As the holiday season progresses, Michigan Attorney General Dana Nessel has re-issued a consumer alert titled "Business Sudden Closure - Protect Yourself." This alert aims to inform residents about their options if a company they have dealt with closes unexpectedly.
Such closures can leave customers without the goods or services they have paid for, creating financial and logistical challenges. The alert outlines several steps consumers can take to mitigate their losses.
"Unexpected business closures are disruptive and often leave consumers vulnerable," said Nessel. "Acting swiftly to protect your finances and privacy can make all the difference for your peace of mind. We’re here to help ensure Michigan residents navigate these challenges and safeguard their rights."
For those who encounter sudden business closures, the following actions are recommended based on payment methods:
- If payment was made by credit card, contact the credit card company immediately to dispute charges for undelivered goods or services.
- For payments made by check, request a stop payment from your bank for any outstanding checks.
- If there is a financing agreement in place, dispute payments with the finance company for items not received.
- Cancel future automatic withdrawals through your financial institution if you authorized them.
- Notify your insurance provider if you purchased insurance for medical devices affected by the closure.
Consumers should also act quickly to protect their rights by gathering receipts, invoices, and transaction records; attempting to contact the company's headquarters or customer service line; lodging formal complaints on the company's website; and filing complaints with the Attorney General’s Consumer Protection Team at 877-765-8388 or through their online portal. If dealing with an out-of-state business, file a complaint with that state’s Attorney General as well.
Businesses remain legally obligated to safeguard personal information even after closing. In cases where healthcare providers close:
- Contact the office to request records or have them sent elsewhere.
- Reach out to the Department of Attorney General if unable to contact the business.
Business owners are advised to consult private attorneys regarding compliance with state and federal laws on record protection.
To minimize potential losses before making purchases, consumers should research businesses thoroughly by checking reviews and history; limit upfront payments by using credit cards for added security; and review contracts carefully while opting for monthly payment options instead of full prepayment.
For further assistance or complaints, contact the Attorney General’s Consumer Protection Team at 877-765-8388.