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Consumer Alert - Door-to-Door Seller Operating Without Valid Licence

EDMONTON, August 13, 2003 - Alberta Government Services is urging Albertans to beware of an unlicensed door-to-door sales operation selling discount shopping cards while claiming to help missing children's charities.

The department has received reports that representatives of Gold Medal Project Inc. are selling cards ranging in price from $20 to $40, which offer discounts at a variety of local businesses. Claims made by Gold Medal Project representatives vary. Some consumers are told proceeds will go to Victims of Violence, a missing children's charity. Others are led to believe the money will benefit Alberta's Amber Alert program or be used to help distribute child identification kits to local schools.

Similar ID kits, however, are available at local RCMP detachments at no charge. The Amber Alert program is government-sponsored and no fundraising is required. Many businesses listed in the discount program no longer honour the Gold Medal Preferred Membership Cards.

Government Services refused to renew Gold Medal Project's direct selling licence in 2002 for misrepresenting the benefits of a previous discount coupon program. As a result, Gold Medal Project does not have the right to sell anything door-to-door in Alberta nor does it have a licence to raise funds on behalf of any charity in the province.

Albertans approached by this company should contact police and Alberta Government Services' Consumer Information Centre toll-free at 1-877-427-4088.

Alberta's Fair Trading Act requires all door-to-door sellers to be licensed. A security must also be posted if the product sold is valued at more than $25. Albertans have the right to cancel door-to-door purchases within 10 days for any reason and without penalty. The right to cancel extends to a year if the company is not licensed. Alberta's Charitable Fundraising Act also requires that any fundraiser hired by a charity to act on its behalf must be licensed.

With any door-to-door salesperson, consumers should ask for identification and proof of a valid licence. The security posted by a licensed company in many cases can help consumers get their money back if problems occur.

For more information on door-to-door sales, a tip sheet called Dealing with Door-to-Door Sales is available through www.gov.ab.ca/gs (click on Forms and Publications) or the Consumer Information Centre.

Eoin Kenny
Director of Communications, Acting
Alberta Government Services
(780) 415-6051