I recently considered replacing some carpet in my home, and my first call was to one of the companies that offers at-home appointments where they'll measure the space, show you samples and provide quotes on the spot.

The salesman who came to my house was talented. Even though the quote was about 300% more than I hoped to pay, he had an answer to my every sales objection. He repeatedly cut the price. He asked me how low it would have to go for me to sign a contract on the spot (then called his manager for approval to drop it even further). Then he casually mentioned, "Plus, if you sign a contract now, the Federal Trade Commission rules say you legally have the right to cancel it within three days at no cost to you. That gives you time to sleep on it."

I signed a contract on the spot--after all, I could cancel it!--and immediately after he left, I had second thoughts. I hadn't comparison shopped. The final price was still more than I'd budgeted. After doing a bit more research, I decided to cancel the order. But first I wanted to research the Federal Trade Commission's Cooling-Off Rule.

The rule gives you three business days to cancel a purchase of at least $25 if you made the purchase at home or another location that isn't the seller's permanent place of business. The sales person must tell you about your cancellation rights when you make the purchase, the contract or receipt must include the cancellation policy, and the sales person must give you two copies of the cancellation form.

Some types of purchases are exempt from the cooling-off rule. These include:

• Phone and mail-order purchases
• Purchase that aren't intended for personal, family or household use
• Purchases that were negotiated at the seller's permanent place of business, even if the contract was signed elsewhere
• Real estate, securities, insurance, motor vehicle, and arts and crafts purchases
• Home maintenance and repairs
• Purchases related to emergencies

In my instance, the salesman told me about the cancellation policy, but didn't give me copies of a cancellation form and the contract didn't include cancellation language. (In fact, it said that the contract couldn't be cancelled.) I was a little concerned about whether I'd actually be able to cancel the contract, but I took a few steps to ensure that the purchase was cancelled.

First, I called the carpet company and told them I'd like to cancel the order per the FTC's three-day cooling off rule. The man I spoke to assured me that the order would be cancelled, and I asked him to email or fax written confirmation of the cancellation to me.

I also checked with my credit card to see if the deposit I'd paid had been refunded. After two business days, no sign of a refund appeared, so I wrote a letter to the company, and included a copy of cooling-off rule from the FTC's website. In the letter, I included my order number, detailed my conversation with the person who confirmed my cancellation and referenced the FTC cooling-off rule. I sent the letter certified mail, and ensured that it was postmarked within three business days of my purchase.

About a week later, I had my refund.

If you unsuccessfully try to get a refund that you're entitled to under the FTC's cooling-off period, you should contact the FTC at Consumer Response Center, Federal Trade Commission, Washington, DC 20580. You should also see if your state has its own cooling-off rule, because state consumer protection agencies may also be able to assist you.

If you made a partial or complete payment using a credit card, contact the card issuer to see if you can dispute the charge.

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Someone at Pepsi just learned an expensive lesson: If you're being sued, don't ignore the lawsuit.

In Pepsi's case, the soft drink manufacturer and two of its distributors were sued in Wisconsin court. In April, notice of the lawsuit was sent to the company's offices in North Carolina, where the company is incorporated, but didn't make it to the company's New York-based legal department until September. It then got buried on the desk of a secretary who apparently was busy working on other projects.

But the courts don't twiddle their thumbs while waiting for a defendant to realize they're being sued--even when it's a defendant as big as PepsiCo. Instead, the case moved ahead in Pepsi's absence, and in September the judge who was hearing the case entered a default judgment against the company and awarded the plaintiffs $1.26 billion in damages. About a week later, Pepsi finally learned of the lawsuit.

Needless to say, Pepsi has apparently been scrambling since learning that it owes a 10-figure sum, and has asked the courts to vacate, or throw out, the judgment.

Now, Pepsi has deep pockets, and can afford to spend a lot of money to avoid paying even more money to the plaintiffs who brought the lawsuit. But the story reminds me how easy it would be to make the same mistake.

Fortunately, I've never been sued, but because I have no first-hand experience with litigation, I can imagine how I'd react if I learned someone was suing me. My initial response, "I've been sued! How did this happen? And what does this mean? I need to find a lawyer to help me make heads or tails of it." My next response would be the critical one: I could either find a lawyer, or I could procrastinate. Let's face it, humans have an incredible ability to procrastinate when faced with something challenging or unfamiliar.

The danger of procrastinating is that sometimes we don't decide to act until it's too late. When it comes to court cases, "too late" means you could be on the hook for a lot of money (in a civil case) or jail time and fines (in a criminal case). This is because--if you don't show up to defend yourself--the courts have the discretion to listen to the plaintiff or prosecutor's case, then find you guilty based on the evidence presented against you.

Pepsi, and everyone who's ever ignored a lawsuit, do have a few options. If a default judgment is entered against you, you can go to the court, explain why you failed to defend yourself, and ask the court to set aside the judgment. You'll have to show that you failed to respond to the lawsuit by mistake; that you promptly addressed this issue after learning about the default judgment; and that you have a good defense to the lawsuit. The judge doesn't have to overturn the judgment, but should if you make a good case. Once you've persuaded the judge to overturn the judgment, you'll be back at square one, and will still need to defend the charges in the initial lawsuit.

The lesson learned: Ignoring a lawsuit doesn’t make it go away, but almost certainly guarantees that it will cost you more to resolve in the long run.

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As a kid, Halloween was one of my favorite holidays. My friends and I would plan elaborate costumes, map out routes that were guaranteed to maximize our candy collections, and set off immediately after dinner to spend a few hours trick or treating. Our only rules: Don't eat candy that looks tampered with, don't eat fresh fruit and don't eat homemade treats.

Halloween today bears little resemblance to the holiday I knew as a child of the 1970s, because today's trick or treating incorporates many more common sense rules designed to keep kids safe.

If you have little ghosts and goblins who are anxiously awaiting the arrival of October 31, now is the time to start talking to them about Halloween's ground rules, and make sure they understand how to stay safe when collecting candy.

Costumes

• If you're buying a costume--including wigs and accessories--make sure they are fireproof or fire retardant. If you're making a costume, avoid flimsy pieces (such as long skirts or baggy sleeves) that could easily catch on fire.
• If your child is wearing a mask, ensure the eye holes are large enough that your child can clearly see straight ahead and off to the sides. Consider makeup or face paint instead of a mask.
• Avoid oversized costumes a child could easily trip over, or others could step on.
• If your child's costume includes accessories such as a wand, broomstick or knife, make sure that the accessory is flexible or will break easily if the child accidentally falls on it.
• Add reflective tape to your child's costume if they will be trick or treating after daylight hours, and have your child carry a flashlight.

While Trick or Treating

• Younger children should be accompanied by an adult when trick or treating.
• If your children are old enough to trick or treat without an adult, insist that they limit their visits to homes where they know the residents, and make sure you know the route they'll be taking and establish a curfew.
• Try to limit trick or treating to daylight hours.
• Remind kids to observe basic safety rules such as staying on sidewalks, avoiding alleys and looking both ways before crossing the street.
• Although it's easy to get excited when trick or treating, kids should walk, not run, between houses.
• Counsel your children to be courteous to homeowners, and avoid cutting across people's lawns or through their back yards.
• Although it's called "trick or treating," no one likes a vandal. Make sure your kids understand that egging cars, toilet-papering house and other Halloween "tricks" are unacceptable.
• Remind your children that they should never enter a stranger's house or get in a car with a stranger.

For Homeowners

• If you use candles in carved pumpkins, make sure the pumpkins are placed in a location where kids and animals won't disturb them. Better yet, use battery-operated candles or glow sticks.
• If you won't be at home to hand out treats, turn off your porch lights.
• Avoid distributing homemade treats, which are likely to be thrown out. If you're opposed to distributing candy, consider coins, healthy alternatives or inexpensive Halloween toys. (If you're giving out toys, avoid giving small items, which are possible choking hazards, to children aged 3 and younger.)
• Remove any tripping hazards, such as flowerpots, on your driveway or sidewalk leading to your front door.

Enjoying the Treats

• Instruct kids not to eat any treats until they've gotten home and you've had a chance to inspect the candy for evidence of possible tampering.
• If your child has nut allergies, give them an extra reminder not to eat treats before you've had a chance to examine them.
• If you have small children, make sure you've removed any treats that could be a choking hazard.

Related Links:

• Learn more about selecting an attorney on Lawyers.com
• Review the US Consumer Product Safety Commission's Halloween Safety Alert
• Discuss your issues on the Lawyers.com forums
• Lawyers.com Suggested Legal Books

Continue reading "Common Sense Tips to Staying Safe on Halloween"

I always get nostalgic when the calendar turns to September, the nights start to feel cooler and the football season begins. Some people think that the new year begins in January, but the back-to-school season evokes the same feelings in me. When I was younger, the new school year always ushered in change: New teachers, new books, new faces and sometimes even a new school.

But you know you're getting old when you start sentences with, "When I was younger…" That feeling is reinforced when I talk to school-aged kids and realize how different schools are today. As a child of the 1970s and 80s, I didn't have to walk through a metal detector or have my backpack searched. I never worried about walking across my college campus after dark. And I never imagined that another student might come to school armed with a gun, prepared to shoot teachers and other students. If you're a parent today, you probably feel as if your kids live in a different kind of world than the one you grew up in.

September is National Campus Safety Awareness Month. Your children may think they know more than you do about campus safety. (After all, they may have been living with these safety procedures since they were old enough to attend school.) But as a parent, it never hurts to talk to your kids and remind them of the common sense rules for staying safe at school, whether they're in kindergarten or just starting college. Who knows--you might even teach them something!

Common sense safety rules for students of all ages:

• Don't bring unnecessary valuables to school.
• Don't leave possessions unattended, unless they're stored in a safe, locked place.
• Use the buddy system when walking after dark, or take advantage of campus escort services (often run by ROTC students on college campuses). If you must walk alone, use well-lit routes that are more heavily traveled.
• Be careful about what personal information you post on Facebook, Twitter and other social networking sites. Who can see the information, and could it be used to harm you?
• Carry a rape whistle, keychain alarm or pepper spray.
• If you live in a dorm, make it a habit of locking the door to your room at all times, whether you are in the room, in the shower or adjacent lounges, or away from the dorm.
• Be aware of your surroundings. This includes noticing nearby people and cars, and paying attention to the location of emergency exits.
• Program an "in case of emergency" number into your mobile phone. (It should be saved as "ICE Mom," for example.) If you are a college student, you should also program the phone numbers of campus police, your resident advisor and the student health center into your phone.
• Avoid propping open doors that are supposed to be kept locked.
• Don't leave drinks unattended if strangers are around.
• Trust your instincts. If something doesn't feel right about a person or situation, listen to your intuition. If someone is behaving suspiciously, report it to a teacher or appropriate school official.

Related Links:

• Learn more about freedom of expression in schools on Lawyers.com
• Find a lawyer in your area
• Discuss traffic citation issues on the Lawyers.com
• Lawyers.com Suggested Legal Books

It's tough to believe but there are companies out there that want to give you money. Others want to give you free stuff. You may be owed money, or free or discounted products and services as a result of a class-action lawsuit.

A class-action lawsuit occurs when many parties (people or businesses) have identical or similar lawsuits against one or several defendants to a lawsuit. In the interest of time and money, the court may consolidate all of these lawsuits into a single case, called a class action. The class refers to the case's plaintiffs, which may include people who aren't even aware of the lawsuit but were potentially affected.

If a class action defendant loses the case, or settles it, an administrator then attempts to track down anyone who could potentially be a class member, using customer lists and advertisements. These potential class members then have the opportunity to claim a portion of the settlement.

Sometimes the process of proving that you were a victim can be pain in the neck. Other claims are relatively simple, and may require you to do nothing at all, or little more than filling out a form.

Are you entitled to a piece of a class-action settlement? Here are some current class actions that affect millions of American consumers.

Bextra and/or Celebrex
Who: People who purchased Bextra and/or Celebrex before July 29, 2005
What: Settlement will vary depending on the number of claims received
Deadline: Claims must be postmarked or submitted electronically by Oct. 23, 2009

Cache stores
Who: People who made a credit card purchase between Dec. 4, 2006, and April 21, 2009, and received a receipt that showed the credit card expiration date or more than five digits of the card number
What: A $15 voucher good toward a future purchase
Deadline: Claims must be postmarked or submitted electronically by Dec. 19, 2009

ColdMD
Who: People who purchased ColdMD between March 26, 2004, and May 29, 2009
What: Up to $30 and three free bottles of ColdMD
Deadline: Claims must be postmarked by Sept. 22, 2009

JVC 1080p Televisions
Who: People who purchased several models of JVC 1080p high-definition televisions
What: At least $29 per claim
Deadline: Claims must be postmarked by Sept. 10, 2009

T-Mobile
Who: T-Mobile personal account subscribers who paid a flat-rate early termination fee and subscribers whose contract included a flat-rate ETF between July 23, 1999, and Feb. 19, 2009
What: Up to $125 per claim
Deadline: Claims must be postmarked by Sept. 25, 2009

TriCor
Who: People who purchased TriCor and other prescription drugs containing fenofibrate between April 9, 2002, and May 8, 2009
What: Cash settlement; amount will depend on the total number of claims submitted
Deadline: Claims must be postmarked or submitted electronically by Sept. 15, 2009

Wal-born
Who: People who purchased Walborn, Wal-born, Wal-borne or Wal-borne Gold products (with the exception of Wal-born Hand Sanitizer) from Walgreens between May 24, 2001, and March 31, 2009
What: Up to $14.97 or a free flu shot per claim
Deadline: Claims must be postmarked by Sept. 7, 2009

Related Links:

• Learn more about class actions on Lawyers.com
• Learn more about class action definitions
• Lawyers.com Suggested Legal Books

When I was young, we watched Judge Wapner on "The People's Court." Today, Judge Judy and Judge Joe Brown rule the airwaves. For many people, this is their first and only exposure to the concept of small claims court.

In Tuesday's blog, I wrote about one personal experience that left me wanting to sue a company that wronged me. Ultimately, I decided not to sue. But if I had, I would have filed suit in small claims court.

Small claims court isn't the place to go to get a divorce or settle big, expensive disputes. Criteria vary from jurisdiction to jurisdiction, but small claims court is the place you'd go if someone owes you a few thousand dollars or less. Maybe your employer stiffed you on your last paycheck. Or your landlord refused to refund your security deposit. Or perhaps a friend wrote you a bad check and refuses to cover it.

Although you're expected to follow typical court procedures (which probably won't resemble what you've seen on Judge Judy), the process is usually less complex than if you filed a lawsuit in regular court. Most people are attracted to small claims court because it's less expensive and court officials will give you some basic pointers if you're not represented by an attorney.

That said, filing a suit in small claims court will cost you some money up front and can be time consuming. Before filing a case, try to resolve your dispute out of court. Write a letter to the person or company seeking to solve the problem. If your dispute involves a business, contact your local Better Business Bureau or state attorney general's consumer assistance division to see if they can help. You should also consider meeting with an attorney for an hour or two to get a candid assessment of your case and your likelihood for success.

If you decide small claims court is for you, research the small claims process in your state and know what to expect during the process.

You can tip the scales of justice in your direction by getting organized:

Organize your thoughts. Make detailed notes on what happened, preferably in chronological order.

Collect the evidence. Try to back up your case by collecting records, bills, receipts, canceled checks, copies of contracts and written agreements, photos, estimates, accident diagrams and letters written back and forth between the parties.

Talk to witnesses about what they saw or know. Are there people who saw the accident? Are there experts such as repairmen who have specialized knowledge that will help you?

On the day of the trial, remember that he way you conduct yourself in court can greatly affect your chances of winning. Don't try to act like a lawyer; because it could end up working against you. The judge just wants to hear what happened, in your own words. Answer any questions the judge has, and don't interrupt the judge while he or she is talking. If the judge suggests a compromise, listen politely, even if you think it's the stupidest idea you ever heard.

With just a little planning and help, you can make small claims court work for you.

Related Links:

• Learn more about whether you should sue on Lawyers.com
• Discuss small claims court on the Lawyers.com forums
• Lawyers.com Suggested Legal Books

Last week I blogged about my experience with identify theft. In my case, I knew my personal information was stolen from the computers of a company that apparently had inadequate data security. Unfortunately, the company stopped being cooperative about five minutes after they told me that--oops--my data might have been stolen off of their computers. They refused to reimburse me for the cost of a credit monitoring service. And to pour salt on the wound, they also shorted me by a couple hundred dollars when paying the last invoice for work I'd done for them.

All in all, my out-of-pocket losses have totaled about $500 over the last 18 months, though the expenses continue to increase at a rate of $12.95 a month, which is what I'm paying for credit-monitoring service. What's more difficult to calculate is how much time I've devoted to dealing with the problem.

My first instinct was to sue the company that caused this headache. After all, they were wrong, I was right, and it seemed like a pretty clear-cut case. But ultimately, I decided not to sue. It forced me to confront a painful truth: Litigation gives us the opportunity to have a neutral person (the judge) hear our disputes. But even in a clear-cut case, litigation isn't always the answer. Sometimes we just have to suck it up and get on with life.

Why didn't I sue? A couple reasons. I had a contract with this company, and our contract specified that any disagreements would be settled before an arbitrator in Wyoming. Now, I don't live in Wyoming, and the company isn't based in Wyoming. I'm smart enough to realize that the company put the clause into its contracts to discourage people from going after them in the event of a dispute. (In hindsight, I should have insisted on changing the Wyoming clause before signing the contract.)

Arguably the terms of the contract--including the Wyoming arbitration requirement--only applied to my unpaid invoice. Reasonably, I could have sued them in small claims court for about 2 years' worth of credit-monitoring expenses, or about $310. As I started to research how small claims' court works, I learned that if I won, I could ask the judge to force them to pay for the cost of filing the lawsuit and having the company served. However, I wouldn't be reimbursed for the time it would take me to file the case, prepare my argument and go to court. It could easily take 15 or 20 hours of my time--hours that I wouldn't be able to spend running my business, or with my family, or doing volunteer work, or simply unwinding at the end of the day. I did the math: If I spent 20 hours to recover $300, it worked out to compensation of about $15 an hour. But if the judge didn't find them guilty, I'd have nothing to show for the 20 hours of work I put into the case.

Ultimately it was that financial analysis which led me to drop the issue. I'm still mad at the company for the headaches they caused and the fact that they cost me money. But I realize that while suing them might be emotionally satisfying, it probably wouldn't be financially satisfying.

While there may be many good reasons to file a lawsuit, it is important to understand that litigation can be a long, drawn-out affair that often requires steadfastness in the face of roadblocks, disappointment and negative responses. In addition, even if the type of case pursued provides for an award of attorneys fees, there is always a risk that your suit may be partially or wholly unsuccessful.

Things to Do before Filing Suit

"I'm filing a lawsuit." Uttering these four words takes little time or thought, but there is far more to filing a suit than the simple desire or determination to do so. Filing a suit before taking the time to adequately research and prepare can add anxiety, frustration and potentially doom the suit before a claim is filed. Before heading to the courthouse with filing fee in hand, you or you and your attorney need to do take several steps, which include:

• Researching the merits of your claim including potential immunity of the defendant from suit and whether the all elements of a potential cause of action are present
• Collecting evidence to see if you can prove your claim
• Contacting witnesses to see if they are willing to give statements and testify
• Evaluating your state of mind and ability to manage a possible jury trial
• Collecting necessary funds for court costs, filing fees, and attorney fees
• Considering whether a countersuit is likely to be filed and, if so, prepare accordingly
• Considering whether you will be able to collect any judgment awarded
• Researching the applicable statute of limitations, which vary from state to state
• Taking advantage of all reasonable opportunities to settle your claim out of court, which may be a prerequisite to filing suit in your state

In Thursday's post I'll talk about what you need to do if you decide to file a suit in small claims court.

Related Links:

• Learn more about whether you should sue on Lawyers.com
• Discuss small claims court on the Lawyers.com forums
• Lawyers.com Suggested Legal Books

Even if you only have a passing interest in motorcycles, you've probably heard of the Sturgis Motorcycle Rally. Each year during the first week in August, more than a half-million motorcycle riders and fans gather in Sturgis, S.D., for a motorcycle-related celebration.

Recently motorcycles and scooters have experienced a surge in ridership. As gas prices started to rise, so too did the popularity of motorbikes. And as the economy has tanked, many people have traded four wheels for two in an effort to save money.

Because of its increased popularity, there are many new motorcycle riders and even more automobile drivers who do not understand how motorcycles and cars should mix in traffic. This lack of knowledge has resulted in an increase in motorcycle-related accidents. I live near a major highway, and a couple months ago there was a motorcyclist who was killed near my house after a minivan driver changed lanes (cutting in front of the motorcyclist) and the motorcyclist was forced to swerve to avoid being hit by the car. He lost control of his bike, hit a median, was thrown from the bike and killed.

Unfortunately, automobile drivers have little incentive or opportunity to learn how to safely share the road with motorcycles. Unless a car driver also has motorcycle experience, or drives in an area where motorcycles are common, the automobile driver will probably go on gut instinct when driving near a motorcyclist. So the responsibility falls on the motorcyclist to learn how to safely share the road with cars.

Training and Licensing

Before you take to the road, you should know the laws of your state governing motorcycles and the common sense safety rules.

Most states offer specialized motorcycle training classes, and every state requires motorcyclists to have a special motorcyclist license or endorsement on their regular driver's license if they are riding on public streets. Scooter riders, however, may be subject to different licensing requirements depending on whether your state defines your scooter as a moped or a motorcycle. Your state's Secretary of State office can tell you whether you require a motorcycle license, and what classes and tests are required to obtain one.

Even if you aren't legally required to take a motorcycle rider's safety course, you'd be smart to consider taking such a course anyway, and periodically taking a refresher course. Knowledge is power, so the more you know about potential dangers and how to avoid them, the safer you'll be.

Equipment

Let me acknowledge that the subject of helmets is a controversial one among motorcyclists. Some people feel as if helmets take away from the central pleasure of riding a motorcycle.

I first rode on the back of a friend's motorcycle in California, where helmets are required. It became a habit, so now I wouldn't ride without a helmet, even if I could legally do so. I also wear long pants (usually jeans), a long-sleeved jacket and close-toed shoes. I know that jeans denim doesn't provide much protection if I hit the pavement at high speed, but it's still tougher than my skin.

I live in Chicago, where helmets aren't required. Still, I'm often surprised to see what little protective gear most people wear, even when riding a scooter. I think a lot of people mistakenly assume that a scooter requires less safety gear because it's smaller, slower and lower to the ground. I recently saw a scooter rider hit a bump and fall off her scooter. She was wearing a helmet, but was also wearing shorts and a t-shirt. Even at slow speed, she was first-hand evidence of the fact that you can really scrape up your arms and legs if you hit the ground.

Motorcycles and scooters don't provide any protection to riders who are in accidents. In fact, hot engine parts and heavy bikes that land on top of you can actually cause more injuries. So it's in your best interest to wear the appropriate safety gear, including helmets, eye protection and protective clothing.

Top Tips for Safety

• Maintain your equipment to keep it in top running condition.
• Wear protective equipment, such as helmets, eyewear and heavy-duty pants and jackets.
• Understand how different types of weather affect driving conditions.
• Assume that other motorists don't see you. Keep a safe distance between your motorcycle and other cars.
• If you're riding with an inexperienced passenger, teach them what they should and should not do while on the back of your bike.
• Practice defensive driving skills.

Related Links:

• Learn more about motorcycle safety and traffic laws on Lawyers.com
• Read about motorcycle accidents
• Discuss your automobile issues on the Lawyers.com forums
• Lawyers.com Suggested Legal Books

About 18 months ago, my personal information was stolen. I'd done business with a company and their computers were hacked. My name, address, date of birth and Social Security Number were among the data that was stolen.

So far the criminals have gotten about $500 in cash using my data. Fortunately, most of their fraudulent credit applications were flagged, and they haven't gotten more money. Unfortunately, the experience has taught me that U.S. data protection laws don't do much to protect victims. The police took my report, but didn't seem to care about my case because it only involved a few hundred dollars. And the company that stored my data on an insecure computer is under no obligation to reimburse me for the time and money I've spent dealing with the problem.

This week is National Fraud Awareness Week. I certainly became aware of the problem after I became a victim. I hope you can take the necessary precautions to avoid becoming a fraud victim. But if you do fall victim to fraud, it's important to know what tools are available to help you fight back.

Three tools can help you prevent or recover from identity theft: Fraud alerts, fraud reports and credit freezes.

Fraud alerts, which are attached to your credit report, request that potential creditors verify your identification before they extend credit in your name. This can help prevent an identity thief from opening accounts using your data. I have fraud alerts placed on my credit reports with the major credit reporting agencies, and they've worked. On several occasions creditors have contacted me (via phone and mail) to ask whether I've applied for credit. In every instance, I told them that I was a victim of identify theft and hadn't applied for credit. The criminals couldn't get new credit in my name.

To get a 90-day fraud alert placed on your credit report, contact one of the credit reporting agencies, and they'll contact the other agencies to place an alert on your file.

• Equifax: 1-800-525-6285
• Experian: 1-888-397-3742
• TransUnion: 1-800-680-7289

A fraud report, also known as an identity theft report, is a version of a police report. You can use the fraud report to help block fraudulent information from appearing on your credit report.

Did you know that credit inquiries lower your credit score? Every time a criminal applies for credit in my name--even if the application is denied because it's fraudulent--that credit inquiry hurts my credit score. Each time I learn that someone has fraudulently tried to obtain credit in my name, I contact the credit bureaus, provide them with a copy of the fraud report (if necessary) and request that they remove the fraudulent credit inquiry from my credit report. In some instances, I've had to provide a copy of the report to creditors that unknowingly extended credit in my name and gave money to the identify thieves. After seeing the fraud report, they closed the collections file and stopped asking me to repay the debt. You can also send a copy of the fraud report to the credit-reporting agencies and ask them to place a 7-year fraud victim alert on your credit report.

A credit freeze locks access to your credit file so that no one may open up a new account or get new credit in your name. Credit freezes are one of the best ways to keep thieves from obtaining credit in your name. The downside is that they'll also require you to take some extra steps before you legitimately apply for credit.

The data is locked at the credit reporting agencies until you give permission for the release of the data. The credit bureaus may charge you to place a freeze on your credit reports, and you will need to contact each company separately. There may also be a charge to unfreeze your account, which you will need to do if you want to apply for credit. You won't be able to get a credit card, car loan or mortgage until you unfreeze your credit reports, and you may need to wait up to three days to get all of your credit reports unfrozen.

Related Links:

• Learn more about consumer fraud on Lawyers.com
• Discuss your credit and collections issues on the Lawyers.com forums
• Create an ID theft affidavit on Lawyers.com
• Lawyers.com Suggested Legal Books

I'm writing today's blog on my old computer, because my new laptop is being repaired--for the second time--in four months. It's frustrating, to be sure. We've all heard of lemon laws, but, unfortunately for me, those laws apply only to automobiles that repeatedly malfunction.

If you are unlucky enough to end up with a lemon of an automobile, it pays to know your rights under the law.

First things first, most automobile lemon laws only apply to vehicles purchased by individuals for personal use. So a company car, for example, wouldn't be covered under most laws. Some state laws cover RVs, motor homes and motorcycles, but others don't. All state lemon laws apply to new cars, and some have laws that apply to used cars.

Rules vary from state to state, but most states consider a car a lemon only if the car has required repeated repairs for the same problem, or if the car has spent a certain number of days in the repair shop.

For example, Pennsylvania's lemon law applies to new cars during the first year following delivery or 12,000 miles, whichever is less. Pennsylvania law says a vehicle is a lemon if it has been in for repairs for a total of 30 days during that period, or if a specific problem cannot be fixed after three repair attempts.

If your car qualifies as a lemon, your state's laws may spell out specific procedures to be followed to make a claim. For example, New Jersey's lemon law says you must give the manufacturer one final opportunity to correct the vehicle's defect and you must make that request via certified letter sent to the manufacturer.

If it's ultimately determined that your car is a lemon, you will be allowed to return the car for a refund or get a replacement car.

When you buy a new car, keep track of its repair record and save copies of all repair receipts. You may need to provide this documentation when making a claim under your state's lemon laws.

(Oh, and one tip in case you're stuck with a defective computer: Experience has taught me that if your computer goes in for repairs for a third time, many manufacturers will replace it, rather than trying to repair it again.)

Related Links:

• Learn more about disputes over vehicle warranties on Lawyers.com
• Learn more about automobile recalls
• Discuss your automobile issues on the Lawyers.com automobile forum
• Lawyers.com Suggested Legal Books

July is Disaster Preparedness Month. The events of 9/11 and the aftermath of Hurricane Katrina reminded many of us that it's important to expect the unexpected and have plans in place so you know how to respond when disaster strikes.

The American Red Cross suggests that people take three essential steps to help prepare for a natural disaster:

• Be informed
• Make a disaster kit
• Make a emergency plan

Be Informed

As the saying goes, "Knowledge is power." When it comes to natural disasters and other emergencies, the best-prepared people know the types of disasters that are likely to hit their part of the country, the effects of these disasters, what precautions to take and how to respond.

For example, my mother lives close to the ocean, in a part of the country that's prone to both hurricanes and wildfires. In the event of a storm surge, she could also face flooding. These events require different emergency plans. If hit by a hurricane, she'd evacuate inland. However, the hurricane evacuation route takes her though pine forests that are prone to wildfires; she'd go in a different direction if fleeing forest fires. She also keeps an axe, inflatable raft and rope in her attic. If flooding trapped her in the highest part of the house, she'd be able to escape the attic and secure her raft to a tree, light pole or other strong object.

Your Disaster Kit

The Red Cross suggests that people create a disaster kit with emergency supplies that will last for two weeks (if you're using it at home) or three days (if you're forced to evacuate). Many companies sell pre-packaged disaster kits, but you can also create one on your own. Among the items that you should consider including in your disaster kit:

• Food and water: Three days' worth for an evacuation kit or two weeks' worth for use at home
• Basic tools: Flashlight, radio, spare batteries, can opener, small tool kit or multipurpose tool, cell phone charger
• Health-related items: Two weeks' worth of prescription drugs, a first-aid kit, other essential medical supplies, sanitation and hygiene items such as toothbrush and toothpaste, toilet paper, soap, contact lens solution
• Personal information: Contact list for family members and friends, copies of important documents such as driver's license, passport, credit cards, insurance policies, birth certificates, home deed
• Items specific to the type of disaster you might encounter: These might include bleach (if things might need to be sanitized), an axe (if you might be unable to escape a building through doors or windows) or matches and sleeping bags (if you might have to camp)
• Miscellaneous items: Map, emergency blanket, cash, spare car and home keys, items essential to your family's specific needs, such as pet food, diapers and baby formula

Your Emergency Plan

One of the most important parts of preparing for disaster is your emergency plan: How will you escape your house, your neighborhood, your town or your region? What will you take with you and how will you get to a safe, predetermined meeting place? What will family members do if they're separated from one another?

Your family should work together to develop an emergency plan, and then rehearse it a couple of times a year. Among the things to consider:

• What are the evacuation routes from each point in your house? Are there alternate routes in case the route is blocked?
• If a disaster, such as a fire, strikes your house, where is a safe, close meeting point? Where would you meet if disaster hit your neighborhood but the town was otherwise safe? And where would you meet if you need to evacuate your town or region?
• What responsibilities does each family member have in the event of an emergency? For example, even the best emergency kit is useless if no one remembers to pack it.
• How will you communicate with one another if local phone lines are knocked out or circuits are busy? On 9/11, many people--even those outside New York and Washington, D.C.--couldn't make calls because of the heavy volume. However, people found they could still send text messages even if they couldn't make a phone call. Consider asking a close friend or family member in another part of the country to act as a central contact in the event of an emergency. Make sure that all of your family members know to call or text this person if they are separated from other one another or need to relay a message.

Related Links:

• Learn more about recovering from a natural disaster on Lawyers.com
• Download disaster preparedness checklists from the American Red Cross
• Discuss your issue on the Lawyers.com forums
• Lawyers.com Suggested Legal Books

The other day I was driving my car and came to a four-way stop sign. The vehicle that had the right of way--a woman in an SUV--drove slowly into the intersection, then came to a halt. It wasn't obvious why she'd stopped, until I took a closer look at her: The woman was talking on a cell phone, engrossed in her conversation, and oblivious to the fact that she was blocking traffic. Not only was her behavior unsafe and illegal in Chicago, where I live, but it was also rude!

July is National Cell Phone Courtesy Month. It's sad, when you think about it, but we've become such slaves to our cell phones that we often act in ways that are rude, thoughtless and unsafe. Somewhere along the way, it became commonly accepted that cell phone calls take precedence over everything else: safe driving, job responsibilities and other people's comfort. Legislators and courts have had to step in, making laws to regulate what should be common sense and courtesy.

Here are some examples of instances where common-courtesy and the law intersect.

Employers have the legal right to ban employees from making personal phone calls during working hours, or to limit employees to emergency calls only. If you violate employment policies, your employer can use it as cause to fire you. (And if you work in an at-will state or without a contract, your employer can fire you for no reason at all.) If you're using your cell phone for personal reasons at work, you're essentially stealing from the company and violating a basic rule of workplace ethics. Courtesy dictates: Even if your employer doesn't have a rule specifically governing the use of personal cell phones, don't text or make personal calls during working hours.

You can be kicked off an airplane for failing to obey crew member instructions, including failing to follow the request to turn off and put away cell phones. In addition, other businesses can ask customers to leave their premises for talking on a cell phone. Airlines and businesses can do this because companies have the legal right to refuse to serve customers, provided those reasons are not discriminatory. Courtesy dictates: When in a small enclosed area, such as a store or airplane, turn off the cell phone. Other people don't want to listen to your personal or work conversations.

Schools can ban students from using cell phones during school hours. As recently as last year, New York courts have upheld the right of the New York City public school system to ban students from using cell phones during school hours. Schools argue that a ban on cell phones is no different than a ban on certain types of clothing, drugs or weapons (and helps reduce the risk of cheating). Courtesy dictates: It's rude to make calls or send text messages when you should be paying attention to another person, such as a teacher.

Many states and some cities have banned drivers from talking on a hand-held phone while operating a motor vehicle. Other states have banned young or inexperienced drivers from any cell phone use while driving, and some states are implementing texting bans while driving. Not surprisingly, some studies indicate that hands-free devices do not reduce the rate of cell phone-related driving accidents. Other studies show that people who use a cell phone while driving are as distracted as people who drive under the influence of alcohol. Common sense dictates: If you must talk on the phone while driving, you should pull your car to the side of the road or pull into a parking lot while talking.

The use of hand-held cell phones while driving is banned in:

• Arkansas (young drivers only)
• California
• Connecticut
• Louisiana
• New Jersey
• New York
• Utah
• Washington

In addition, the following states have laws limiting or banning young or novice drivers from using cell phones while driving:

• Arkansas (effective Oct. 1, 2009)
• California
• Colorado (effective Dec. 1, 2009)
• Connecticut
• Delaware
• Illinois
• Indiana
• Kansas (effective Jan. 1, 2010)
• Maine
• Maryland
• Minnesota
• Nebraska
• New Jersey
• North Carolina
• Oregon
• Rhode Island
• Tennessee
• Texas
• Virginia
• West Virginia

Related Links:

• Read more about cell-phone privacy on Lawyers.com
• Discuss your civil rights on our forums
• Lawyers.com Suggested Legal Books

Summer seems to have snuck up on us this year. Maybe it's because much of the country experienced a long, cold, damp spring. Suddenly it's June, school's out and parents need to figure out how to keep their kids occupied until they go back to school in the fall.

If you haven't already made plans, you may be considering whether to send your child to summer camp. But before you fill out the forms, write a check and pack their lunch (or their suitcases), do your homework to make sure that you've found a safe, secure environment for your children.

Each summer, there are news reports about kids who are injured, permanently disabled or killed while at camps. You shouldn't automatically assume that an expensive camp is better than an inexpensive one, or that a private camp is safer than one run by the local parks department. It really comes down to the people who work at the camp, the training and policies they have in place, and the equipment designed to help kids have a fun and healthy experience.

When evaluating the camp, ask the director about the procedures they have in place to create a safe, healthy environment for their campers. A camp that places an emphasis on safety should happily and directly answer your questions. If you get evasive or defensive answers, that's a reason for concern.

Among the factors to consider:

Safety:

• What kinds of safety equipment does the camp have in place? Is it easily accessible and well maintained?
• When touring the camp, do you see first-aid kits, life preservers, fire extinguishers, etc., in plain sight? Does the sports equipment and safety equipment appear to be well maintained?
• What kind of supervision is provided? Do counselors seem alert? Are they paying attention to the campers?
• What kind of security is in place at the camp?
• Who is responsible for driving kids when transportation to other locations is necessary?
• How many lifeguards are on duty at any time?

Staff:

• Are background checks performed on all camp personnel, regardless of whether they come in contact with the kids? What does the background check entail?
• Is licensed medical staff on duty at all times that kids are present?
• Does the camp have a program in place designed to prevent sexual molestation?
• What is the average age of counselors?
• What is the ratio of campers to staff?
• What is the staff disciplinary policy? Is it zero-tolerance?

Training:

• What is the camp owner's experience?
• What kind of training do counselors receive, and how often are they given refresher training?
• How many staff members have first aid and CPR certification?

Emergencies:

• Does the camp have a written safety plan?
• How are these handled?

Miscellaneous:

• What type of insurance does the camp have in case something happens to your child?
• Is the camp licensed by the state?
• Is the camp accredited by the American Camping Association?

Forms & Waivers

When enrolling your child in camp, you'll probably be asked to sign a detailed waiver and liability release form. This form may also ask for detailed information about your child's health, allergies and other physical or mental issues that the camp should be aware of. Be honest! If the camp is likely to reject a camper because of health issues, it probably isn't a good fit in the first place.

The release form may ask you to agree not to sue if your child is injured or killed. Camp activities, like everything in life, carry some risks. However, if your child is hurt or dies and the camp is truly negligent, it's unlikely that the waiver will hold up in a court of law

Use Common Sense

Before sending your child to camp, do your homework, talk to your child about their behavior while away and use common sense. Get references, talk to the camp director and check camp reviews from past campers. You may come across one or two complaints, but if a negative pattern emerges, think twice about whether to enroll your child in the camp.

Talk to your child about the potential risks they may encounter. Camp, particularly overnight camps, can give children more freedom than they may normally be used to. Make sure they understand the importance of thinking before they act.

Finally, use common sense. Don't send your child to camp with expensive possessions that could get lost or stolen. Don't lie about a child's age or skills to get them into a camp they wouldn't otherwise be qualified to attend.

Related Links:

• Learn whether camp costs are tax deductible on Lawyers.com
• Visit the American Camp Association to review a list of state laws relating to camps
• Discuss your legal issues on our forums
• Lawyers.com Suggested Legal Books

Sharper Image. Ritz Cameras. CompUSA. Steve & Barry's. Circuit City. Linens 'N Things. KB Toys. Wilson's Leather. In the last few years, a number of high-profile retailers have gone out of business or closed poorly performing locations. If you're always on the lookout for a sale, these liquidation sales can seem like bargain-hunters dream. But that isn't always the case.

In reality, going-out-of-business sales can be a nightmare for unsuspecting shoppers. Jacked up prices. Poor-quality merchandise. Stringent sales policies.

Before searching for your next deal, it pays to know the truth behind these sales.

Companies are trying to make a profit. Going-out-of-business sales are often handled by liquidators, businesses hired to sell a company's remaining merchandise. Liquidators often guarantee the dissolving business that the sale will produce a certain amount of revenue. Plus, the liquidators themselves are in business to make a profit. Because of this, liquidation sales are not necessarily a place for bargains.

Prices may be higher than they appear. Liquidators often discount merchandise based on a manufacturer's suggested retail price, not the price of the product for before the sale began. For example, a TV might have an MSRP of $200 but typically sell for $170. If a liquidator discounts that $200 TV by 10% (or $20), you'll pay more than you might have before the sale started. If you're looking for something specific, know how much you'd pay if you bought it from another retailer. If you're browsing, use an internet-capable phone to check prices and determine whether you're actually getting a good deal.

Low-quality merchandise may be brought in from offsite. Liquidators may bring in merchandise, particularly lower-quality products, that weren't originally sold at the store. Customers may think they're getting a good deal on high-quality merchandise, but don't realize they're actually buying an inexpensive, low-end product.

You probably can't return an item, even if it's defective. Know the return policy. Many liquidation sales have a no-return policy, so only buy a product that you are absolute certain you want it. If you are returning merchandise that was purchased before the liquidation sale began, make sure that the original return policy is printed on the receipt, or print a copy of from the company's website. Businesses may initially refuse to issue you a refund, but be firm, calm and patiently persistent.

If you can't inspect a product, don't buy it. Do not buy a product without first examining it to confirm that it's in working condition. It's not uncommon to hear stories about people who buy boxed items only to discover, once they open the box, that the item is damaged or missing parts. At going-out-of-business sales, products are often sold "as-is" and returns are not permitted.

Your gift certificate or gift card may not be accepted. If you bought the gift card using a credit card, ask your credit-card company whether you can get a chargeback to recover the money. Next time you want to give someone a gift certificate, consider giving them a prepaid charge card issued by a bank or one of the major credit card companies. These may be more secure, and give the recipient more options for using the money.

Most states regulate going-out-of-business sales. You've probably seen stores that seemed to perpetually claim they were going out of business, but never closed their doors. In an effort to crack down on false advertising, most states have started regulating liquidation sales. Laws might:

• Require the retailer to register with government officials before beginning the sale, and provide the government with a list of merchandise to be sold
• Prohibit additional merchandise from being brought into the store after a sale starts
• Limit the length of time during which a going-out-of-business sale can last

Related Links:

• Learn more about consumer law on Lawyers.com
• Discuss your legal issue on our Consumer Rights forum
• Lawyers.com Suggested Legal Books