In some situations, the BBB may be unable to obtain cooperation from a company. A pattern of unanswered or unresolved complaints becomes a part of that company s BBB record and is reported to any persons who ask about that company. An unsatisfactory report will lead to termination of a company s BBBmembership if applicable. In extreme cases, the BBB may refer its file on a company to a law enforcement agency to determine if legal action is warranted. The parties state their views at an arbitration hearing, offer evidence, and let an impartial third party from the BBB s pool of certified arbitrators make the decision that will end the dispute.
Many companies sign pre-commitment pledges with BBBs to arbitrate disputes.
These pledges offer interested businesses the opportunity to commit in advance to resolve any disputes not settled through conciliation. Although the BBB greatly helps consumers and businesses through information and business self-regulation, it is not a government agency, nor does it have law enforcement powers. Consumers can also file complaints online. The growing popularity of the Internet has allowed companies to set up virtual storefronts that can be built and maintained for pennies a day. For consumers using the Internet, distinguishing between scams and legitimate information, and between reliable and unreliable businesses can be a challenge.