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Not a Class Act!

By Ed Foster, Section The Gripelog
Posted on Mon Mar 17, 2008 at 11:25:25 PM PDT

Many people have mixed feelings about class action lawsuits, seeing as how the only real winners are usually the lawyers. But is such litigation more justified against a software company that keeps putting out a buggy product? That was the question confronting one reader when he received notice of a settlement involving Sage Software's Act! 2005.


As with many readers previously (see "Some Sage Advice"), the reader wrote me earlier this year about his frustration over how Sage has handled Act since acquiring it. "After 20 years as an Act! Certified Consultant I'm hanging it up because of the current got-to-have-this-year's-version mentality of Sage. They put out buggy products and don't fix them because they are too busy with next year's release. They've left their client base in the lurch in the process. I was in the first class of Act! Certified Consultants back when Contact Software was in Dallas and have been one ever since, through today. But I am dropping the product in 2008 - at least my formal affiliation with Sage. I've had it with their total revenue mentality and their terrible end-user support from Bangalore."

Sage's apparent philosophy of bringing out a new version every year of the contact management software is the source of all the problems, the reader believes. "Since Act! 2005 was released and took the product to SQL, Sage has been releasing a new version every September. Conventional wisdom is to wait for the first service pack before deployment and that is what I do with my clients. But six months after release of this year's model we start hearing all about next year's model. There used to be three years or so between releases --- time to stabilize the current product, issue service packs to address issues, and be responsive to other products with which Act! had linkages. Not anymore. I think the final blow came in January last year when Office 2007 hit the street for general users. Word 2007 would not work with Act! 2007, released in September 2006. Any time a new version of Office came out in times past, the current owner of Act! would be quick to issue a patch to make that version compatible with Office. But this time Sage made it clear that Act 2007 would not be compatible with Office 2007. Period. End of statement. Users would have to wait for Act! 2008 in September 2007. And of course because it was a version upgrade they would have to pay for this fix for Office 2007. That left people in the lurch."

The reader also feels there's been a bloatware problem with recent versions of Act!. "Sage has tied development tightly around the .NET framework and SQL, and that has raised the complexity and demands of the product. Small companies, historically the bread and butter of Act!'s installed base, would no longer be able to maintain their systems without help from more expensive IT specialists --- not to help them USE the product, just to make it behave. The core concepts of Act!, which are very good, have been supplemented by features that most of my small business clients do not use (whoopee, another metrics dashboard in Act! 2008)! The simple elegance of contact management - the heart and soul of Act! -- has gone away. Lost to gee whiz bells and whistles and a difficult to maintain product. And a totally revenue driven company."

"Sage is doing the same thing with TimeSlips and PeachTree," the reader added. "I get their mailings about the new release of these products, the upgrade costs, and the pending demise of support for a product three years old. So in 2008 stick a fork in me. I'm done! I think there are millions of users out there angry at Sage for painting them into this box. And where are they going to go? Outlook? I don't think so. Business Contact Manager for Outlook 2007 has some nice features but it is cumbersome to use and brings Outlook to its knees. Oh, well."

Just by coincidence, the week after writing me the reader received a notice in the mail of a settlement by Sage in a class action lawsuit over defects in Act! 2005. The reader was less than wildly enthusiastic. "No admission of liability, and they are compensating folks at a whopping $47 per license! Gee, I feel better. How'd they arrive at $47? That's a totally weird number and doesn't cover anything. I won't apply -- as an Act! consultant they'd certainly disqualify me anyway. Besides, what would $47 buy -- some beers and burgers for you and me?"

Sure, when you've suffered at the hands of a company, the compensation a class action settlement offers is almost always going to seem ridiculous. And you know the lawyers are the ones who are really getting the money. But I am pleased to see this particular settlement, just because it is a software company having to pay a price for an obvious pattern of putting out buggy releases.

That hasn't happened as often as it should have. Years ago, for example, a rather similar case was brought against Corel after its own got-to-have-this-year's-version syndrome produced a series of very buggy CorelDraw releases. Corel's lawyers easily dragged the case out for years with licensing obstacles and the like until the case finally just died. So that Sage did not succeed in blocking this action is perhaps a good sign.

What do you think? If there'd been a few more successful class actions over buggy software like Act! 2005, would we have better-quality software today? Post your comments below or write me at Foster@gripe2ed.com.

< Reader Voices: Subscription Scams | Autorenewal Lurks in Spyware Doctor >


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Not a Class Act! | 14 comments (14 topical) | Post A Comment
Class action suits[ Reply to This ] (none / 0) (#1)
by Anonymous User on Tue Mar 18, 2008 at 07:09:22 AM PDT

I love the class action suits that award you more services and products of the offending company. I think the lawyers awards should be exactly the same as the plaintiffs. Lets see what a law firm would do with $3,000,000.00 of bluetooth earphones from Verizon.

[ Reply to This ]


Lawyers suck[ Reply to This ] (none / 0) (#2)
by Anonymous User on Tue Mar 18, 2008 at 08:38:50 AM PDT

Class Action generally means the corporation pays some big bucks, the original plaintiff gets a few grand, and everyone else gets a coupon for $1 off their next purchase of the defective item. Meanwhile, the lawyers walk off with several million bucks each.

Unfortunately, the lawsuit rarely changes anything except the pricetag on the company's products.

[ Reply to This ]



Misunderstanding Class Action Suits[ Reply to This ] (none / 0) (#3)
by Anonymous User on Tue Mar 18, 2008 at 08:57:01 AM PDT

Class action suits aren't intended to give everyone a generous handout from the offending corporation. They're intended to act as a deterrent, and failing that, a punishment, proportional to the number of people that the company's improper behavior impacted. The main point of the class action suit is the damages the company has to pay -- making them feel their misbehavior in their wallet. For the purposes of punishment, who gets that money is irrelevant. It'd be nice to see all of it go to the people who were harmed, but that's pretty much unlikely. A class action suit isn't supposed to be a moneymaking proposition for the members of the class, any more than a murder trial is supposed to resurrect the victim. It's nice if it happens, but don't count on it.

[ Reply to This ]


Nor for the defendant[ Parent | Reply to This ] (none / 0) (#9)
by sconeu on Wed Mar 19, 2008 at 07:07:43 AM PDT

Yeah, it's not supposed to be moneymaking for the plaintiffs, but it's not supposed to be moneymaking for the defendant either.

What would you call it when the settlement is "a coupon worth $15 toward [DEFENDANT]'s products"? Examples: Microsoft, Sony rootkit.

So they get punished by having people buy *MORE* of their stuff?  Big punishment.

--
I am not merely a "consumer" or a "taxpayer". I am a Citizen of the United States of America.
[ Parent | Reply to This ]



Let the lawyers get what the plaintiffs get[ Reply to This ] (none / 0) (#4)
by MrsPost on Tue Mar 18, 2008 at 10:46:36 AM PDT

I know this has been said before but it always bears repeating.

If the plaintiffs get coupons off their next purchase, so should the legal team.

What? That's unacceptable! Those lawyers put real time and effort into winning this case so why should they get .. oh.

Yeah, ain't gonna happen unless some federal judge states that in their decision. That whatever penalty imposed on the defendant is the same penalty the lawyers get, per hour.

100 hours of work? 100 $10 off coupons your next purchase.

That's the only way class action settlements are going to change and it would be great to see that if it ever happened. But the legal system is designed to protect the lawyers just like the income tax system is designed to protect the tax accountants. Nothing is going to change.

[ Reply to This ]



You missed the point...[ Parent | Reply to This ] (none / 0) (#5)
by Anonymous User on Tue Mar 18, 2008 at 12:45:22 PM PDT

... of a class action which is to provide a financial penalty against the offender to discourage repeat offences. Restitution is absolutely secondary - class actions may involve a few dollars per person, but a lot of persons.

The lawyer fees issue is often raised by Big Business when arguing for tort reform to kill class action law. It's a red herring. Like an earlier post remarked, the idea is to punish the offender with a painful fine.

Classic example is cramming. No-one will sue their phone company for a five dollar cram on their bill, even if repeated every month. Yet the practise is fraud. Class action provides a civil remedy to fix the problem.

[ Parent | Reply to This ]



yes but[ Parent | Reply to This ] (none / 0) (#6)
by Anonymous User on Tue Mar 18, 2008 at 01:18:58 PM PDT

another comment above says: "A class action suit isn't supposed to be a moneymaking proposition for the members of the class..." But beside your very valid point, class action suits shouldn't be moneymaking propositions for the attorneys either. Yes they should be paid for their time and expertise, but no more than that.

[ Parent | Reply to This ]


Just a repeat[ Reply to This ] (none / 0) (#7)
by Anonymous User on Wed Mar 19, 2008 at 06:01:46 AM PDT

Sage is just in on the latest trend, doing what many other software companies are doing: ripping people off. It's that simple. The Sage story sounds just like Intuit and others. When I discover a company has ruined a product I've been using, spending most of their time and effort on how to turn the product into more money for them and less time on quality and support, I cut them off. They get not another penny from me. Wish everyone would do this - put these cons in their place.

[ Reply to This ]


Is there a good replacement for ACT?[ Reply to This ] (none / 0) (#8)
by Anonymous User on Wed Mar 19, 2008 at 06:48:32 AM PDT

Hi guys,

I have one client that uses ACT. Both they, and I, agree that it's a lousy product. They really only need it for contact management. Does anyone know of a quality product that does what ACT does?

One big detriment is that this client is like most ACT users --small, with a hodgepodge of machines. No Active Directory domain --some machines are running XP Home (so no Small Business Server with Exchange option).

I'd love to find them a suitable product that they'll get good support on, so they can kick Sage to the curb forever, but I have to stay in their budget range, and can't rock the boat with huge changes (i.e., you have to wipe and reinstall your machines, become part of a Windows 2003 domain, etc. resulting in several weeks of expensive labor). I'm pessimistic on this, but I'm still hoping someone has a good suggestion. Any ideas?

[ Reply to This ]



Sorry but...[ Parent | Reply to This ] (none / 0) (#10)
by Anonymous User on Wed Mar 19, 2008 at 07:27:24 AM PDT

Your users need to at least get on a "business" OS, like XP Pro or even W2K Pro. Trying to stay "cheap" is only going to cost them in the end...

[ Parent | Reply to This ]


You know that...and I know that...[ Parent | Reply to This ] (none / 0) (#11)
by Anonymous User on Wed Mar 19, 2008 at 05:40:35 PM PDT

The trouble would be convincing them of that. Until I can, it'll be ACT, unless there's another option. Actually, it's possible that even THEY know that, but are stuck in a spot where the costs seem pretty large to make changes.

They're the typical business that bought PC's in twos and threes, so imaging is a nightmare, most aren't business PCs so they didn't come with XP, etc. It's the typical nightmare of small-business computing.

They're nice people too, they are just at a point where any move made would cost a lot of money or time, and so the status quo remains, even if it isn't perfect. I figured I'd at least ask the question.

[ Parent | Reply to This ]



I know...[ Parent | Reply to This ] (none / 0) (#12)
by Anonymous User on Thu Mar 20, 2008 at 02:24:35 AM PDT

I used to work with alot of clients like that. Sweet people, but courting disaster and headaches at every turn :)

[ Parent | Reply to This ]


Replacement for Act[ Parent | Reply to This ] (none / 0) (#13)
by wabx on Mon Mar 24, 2008 at 09:13:28 PM PDT

American business has in many ways become bloatware,  just like the tools that American businesses use. Today's computer obsessed micromanagers would do well to recall the times when a simple appointment book would do pretty much everything Act does without the expense or aggravation. If that sounds too primitive, a PDA would certainly suffice.

[ Parent | Reply to This ]


video converter software[ Reply to This ] (none / 0) (#14)
by Anonymous User on Tue May 06, 2008 at 12:46:52 AM PDT

Here is Video Converter Download dot com. you can download Video Converter here, and also you can download DVD Ripper, DVD Creator, DVD to iPod, DVD to MP4. The FLV to WMV site you can find software to convert FLV to WMV, FLV to AVI MPEG WMV 3GP MP4 iPod converter, Free FLV to WMV converter, FLV to WMV converter video files, How to convert FLV to WMV. More useful software for you video movie entertainment: iPod Converter, Video Edit Software, Video editor, Video Cutter, Video Splitter, Video Joiner, AVI to iPod, convert DVD to iPod, convert AVI to iPod, convert WMV to iPod, convert MPEG to iPod, convert FLV to iPod, WinXmedia AVI MPEG iPod converter, AVI to iPod softwares free download, iPod to PC transfer, iPod to Mac transfer, DVD maker, AVI to DVD, MPEG to DVD, DVD Audio ripper, YouTube to iPod converter, iPod rip, iPod Movie converter, DVD to 3GP, 3GP Video Converter, DVD to Zune, Zune Converter, Convert WMV to FLV , Convert FLV to WMV MPG MPEG, FLV Video Converter, Video to FLV Converter, YouTube FLV in WMV, DVD to PSP, PSP converter, MP4 to MP3, DVD to iPhone, iPhone converter, DVD to Apple TV, Apple TV converter, DVD to WMV converter, DVD to DivX, DivX to DVD

[ Reply to This ]


Not a Class Act! | 14 comments (14 topical) | Post A Comment
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