the car hadn't been repaired. I asked for my check and he refused. He said maybe they had to order a part for the car but he didn't know. I reminded him I called before coming and asked if the car could be picked up and was told, "yes, it is ready." He said I had paid for a thousand mile checkup, but he did not repair anything that I had given him on the list. The car still continued to run as bad as it did before.

I am completely disgusted, upset, bothered and burdened with this car. I can't afford to keep this lemon with the troubles it is having. I would like my down payment back to purchase a new car. It has been very inconvenient to have to take off or be late for work in order to go back and forth to the dealer. I get the impression the dealer only wants my money. Any troubles I have with the car they don't want to be bothered with.

I know of several other people who have had or are having troubles with cars. Some of them gave up and some are still trying but getting nowhere.

In trying to seek help with my troubles, I wrote letters to the Neighborhood Consumer Information Center; Action Line; Trouble Shooter; Better Business Bureau; and several people within the Chrysler Corp. NCIC has been very helpful and 2 people within the Corporation have contacted me and are trying to have the car repaired.

That's it.

Senator TUNNEY. Thank you very much. Ms. Durham, I am glad that you were able to take time off from your work to share with us your experiences. You have testified that as a member of the Department of Labor's Recreation Association you can purchase a car at a discount through a dealer recommended by the United Buying Service. You further testified that you complained about the dealer to the United Buying Service.

Did you get any response?

Ms. DURHAM. When I complained, I told them all the problems I had had and he said he would talk to them, which he did.

When he called back, he said, "Has the car been fixed?"

I said, "Yes, it has been fixed, but the attitude of the service manager was very bad." But he was not interested in that. He just wanted to know had the car been repaired.

At that point, it had been repaired, but I am still having problems. I called him the other day to tell him I am still having problems and he was tied up in some other work. I talked to another lady and she said, "Are you going back to what had happened previously?"

No. I just had the thousand mile checkup recently and I am having problems again.

She said, "Let me talk to them, maybe I can locate them."

We got disconnected and I didn't call back. He tried to get me and I was out of the office, but he hasn't called back.

But they are trying to make me feel good and make the dealer feel good at the same time. He will not say that what they have done is really wrong, but he just wants to try to get the car fixed.

Senator TUNNEY. Let me ask you this: Is the United Buying Service a private organization or does it have the cloak of governmental interest?

Ms. DURHAM. I think several governmental agencies use the United Buying Service.

I know the Labor Department does.

Senator TUNNEY. Staff tells me that it is a private organization, but that the governmental agencies use it. Have you complained to anyone in your department that you have not received adequate service from the United Buying Service?

Ms. DURHAM. Within the Department, no.

Senator TUNNEY. Are they still giving out the name of your dealer to prospective car buyers?

Ms. DURHAM. Yes, they are.

Senator TUNNEY. What is the name of the dealer?

Ms. DURHAM. Metro Dodge.

Senator TUNNEY. Metro Dodge?

Ms. DURHAM. Yes.

Senator TUNNEY. Despite the fact that you have issued a number of complaints, they are still giving out the name of Metro Dodge? Ms. DURHAM. They are still giving out the name.

When I talked to the lady at Metro Dodge, she said it had been written down the customer was satisfied and the dealer was satisfied. Senator TUNNEY. It was written down by the

Ms. DURHAM. United Buying Service.

Senator TUNNEY. Well, I am going to ask staff to direct a letter to the United Buying Service based upon the testimony of this witness and I would like to find out if in fact they still have on their records the fact that both parties are satisfied, if they are still giving out the name of the dealer, Metro Dodge, and what they intend to do to help this witness in the future days to get the car fixed.

I think we also ought to be in contact with the Government agencies that are using this particular United Buying Service.

Do you feel that there are other people in your neighborhood who have the same kind of problems?

Ms. DURHAM. Yes, I do know of some other people that have had problems with car dealers. One lady in particular purchased a carit was through the United Buying Service. I think she said at 11,000 miles, it threw a rod, but the dealer said that was not unusual. Also, the right front tire is bald. But she says he says that is not unusual. Senator TUNNEY. That is not unusual. At any time, did you seek the advice of an attorney?

Ms. DURHAM. I cannot afford an attorney.

Senator TUNNEY. You cannot afford an attorney?

Ms. DURHAM. No, I cannot.

Senator TUNNEY. Do you feel that attorneys' fees would be too high?

Ms. DURHAM. Yes, I do. That is why I

Senator TUNNEY. Do you know what attorney's fees would be?

Ms. DURHAM. I would think about $500 and I know I cannot afford that.

Senator TUNNEY. Have you thought of going into the small claims court?

Ms. DURHAM. I did not know about the small claims court until this morning.

Senator TUNNEY. Are you thinking about it now?

Ms. DURHAM. Yes, I am.

Senator TUNNEY. I would suggest that you do that, because you may be able to receive satisfaction if you do. I will give you this copy of the booklet, "Small Claims Court, Make It Work For You." I will give you my copy and I will get another. I think you will find it of benefit to you.

At this time, would you like to give your car back and get your money back?

Ms. DURHAM. I sure would. It has been a burden and even if they repair the car, I just would not be happy with it with all the troubles I have gone through.

Senator TUNNEY. Have you thought of notifying the Dodge Co.? Ms. DURHAM. I have. They are trying to help. They want to get the car fixed, but there is this bumping noise and the lady said if they cannot stop this bumping noise, call her and let her know. I was hoping that meant that I could get a new car.

Senator TUNNEY. But you do not know yet.

Ms. DURHAM. The car is in the shop. I will not know until this afternoon.

Senator TUNNEY. Good luck. I think you need it. But I would suggest that if you do not get satisfaction from the Chrysler Corp. or from the dealer, you consider using the small claims court procedure.

"Thank you very much. You can have a copy of this book. MS. DURHAM. Okay, thank you.

[Testimony resumes at p. 42.]

SUBCOMMITTEE ON REPRESENTATION OF CITIZEN INTERESTS,

U.S. SENATE,

COMMITTEE ON THE JUDICIARY, Washington, D.C., October 10, 1973.

Mr. HAROLD FOLK,
President,

United Buying Service,
Washington, D.C.

DEAR MR. FOLK: I am writing you in connection with a matter which arose at a hearing on consumer problems and the consumers ability to obtain redress of grievances on September 19, 1973. Delores Durham, a witness testified that she purchased a car from the Metro Dodge Company. Ms. Durham is a member of the Recreation Association of the Department of Labor and purchased this car through the United Buying Service.

According to Ms. Durham her car was not only defective in many aspects but Metro Dodge was uninterested in correcting the malfunctions. She claims that they were extremely rude to her. She testified that she complained to the United Buying Service but that your records reflect that the customer has been satisfied. Ms. Durham said that she is not now, nor has she ever been, satisfied with her purchase. I am enclosing a copy of her testimony.

The record of the hearing will remain open until November 6, 1973. If you feel that a statement from your organization is appropriate, it will be placed in the Record.

I have just become Chairman of a new Judiciary Subcommittee on Representation of Citizen Interests. The Subcommittee is charged with investigating the ability of individuals to obtain adequate legal representation in the settlement

of grievances. In this regard the frustration which Ms. Durham encountered in attempting to obtain redress is of great interest to the Subcommittee.

I would appreciate hearing from you on Ms. Durham's problems and would welcome your comments on problems consumers face in general in redressing grievances.

DEAR SENATOR TUNNEY: United Buying Service combines the purchasing power of employees in affiliated organizations to obtain the lowest possible prices on automobiles, furniture, major appliances and other family needs on which substantial savings may be obtained through volume purchases. UBS is independent of the suppliers. Automobiles and other goods obtained under arrangements made by United Buying Service carry the regular factory warranty and the normal service provided by authorized factory outlets.

The warranty or the service arrangements are a matter between the manufacturer, the dealer and the consumer. Our substantial volume of business, however, does permit us to intercede on behalf of our clients. We regularly ask all of our clients to complete and return a Client Memo to us that indicates the extent of their satisfaction with the purchase made. We did not receive this memo from Ms. Delores Durham but we did receive a telephone call on August 1 regarding service on the automobile that she had purchased from Metro Dodge. UBS pursued this matter diligently with the factory authorized dealer. During the ensuing fortnight this involved numerous discussions with both the dealer and Ms. Durham. On August 15, Ms. Durham informed Mr. Kirk Best of my staff that she was "now pleased with the progress that had been made" and thanked him for the assistance we had rendered. She called Mr. Best again on September 10 and, since he was not in the office that day, left word for him to call her. He called several times on September 11 but there was no answer. He called again on September 12 and Ms. Durham stated that she was busy and would call him later. She did not call later and we heard nothing further until you informed us of her testimony before your committee on September 19.

United Buying Service represents the consumer and is dedicated to protecting the interest of its clients. Consequently, we are genuinely concerned with both the quality of merchandise that is manufactured today and the warranty and other services rendered in maintaining this merchandise. Through our volume of business, we are in a unique position to help the customer obtain the lowest prices and, in many instances, to get service that extends beyond that which could normally be obtained. We have virtually no clients who have not succeeded in getting reasonable and satisfactory service when the problem has been brought to our attention in a complete and direct manner. As a consequence, our organization has grown substantially.

The consumer is our first and foremost concern, and we would welcome the opportunity to discuss our policies, procedures and practices with you and your committee at any time.

Sincerely yours,

O. HAROLD FOLK,
President.

Senator TUNNEY. Our final witness today is Donald P. Rothschild, professor of consumer law, George Washington University National Law Center and supervisor of consumer help.

I understand that Professor Rothschild will be accompanied by Ricardo Moreno and Winthrop N. Brown.

STATEMENT OF DONALD ROTHSCHILD, PROFESSOR OF CONSUMER LAW, GEORGE WASHINGTON UNIVERSITY NATIONAL LAW CENTER AND SUPERVISOR OF CONSUMER HELP (CONSUMER CLINIC); ACCOMPANIED BY RICHARDO MORENO, PRESIDENT OF AYUDA, GEORGE WASHINGTON UNIVERSITY LAW STUDENT AND WINTHROP N. BROWN, STUDENT DIRECTOR OF CONSUMER PROTECTION CENTER

Professor ROTHSCHILD. Senator Tunney, members of the staff, I am Donald Rothschild. On my right is Mr. Ricardo Moreno and on my left is Mr. Winthrop Brown.

Thank you very much for inviting us and giving us this opportunity to testify before you.

I am not going to read the statement that I submitted in written testimony. Instead, I would like to summarize and try to be more responsive to some of the questions that you have asked this morn

ing.

We are not ordinarily involved with the Federal level. We do not ordinarily testify in Congress, simply because we work with consumers on the local level, in county and city government agencies primarily. But I think the question of citizens representation is so important that I sort of snapped at the idea of coming here, because I think this committee's business is of critical importance to our market places today.

The Consumer Protection Center was founded in 1970. Our idea was to provide consumers with free paralegal and legal services which they could not obtain through regular channels to resovle market place grievances for them; and also, conversely, to attempt to deal with the Federal, State, local and private agencies that were set up to help consumers and see why they were not working, if indeed they were not.

Since 1970, we have handled approximately 25,000 complaints and referrals. We have put these complaints and referrals on computer tape to attempt to do research. That is our primary business, to do research about the scope of consumer problems in this country.

We operate four centers.

The first center is at WTTG, Metromedia Television. This is a unique joint venture of a law school and a commercial television station. The purpose is to test the concept of using the media for consumer advocacy.

This concept has been so successful in the Washington Metro area that a second joint venture between a law school and a commercial television station-pardon me, a public broadcasting station-in New York City has opened up just recently, to which we are consul

tants.

We receive complaints at this center from consumers in the Washington Metro area at large by operating a battery of phones on which consumers can call us from 12:30 to 5:00, 5 days a week.

We also operate a consumer action center which is located in the southeast, on Martin Luther King Boulevard, in the inner city. At this center, we receive walk-in complaints by phone.