AG FILES COMPLAINTS AGAINST CAR WARRANTY CALLERS

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May 13, 2009

LITTLE ROCK- Today, Attorney General Dustin McDaniel announced that his office has filed lawsuits in federal court against three companies that are believed to be placing illegal telemarketing calls about car warranties to Arkansas consumers.

All across the country, consumers have been inundated with phone calls on their home phones, work phone, and even their cell phones from companies attempting to sell an auto warranty. The calls are becoming increasingly frequent; the product offered costs more than it should and is more often than not unnecessary. Most importantly, the calls themselves are illegal.

In order to bring a halt to these prohibited activities, the Attorney General has filed suit against three companies: Auto Warranty Solutions, Vehicle Services, Inc. and Dealer Warranty Services. The complaints detail multiple violations of both federal and state telemarketing laws: making calls to Arkansans listed in the Do Not Call database; "robocalling," or using prerecorded messages for commercial purposes; and caller ID "spoofing," displaying false or misleading telephone numbers on consumers' caller ID systems.

"I believe the only way to put an end to the calls is to take swift legal action," McDaniel said. "We believe that our case is strong, and we fully anticipate a successful resolution to these lawsuits and any more we may file in the future on behalf of Arkansas's consumers. This case has national implications, and that I am proud of the leadership in my consumer division. A year ago, this team and I promised to vanquish pay day lenders. Today, the efforts of this team are focused on stopping these warranty calls."


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