Trading Standards investigators say they have reached a compromise deal with electric heater company Fischer Future Heat Ltd following allegations of fraud and aggressive sales practices.
The family-owned Leicester business had faced criminal proceedings after it was accused of making false claims to customers about the suitability of its products. It was also accused of overstating how good they were at storing heat and of the savings they could make on household bills.
A trial was due to take place at Leicester Crown Court but the charges have now been dropped. The deal, signed by Fischer owners, husband and wife team Keith and Maria Bastian, includes a number of conditions for the business to stick to, including not referring to its salespeople as engineers.
Mr and Mrs Bastian and a number of other people named in the allegations had always denied the accusations, which they previously said had arisen from a flawed investigation and had no legal merit.
Leicester City Council said the deal would see the company hand it funds 鈥 the amount has not been made public 鈥 to give to customers whose complaints were being used in the original criminal proceedings.
Both the council and the business said the deal and handing over of money did not mean there was any admission of liability, either criminal or civil.
A spokesman for Fischer said not guilty verdicts were formally entered on September 29 against Fischer Future Heat (海角视频) Ltd, Premier Radiators Ltd and their respective officers and directors after "Leicester Trading Standards formally offered no evidence in respect of all allegations".
What the businesses should and shouldn't do:
The undertakings agreed by Mr and Mrs Bastian on behalf of the business and another company called Premier Radiators Ltd, will ensure they do not:
- Describe their heaters as 鈥渟torage heaters鈥 when turned off without describing the extent to which they stay hot
- Charge call-out fees to customers who have been provided with faulty products
- Fail to ensure a product fits in the space provided as agreed with a customer when they ordered it
- Claim that customers will save money by using their products 鈥 unless it is explained that that depends on how it is used and the customer鈥檚 electricity tariff
- Claim discounts are only available on the day the salesperson makes an offer
- Claim the companies do not use sub-contractors 鈥渨hen in fact the companies are using sub-contractors鈥
- Describe salespeople as engineers
- Say that Trading Standards or any other consumer enforcement group has 鈥渨orked with鈥 or endorsed the companies
The companies must also:
- Conduct spot-checks at management level to ensure its salespeople accurately inform customers of their cancellation rights
- Conduct spot-checks at management level to ensure surveyors are accurate with their assessments
- Make sure if a warranty is 鈥減arts only鈥 then any labour charges should be clearly stated in advertising, marketing or sales material
Fischer chief executive Keith Bastian said: "I welcome the fact that this long-running saga has finally come to an end which allows Fischer to move on and continue to do what it does best.
鈥淭he high level of satisfaction experienced by our customers is evident from both our Trustpilot and Feefo ratings. The customer has always been at the heart of everything we do.
鈥淣ow more than ever before, it is clear that the future is electric.鈥
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