What Does the New "No Texting" Law in California Really Include?

Under a new California law effective January 1, 2009. it is now illegal write, send, or read a "text-based communication" while driving. While most media outlets only make reference to the common practice of sending and receiving text messages from a cell phone, the new law also applies to any type of electronic communications such as testing, instant messaging and email.

First time violators will be fined $20 and then $50 for each violation after that. The law does not apply to situations where the driver is using a phone to look up a number to place a phone call. The law does not apply to "emergency service professionals" such as police officers when the electronic communications occur in the scope of their duties and while in an authorized emergency vehicle.

California drivers were previously banned from using their cell phones while driving unless they used a headset or a speaker. Passed in 2006, that law did not cover texting or emails.

About the Author: Carl H. Starrett II has been a licensed attorney since 1993 and is a member in good standing with the California State Bar and the San Diego County Bar Association. Mr. Starrett practices in the areas of bankruptcy, business litigation, construction, corporate planning and debt collection.

Why I Cancelled My Better Business Bureau Membership

When I first became of a member of the Better Business Bureau, I was under the assumption that it was an organization that I could trust to be fair to both businesses and consumers. My recent experience with a complaint filed against Hewlett-Packard and Staples caused me to rethink my position and cancel my membership.

Complaint Against HP

In a recent blog article, I discussed a problem with a defective HP laptop that I purchased at Staples in October 2008. After 3 weeks, the sound card and network card both failed. Staples refused to exchange the laptop and HP wanted me to send it back for repairs. Their repair and warranty policy was in the box.

It took HP over a week to send me the box to return the laptop and another 3 weeks to make the repairs. While waiting for the return, I filed a complaint with the Better Business Bureau.

When I received the laptop back, HP failed to even address the network card. The BBB closed the file before the repairs were even complete. When I asked to have the complaint reopened so I could add information about HP's failure to provide a complete repair, I was rudely told by San Jose BBB employee Erin McCool that she felt HP had handled the situation "appropriately." When I asked to speak with Ms. McCool's supervisor, she stated that her supervisor was the CEO and that she was out of town. I have yet to hear any further response from Ms. McCool's supervisor.

It appears that local Better Business Bureau's are actually run like franchises and there are no uniform rules for dealing with consumer complaints. I suppose that explains why HP can maintain a satisfactory rating with the BBB while it has over 2000 open consumer complaints. The San Jose BBB swept my complaint under the rug, so I refiled it with the new information to see how HP will address my complaints.

Complaint Against Staples

I also filed a complaint against Staples with the San Diego Better Business Bureau, which is where I purchased the laptop. The San Diego BBB informed me that all complaints involving Staples are sent to the BBB in Natick, MA. The transfer occurred on November 4, 2006. However, the BBB in Natick, MA has no record of receiving the complaint. The complaint was "retransferred" on November 26, 2008. The Natick office still has no record of my complaint and there has been no response whatsoever from Staples.

Most BBB offices do not allow you to search and review the specific complaints against a business. Instead, it gives the business time to respond. A business can maintain a satisfactory BBB rating without regard to the sufficiency of the response to a consumer complaint. Even businesses that routinely victimize customers can maintain a satisfactory rating if they are "responsive" to a consumer's complaint.

My experience has shown that the BBB complaint process is both burdensome and unreliable. If I cannot have faith in how the BBB handles consumer's complaint, I cannot have faith in the ratings system it uses to rate businesses.

About the Author: Carl H. Starrett II has been a licensed attorney since 1993 and is a member in good standing with the California State Bar and the San Diego County Bar Association. Mr. Starrett practices in the areas of bankruptcy, business litigation, construction, corporate planning and debt collection.

Another $600 Billion Bailout?

A day after announcing a $20 billion bailout for Citigroup, the Treasury Department and the Federal Reserve announced a plan to purchase $600 billion in bad loans. San Diego business and bankruptcy attorney Carl Starrett was asked to appear on KUSI's Good Morning San Diego to talk about what this bailout means to the general public:

About the Author: Carl H. Starrett II has been a licensed attorney since 1993 and is a member in good standing with the California State Bar and the San Diego County Bar Association. Mr. Starrett practices in the areas of bankruptcy, business litigation, construction, corporate planning and debt collection.

Citigroup Gets an Additional $20 Billion Bailout

Another banking giant is being rescued by the government. This time it's Citigroup, who'll get a $20 billion bailout. San Diego business and bankruptcy attorney Carl Starrett was asked to appear on KUSI's Good Morning San Diego to talk about what this bailout means to the general public:

About the Author: Carl H. Starrett II has been a licensed attorney since 1993 and is a member in good standing with the California State Bar and the San Diego County Bar Association. Mr. Starrett practices in the areas of bankruptcy, business litigation, construction, corporate planning and debt collection.

Can Bankruptcy Improve Your Credit Score?

Question: Can bankruptcy improve my credit score? I am thinking about filing for Chapter 7, but I keep hearing different information about how it will impact my credit score.

Answer: The quick answer to your question is that people who already have bad credit (FICO score of 330 to 619) will usually see a dramatic increase in their credit rating within 12-18 months after filing for Chapter 7 bankruptcy protection. People with low to average credit (FICO score of 620 to 659) should see a modest increase in their credit score. Most others should see moderate to severe decreases in their credit score.

A consumer’s FICO score is a snapshot of their credit worthiness. Your payment history accounts for 35 percent of the total score, so paying your bills on time is very important and the best way to remove most of the bad credit from your credit report. The rest of your credit report is based on how much you owe, the length of your credit history, the types of credit and debt that you have and other factors. Even with a perfect payment history, two-thirds of your credit score based on less objective criteria than your payment history.

As an example of how bankruptcy can improve your credit score, I have a client that filed for Chapter 7 bankruptcy in June 2008 that should see their credit score increase over 100 points. The debtor had credit card debt of almost $55,000 and a credit score of less than 570. The court granted my client's discharge in September 2008. By following a few easy steps, the client’s credit score should reach 670 by June 2009.

A Chapter 7 bankruptcy discharge will accomplish several things to help a debtor improve their credit. First, your creditors can no longer report a delinquent payment history moving forward from the date that your bankruptcy case is filed. Second, your unsecured debt will be listed as zero. Finally, a Chapter 7 bankruptcy allows you to get a fresh start.

About the Author: Carl H. Starrett II has been a licensed attorney since 1993 and is a member in good standing with the California State Bar and the San Diego County Bar Association. Mr. Starrett practices in the areas of bankruptcy, business litigation, construction, corporate planning and debt collection.