Recently we told you that JC Penney was doing away with phony price comparisons in its stores. Other sellers, however, still need to clean up their act.

A little over a year ago, Mouse Print* spotlighted a number of grocery items at Amazon.com that they claimed were 90% off, when they were not. The company used grossly exaggerated “regular” prices to make it appear that the goods were 90% off.

After we called them on the carpet, influential blog that Mouse Print* is, the company cleaned up its act, right? Well, not quite. A quick look through their listings turned up hundreds of questionable discounts.

Here, they are claiming that 24 boxes of Kraft Macaroni and Cheese normally sell for $791.76 — or $32.99 a box.

*MOUSE PRINT:

The actual regular price at a local supermarket was $1.59 a box, or $38.16 for 24, not nearly $800 as Amazon claimed.

Here are some more examples of wildly exaggerated regular prices used to provide an illusory discount of over 90%:

*MOUSE PRINT: Supermarket price is $2.50 a box; with four boxes costing $10, not $239.

---

*MOUSE PRINT: Supermarket price is $1.34 a box, not over $140.

---

*MOUSE PRINT: Supermarket price is $4.69 a box, not over $90.

---

*MOUSE PRINT: Supermarket price is $1.89 a bottle, not over $47.

---

*MOUSE PRINT: Supermarket price is $1.79 a box, not almost $45.

---

*MOUSE PRINT: Supermarket price is $1.59 a box, not $55.

---

*MOUSE PRINT: And in one of the craziest savings claims ever, how could a single small package of licorice ever cost over $72, thus forming a basis for a $2599 regular price for three dozen?

---

In many of these cases, a third party seller has established the regular and sale prices, apparently with little oversight by Amazon. So, a word to the wise is to ignore Amazon’s savings claims, and do your own comparison of actual selling prices at a variety of stores.

You can see more wild price comparisons scattered here.

We’ve often complained about misleading subject lines in email used by marketers to make you think you are being offered a better deal than you really are.

Back in March, TGI Friday’s sent an email with a subject “Coupon Inside – Free Entree on Us!”. But that was not what they were really offering.

*MOUSE PRINT:

The offer is really buy a meal, get one free, and that is far different from being given a free entree coupon as the subject suggests.

Fast forward to January 2012. The company sent another email promising a free entree:

Here we go again. But this time, it wasn’t even a buy one, get one free coupon.

*MOUSE PRINT:

Buy one entree, get HALF off another? How is that a “free entree”?

Enough of this foolishness. Mouse Print* contacted the PR company for TGI Friday’s to point out the misleading nature of their January offer, and ask what the company was going to do about it. The spokesperson replied:

Thank you for calling our attention to this matter. T.G.I. Friday’s is aware that there was a discrepancy between the subject line and the message of an email that was distributed to Friday’s email subscribers on Friday, January 13th. T.G.I. Friday’s sent an email today clarifying the offer and apologizing to its guests for the mistake.

Less than 30 minutes later, an email entitled “Accept Our Apology” was received from the company, complete with bright red type:

We sent you an email on January 13, 2012 with an incorrect email subject line. The subject line stated “Free Entrée and MORE Savings Inside”, however the coupon is valid for “Buy One Entrée, Get the 2nd Entrée Half Off”. We hope you will accept our apology and still use the coupon below.

Thanks to the company for doing the right thing. I wouldn’t hold my breath, however, expecting them to ever send an email with a really truthful subject like “Buy 1, Get 1 Free Coupon Inside”. Maybe they will surprise us.

Being aware that Mouse Print* regularly reports on downsized products, 12-year old reader Jared G. wrote to us having spotted large boxes of Glad Bags that no longer had as many bags as previously.

MrConsumer asked him to go back to the store, and to act as our special correspondent on the scene, and show us what he found.

Here is Jared’s report…

*MOUSE PRINT:

Wow, wow, wow. What a smart kid! I asked Jared how he came to know about consumer things, and what his views were on spending money. It turns out he learned to be a good shopper from his mother, who homeschools him.

“Regarding consumery things, my mother taught me about pricing and labels, scams, deals, and other shopping paraphernalia, at about eight years old. My money opinions are simple. Your expenses should always be lower or equal to your income.”

Is this a budding consumer advocate or the next Suze Orman (minus the debit card), or what?

Back to Glad bags. MrConsumer took a trip to BJ’s and it revealed that this was not the only Glad product that had been downsized.

*MOUSE PRINT:

*MOUSE PRINT:

We asked Glad to explain why they had downsized so many products. We’re still waiting for an answer.

On February 1, 2012, J.C. Penney is revamping its pricing strategy to one where it offers everyday low prices, and only runs sales a couple of times a month.

This is a huge departure for a company that, along with Kohl’s, historically advertised huge discounts from inflated “regular” or “original” prices that they rarely if ever charged. In a New York Times article, JCP’s new CEO even admitted that those regular prices were phony:

Though retailers use promotional pricing to attract shoppers, even if they often vow to move away from it when it gets too pronounced, Mr. Johnson said the method used what he called “fake prices” — artificially inflated prices that are on near-constant markdowns.

In newly released commercials, J.C. Penney, makes fun of its old pricing strategy including endless sales and coupons (and impliedly makes fun of Kohl’s for continuing those practices):

Penney’s new pricing strategy is to reduce regular prices by 40% or more, and makes those the prices customers pay most of the time.

This page from their website reveals how inflated the old “regular” or “original” prices were compared to the everyday selling price now.

*MOUSE PRINT:

It will be interesting to see if consumers, who have been conditioned to only buy things on sale, will respond positively to no longer seeing sales every week with deep discounts along with coupons for additional savings (even though those savings were illusory).

The 3200 passengers on the Costa Concondia, which was run aground and nearly sank in Italy, may find it tough going getting legal redress for their nightmare and suffering.

Much like airlines, cruise lines have contracts of carriage that govern the legal rights and responsibilities of both the company and the passenger. For Costa, which is owned by Carnival Cruise lines, it is called the Passage Ticket Contract (and contrary to reports by Reuters and Forbes last week, it appears that it is this Costa contract that governs, not Carnival’s as they asserted). Here are some of the key terms that protect the company at the expense of the passenger:

*MOUSE PRINT: Where Claims are to be filed — Italy!

“Voyages That Do Not Depart from, Return to, or Visit a U.S. Port –
All claims, controversies, disputes, suits and matters of any kind whatsoever arising out of, concerned with or incident to any voyage that does not depart from, return to, or visit a U.S. port, or to this Contract if issued in connection with such a voyage, shall be instituted only in the courts of Genoa, Italy, to the exclusion of the courts of any other county, state or nation. Italian law shall apply to any such proceedings.”

The good news is that the mandatory arbitration clause does not apply to this itinerary because no US port was visited.

*MOUSE PRINT: Claim Filing Deadline

“The Carrier shall not be liable for any physical or emotional injury, illness or death of a Passenger unless written notice of the claim with full particulars is delivered to the Carrier or its duly authorized agent within 185 days after the date of injury, illness or death.”

*MOUSE PRINT: Liability for Negligence

“The Carrier shall be liable only for its negligence.”

Score one for passengers!

*MOUSE PRINT: Liability for Emotional Distress

“The Carrier shall not under any circumstances be liable to the Passenger for damages for emotional distress, mental anguish or psychological injury of any kind, when such damages were neither the result of a physical injury to the Passenger, the result of the Passenger having been at actual risk of a physical injury, nor intentionally inflicted by the Carrier.”

Score another for passengers, since one could clearly argue that the passengers were at risk of actual injury, thus they can sue for mental anguish.

*MOUSE PRINT: Financial Limits on Liability

[Various international conventions] “limit the liability of the Carrier for death of or personal injury to the Passenger to no more than 46,666 Special Drawing Rights (“SDRs”) as defined therein, and all other limits for damage or loss to personal property. The value of 46,666 SDRs is equal to approximately U.S. $70,900 …”

*MOUSE PRINT: Don’t Try Suing Carnival

“All of the defenses, limitations and exemptions of whatever kind relating to the responsibility and liability of the Carrier that may be invoked by the Carrier by virtue of this Contract or by law are fully extended to and may also be invoked by all persons or entities who may act on behalf of the Carrier …”

*MOUSE PRINT: Property Damage Claims are Capped

“The responsibility of the Carrier for damages to or losses of the Passenger’s baggage, belongings or property, including without limitation clothing worn by the Passenger, even if temporarily in the custody of the Carrier, is limited to the maximum sum of the lower of five hundred U.S. dollars (US$500) per Passenger or one hundred fifty U.S. dollars (US$150) per piece, unless prior to the beginning of the voyage the Passenger declares a higher value in writing and pays a higher tariff equal to five percent (5%) of the declared value; provided, however, that under no circumstance shall the Carrier be liable for an amount greater than five thousand U.S. dollars (US$5,000), …”

*MOUSE PRINT: No Property Damage Claims are Allowed for…

“The Carrier does not undertake to carry, and shall not be liable for, loss of or damage to money, negotiable securities, business or other documents, jewelry, tools of trade or product samples, works of art, electronics, computers, computer disks or other electronic storage or similar device, cellular telephones, cameras, video or audio tapes, CDs, binoculars, recreational equipment, dental hardware, eyewear (including eyeglasses, sunglasses and contact lenses), hearing aids, medications, medical equipment, wheelchairs or scooters under any circumstances…”

*MOUSE PRINT: No Class Actions

“THIS CONTRACT PROVIDES FOR THE EXCLUSIVE RESOLUTION OF DISPUTES THROUGH INDIVIDUAL LEGAL ACTION ON EACH PASSENGER’S OWN BEHALF INSTEAD OF THROUGH ANY CLASS OR REPRESENTATIVE ACTION.”

*MOUSE PRINT: As to safety… you are on your own.

“… the Passenger assumes responsibility for his or her own safety and the Carrier cannot guarantee the Passenger’s safety while on or off the Vessel.”

*MOUSE PRINT: Cancellation rights, No Consequential Damages.

“The Carrier may for any reason whatsoever, including … perils of the sea, … cancel… the voyage itinerary, and the Carrier shall not be liable for any loss whatsoever arising from or relating to such cancellation, deviation, delay, substitution or modifications. … in no event shall the Carrier be liable for any consequential damages, costs or expenses of any kind.”

*MOUSE PRINT: Refunds for the rest of the trip — only merchandise credit toward another Costa cruise.

“If the performance of the voyage is interrupted… the Passenger and the Passenger’s baggage may be landed at … any port or place at which the Vessel may call and the responsibility of the Carrier shall cease and this Contract shall be deemed to have been fully performed…. The Passenger shall not be entitled to any refund of the Cruise Fare or to compensation, damages or reimbursement of any expenses whatsoever, but will be given credit for the proportion of the Cruise Fare unused.”

While this contract severely limits Costa’s liability, the company may well be more generous in settling claims, if for no other reason than to try to maintain goodwill, to rebuild its public image, and to limit its legal expenses. Hopfully, some smart lawyers will figure out a loophole or two in their contract.

For a comprehensive legal analysis of cruise passengers’ rights, please read Judge Thomas A. Dickerson’s treatises: “Cruise Passengers Rights and Remedies 2011″, and “Travel Abroad, Sue at Home 2011“.