Consumer Fraud Lawsuit Filed Against Home Warranty of America |
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A class action lawsuit was filed against Home Warranty of America, Inc. which alleges that it systematically denies claims for coverage.
The lawsuit alleges that Home Warranty of America solicits sales of its warranty service knowing that it will systematically deny coverage, often claiming that the defect was from a “pre-existing condition”.
The lawsuit alleges consumer fraud, breach of contract, and violation of the Magnuson-Moss Warranty Act.
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Other Consumer Products Cases of Interest
Two men have filed a lawsuit against the Hoosier Indiana Lottery, seeking class-action status as a result of the lottery's admitted misrepresentation of the number and amount of prizes available in a scratch-off game. The parties have reached a $1,089,627 settlement in an administrative action filed against Mantra Films, Inc., and its sole shareholder, officer, and director, Joseph R. Francis (the seller of ‘Girls Gone Wild’ DVDs and videos), on behalf of all persons who bought the company's products between February 1, 2002, and June 1, 2003, and who canceled their enrollment by returning the first monthly shipment for a refund, but did not get a refund of any shipping costs. U.S. District Judge John Corbett O’Meara ruled that the city of Detroit’s anti-ticket scalping ordinance is unconstitutional and unenforceable where sellers are offering tickets to sports and concert events for face value or less. Netflix settled a class action lawsuit brought against the company in 2004 for allegedly duping potential customers by advertising "unlimited" DVD rentals and "one day delivery." Current and former Netflix customers will receive a one-month perk. All of those miscellaneous charges that companies add on to credit purchases are regulated by state and federal law. The parties have reached a tentative settlement in a class action against Schewel Furniture Company, Inc. on behalf of all Virginia residents to whom the company improperly applied finance charges, thereby violating Virginia's Consumer Protection Act and the federal Truth in Lending Act. A national class action has been filed in Florida against mobile phone giant, AT&T Wireless Services, Inc. The action is brought on behalf of all U.S. residents who have either been charged an early termination fee for canceling their AT&T Wireless service, or who have been forced to maintain their AT&T Wireless service in order to avoid early termination fees. The AT&T Wireless users allege that AT&T has breached its contract with customers by not providing adequate service and by not investigating problems with service sufficiently. The action is brought under state contract law and state laws regulating unfair and deceptive business practices and seeks compensatory and punitive damages as well as disgorgement of profits.
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