Don’t confuse AGS with AGSL.
AGS is a private, membership only organization consisting primarily of retail jewelry stores. AGS is the majority stockholder in AGSL. AGS offers this as a member benefit for AGS retail member firms. In that since it’s rather like the consumer financing program offered through Wells Fargo, merchant credit card processing, employee training etc. Some stores use it, some don’t and some will use a competitive provider that they feel more suites their specific needs. They also offer assistance with advertising materials and many other benefits that some stores take great advantage of while others completely ignore the offer. This sort of thing is part of the reason to become an AGS member.
AGS hired AGSL to design the document and implement the techniques, like the ASET photograph, that are required to prepare it. The retailer pays AGSL for the services associated with each individual report. The retailer could just as easily have hired a graphics design firm of their own and developed or subcontracted their own photography system. As was pointed out above, GCAL is in this business. The guarantee would be the same. It’s the retailer, not AGS and not AGSL that’s underwriting it.
Technically, AGSL could generate the report on any old mudball that the client wanted but the board of AGS decided that it would be bad for their image to allow this to happen. It’s their report so they can put any restrictions on it they want. They determined for marketing reasons that they would limit available to only AGS retailer firms, specifically excluding independent appraisers and titleholders with supplier firms, as well as limiting it to stones initially graded by AGSL and to stones that meet certain minimum standards. Again, it’s their report and they can offer it to whoever they wish.
If a retailer, including an AGS member firm, wants to offer a guarantee on other stones, for example stones graded by GIA, their own in-house lab, they want to make a guarantee on AGS stones outside of the parameters available with this program or they just object to the $59 fee, they are welcome to do so. AGS members who do this would be held to the same ethics rules involving accuracy of grading and product representation as they are by issuing this one. All merchants, including non-member’s doing this would be bound by the relevant local, state and federal rules about misrepresentation and by the terms and conditions of the guarantee itself. Naturally, they would be forbidden to use the AGS masthead or to represent that the stone was graded by AGSL unless this is the case.
I guess coming out with all that paper work is trendy these days...
The good thing with the GIA is the fact that they dont...Date: 5/5/2007 6:43:03 PM
Author: oldminer
Years ago, the years before there was an AGSL, there was a diamond grading system which was proprietary to AGS and only for their membership. It was a distinct member benefit, but the members failed to make the most of it or benefit from it in the best way. The AGS created the AGS Lab and also took the proprietary grading system to the general trade and made it a commercially viable system with good marketing and some advertising. Once again, many or most of the AGS Retail members failed to capitalize on the AGS Lab or the new diamond grading system, but this time outsiders found out that they could use it to advantage and made it just that much more difficult for AGS Retailers to benefit from their expensive AGS membership. We were AGS wholesale members for over 20 years, so I know what ''expensive'' means from personal experience. My firm left AGS membership since as wholesalers and appraisers we were not allowed to use our Certified Gemologist titles on appraisal reports, but the AGS Lab was going to take this business from us and AGS would not allow us to compete. It made no sense then and still makes no sense today. At least they picked a great guy, Peter Yantzer, to head up the operation and he makes me feel good about the attitude of his lab every time we meet. Nothing is all bad. Its not a black and white situation.
It seems pretty black and white to me...
AGS has made a move to give a member benefit to AGS Retailers. Its a good move and probably many years past due. The original AGS diamond grading system belonged to these members and it was taken from them ,although it has now gained recognition and respect. It is time to give these folks who support AGS something to use to help them compete. Its a sad joke at this point that it won''t be allowed for Internet dealing. That is a going to difficult to enforce and members ought to be able to use such a document in any way they wish. It will do no harm.
"AMERICAN GEM SOCIETY
DEDICATED TO PROVEN ETHICS, KNOWLEDGE AND CONSUMER PROTECTION " Only protecting Class A Consumers!!!!
GCAL provides a guarantee on grading and so does my lab. Its the same kind of promise which says, ''If you show me the same diamond, I promise to grade it the same a second time unless it is a different diamond, then all bets are off.''Any lab can offer this, but few do. With technology and computerization, we can re-identify most stones when they are re-submitted. Any diamond which comes back for a re-check is readily identified. What''s the big deal? I would ask why GIA doesn''t offer such a simple guarantee of repeability rather than denigrate labs which do offer this simple promise. I know GIA can do it if they wanted to and it may have some meaning to consumers. For the trade, it is a guarantee with what I see as little to no risk.
What if GCAL or you make a mistake in grading a Diamond..., according to your promise..., the mistake cant be corrected.
Sorry, maybe this is obvious by now, or not, but...
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