Signature legally binds subscriber

2010-12-11 10:17

The Flexi Holiday Club has concluded that a client who was allegedly duped into ­taking out a membership ­remains indebted to them.

The club officials refused to consider the circumstances ­under which Aaron Ramaphosa was recruited and stressed that his signature was binding.

Ramaphosa contacted ­Hotline after his efforts to ­cancel his membership failed. He wanted to claim a refund in respect of subscription fees amounting to R6 337 that were deducted from his ­account.

He admitted that the terms and conditions of the contract were explained to him, but he said the seller failed to disclose that he only had five working days to cancel the contract if he wanted to.

“I was looking forward to positive feedback and, I must say, I am disappointed.

“If these people insist that the deal is irreversible, then perhaps we can warn other consumers about falling into the same trap,” he said­.

In August 2007, Ramaphosa was invited to a Flexi Holiday Club presentation in Ransburg, Limpopo.

He was impressed with the offer, but refused to accept the agreement as he did not have any source of income at
the time.

The representative urged Ramaphosa to complete the contract, which would only be effective on receipt of a ­registration fee, he was told.

At the time, Ramaphosa was awaiting a lump sum payment generated by his business, and he agreed to sign the papers.

The representative explained that Ramaphosa could cancel the contract within six months of paying the ­registration fee.

Almost a month later, he contacted the representative and expressed his wish to ­cancel the contract. He was advised to do so in writing.

However, the letter of ­cancellation did not reach Flexi ­Holiday Club’s office. Ramaphosa discovered this when the company made two separate deductions of R5 245 and R1 092 from his credit card ­account.

Ramaphosa disputed the transactions, and this marked the beginning of a wrangle that lasted almost a year.

Hotline referred the ­complaint to Raakhee van Straaten, senior product ­adviser at Flexi Holiday Club, who concluded that ­Ramaphosa had entered into a binding agreement with Flexi Holiday Club.

“The member’s account ­remains in arrears. And he needs to contact our legal ­department,” said Van ­Straaten.

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