Security and protection services provider
The ADT Corporation
) recently intensified its crusade against deceitful sales by rival
firms to protect its brand image and loss of reputation. The
company has even announced a reward of $25,000 for a video evidence
of such deceitful acts to prosecute the offenders. However, share
prices did not have any material impact from the increased vigil
against serial lawbreakers and traded relatively flat on May 28,
ADT has been flooded with customer complaints from unsuspecting
patrons, especially elderly citizens, wherein victims ended up
unnecessarily replacing their existing products and signing new
contracts with another provider. The customers alleged that they
were duped to believe serious malfunctioning of ADT products or
insolvency of the company to effect unwarranted replacement with a
new security system.
In order to spread awareness and up the ante against deceptive
sales practice, ADT has even issued a series of do's and don'ts for
customers. The company has filed several lawsuits for such criminal
activities and has vouched to continue fighting against companies
and their employees who swindle its customers. For the record, ADT
had recovered around $4 million last year from lawsuits and
infringements to its brand image.
Headquartered in Boca Raton, FL, ADT offers electronic security
products along with a wide range of interactive home and business
automation and monitoring services for residences and small
businesses in the U.S. and Canada.
ADT's electronic security and home/business automation solutions
primarily include installation and monitoring of residential and
small business security and premises automation systems. These
products are designed to detect intrusion; control access; react to
movement, smoke, carbon monoxide, flooding, temperature and other
environmental conditions and hazards; and address personal
emergencies, such as injuries, medical emergencies or
ADT currently carries a Zacks Rank #3 (Hold). Other stocks that are
worth considering in the industry include
Nielsen Holdings N.V.
Huron Consulting Group Inc.
), each carrying a Zacks Rank #2 (Buy).
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ADT CORP (ADT): Free Stock Analysis Report
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