $100,000 to the State of Wyoming for violating the Consumer Protection Act. That same year, a woman claimed Vivint charged her for five years worth of cancelled alarm service before she was finally refunded.

Door-to-door sales can be a risky business. If you institute this type of sales method, always make sure to adhere to best practices and be clear when communicating. Otherwise, you can be hit with a hefty fine.

SSI has reached out to Vivint for comment.

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6 Responses to “Vivint Doles Out $1.4M for Violating Alarm Company Act”

  1. Cris Morales says:

    My mom was too scammed by Vivint. Who can I get in contact with to my a legal claim. Thank you, Cris Morales

  2. Norbert Hoch says:

    I have a customer in los lunas nm that I happened to as well, she also has ADT and Vivint came in and said that they would pay off ADT and now she has to contracts how can she get involved in the lawsuit and get reimbursed for what they did.

  3. Judy Perdue says:

    Please tell me where to get in touch. Vivint calls us many times every day. We moved, discontinued service almost a year ago. We were told to leave the devices there. Now we are being harassed for being late paying and they say we have to pay for another 2 years.

  4. Alicia Kneifl says:

    We started the system with Vivint in the beginning of March and on April 22nd our home was broken into and burglarized with the Vivint system quote on quote alarmed and working we’ve had over 40 phone calls with trying to reboot the same thing over and over they would not send anybody out to check our system replace the camera nor the panel. We have excessive damage to our home because of the installation that was done. Our Vivint system was actually hacked. Can somebody recommend who we can contact for representation as at this point we have no option. There are more details to this situation that I would like to explain to somebody that can represent us please help.

  5. Inez C Stephens says:

    We was misled in getting a alarm system through Vivint ,we have reach out to them on several occasion to come to some agreement and was talking to several customer service and sales supervisor unfortunatel we got cut off , and after several attempts no one got back in touch ,we ask for a copy of contract after a month have not received that either . Please can someone help us with this nightmare we just want out of this tricky business practice.

  6. Michael Allison says:

    We finished our initial contract and requested the that the service be discontinued as much of the system does not work properly anyway. When we called in they said the e had we had signed another 42 month agreement. When we said that was a mistake they produced a signed contract with an obviously forged signature. This is a full on criminal act. Not sure where to go or who to contact any help would be appreciated!

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