Final BBB Decision - 2014



NHE has decided to permanently withdraw from our BBB accreditation membership as a result of the ongoing controversy surrounding the closing of the Southern California/Los Angeles BBB office. We have decided to no longer work or be associated with the LA BBB. We do not believe any future relationship can benefit NHE or its interest. Since its closing, there has been a significant reduction in efficiency, membership support and quality of information provided by the BBB in general. Because all Los Angeles/Orange County business reviews from the original LA BBB have been taken offline (as they were the sole property of the expelled group and apparently remain in that group’s possession) the BBB has had to rely on original business filings, dating back many years for most of us. Most of the information contained on original county filings (County Clerk DBAs) is outdated, as almost all businesses have grown since then with many moving to newer locations. NHE has made numerous attempts to rectify this problem but those attempts have been unsuccessful, contributing further to our decision to withdraw our BBB membership.


From this point forward, any/all BBB inquires will go unaddressed by NHE. As a direct result of our membership withdrawal, the BBB may decide to assign an ‘F’ grade to NHE, as this would be standard operating procedure for those unwilling to pay for accreditation. Although we understand that an 'F' grade may be viewed negatively by some NHE customers and associates, we still believe firmly enough in our principles to not allow a grade of any type influence our decision to distance ourselves from this seamlessly never ending BBB extortion scandal. We have concluded that a baseless 'F' grade is far less harmful to NHE than an 'A' clouded in controversy. Only one of these potentially deceptive 'grades' requires NHE's active participation. NHE management is unwilling to knowingly participate in a pay-to-play scandal associated to the LA BBB. There must be no doubt as to why and how any particular accreditation was acquired by, or assigned to, NHE. Although the BBB rated NHE an 'A-' prior to us ever becoming a member, there would be no way anyone would now know, with certainty, the reason behind a high grade from this point forward.


For those who may be unaware, all BBB offices are individually owned and operated, much like a franchise. The BBB is not a government office and they have no legal authority of any kind in relation to businesses operating in any state or county. In other words, reporting to the BBB would essentially be the same as reporting to any other national consumer interest organization. An organization whose primary purpose is to be a third-party mediator working on behalf of dissatisfied customers, yet possessing no jurisdictional legal power or authority to render a binding judgment of any kind. Businesses that cooperate with the BBB do so voluntarily and without fear of legal recourse by the BBB.


The articles below further illustrate the unusual predicament Southern California Businesses face in relation to the LA BBB. Additionally, you may read our original blog regarding the LA BBB closing. The RippOff Report page concerning the BBB (link below) is the longest and most active online complaint regarding any American business (ref. Wikipedia). Hundreds of businesses, from all over the country, have expressed concerns over the BBB business model, claiming it is based on extorting money from them in exchange for higher 'grades'.  It is important to note that not all BBB offices have been found guilty of a pay-to-play scheme. Pay-to-play business practices may not apply to our local BBB office.



-NHE Management