Attorney General Announces Settlement with Global Credit Card Transaction Processor

Customers eligible for refunds must file by February 27, 2016

Tennessee Attorney General Herbert H. Slatery III, along with the Tennessee Division of Consumer Affairs, today announced a settlement with Elavon, Inc. to resolve allegations that the company violated state consumer protection laws. With offices in Knoxville, Elavon, Inc. and its subsidiary, Ladco Financial Group, LLC, is a global company specializing in products and services that enable retailers to process credit card transactions.

Today’s settlement resolves allegations that Elavon violated the law by misrepresenting: (1) the cancellation policy of its credit card processing equipment leases; (2) the duration of credit card processing equipment leases; and (3) the compatibility of credit card processing equipment.

As part of the settlement, Elavon is required to clearly disclose the primary terms of its offers to customers, including the contract length, the cancellation policy, and the customer’s monthly payment amount. The settlement also requires Elavon to accept the cancellation of services or the return of goods as promised and to issue timely refunds or credits.

In addition, if Elavon receives a complaint regarding equipment incompatibility within 15 days of receipt, Elavon will have no more than 21 days to resolve the problem. If the problem is unresolved, the customer may terminate the lease without penalty and receive a full refund.

The settlement also provides for refunds to eligible Tennesseans who have previously filed complaints with the Tennessee Division of Consumer Affairs, the Better Business Bureau or the Federal Trade Commission, or who file complaints prior to the February 27, 2016 deadline.

Any consumers who have leased credit card processing equipment from Elavon, Inc. or Ladco Financial Group, LLC and believe their transaction involved unfair or deceptive business practices are encouraged to file a complaint with the Tennessee Division of Consumer Affairs at (615) 741-4737, toll free at (800) 342-8385 or online at http://www.tn.gov/commerce/article/consumer-complaint.  Please remember there is a limited time period to file your complaint for purposes of the settlement.