Company agrees to $900,000 consumer settlement
CHARLESTON — West Virginia Attorney General Patrick Morrisey announced a settlement valued at nearly $900,000 to resolve allegations that a leasing company unlawfully repossessed motor vehicles and made misrepresentations regarding credit repair.
According to a news release from Morrisey’s office, Auto Trakk LLC paid the state $100,000 and ceased any and all efforts to collect $790,000 in consumer debt, in accordance with terms of the settlement. It also agreed to recall any consumer accounts turned over to collections and vacate any judgments related to the accounts.
“Companies doing business in West Virginia must adhere to her laws,” Morrisey said in the release. “Our office will do everything within its power to ensure that consumers enjoy the protections afforded to them by state law.”
The AG’s lawsuit alleged that Auto Trakk repossessed leased vehicles without written notice. State laws require any business issue a written notice, and then wait 10 days before repossession.
Auto Trakk also stood accused of advertising its credit repair services without proper bonding by or registration with the Secretary of State’s Office since 2006, the release said.
Auto Trakk denied any wrongdoing and entered into the settlement to resolve the dispute and avoid litigation expenses, according to the release.
Auto Trakk is headquartered in Montoursville, Pennsylvania.
The settlement, agreed upon in May, was fully satisfied this month and the case was dismissed Monday, Aug. 13.
Read a copy of the settlement at http://bit.ly/2wcwAoB.
SEND YOUR BUSINESS NEWS HERE
The Herald-Dispatch welcomes your business news items. Please email to email@example.com, fax to 304-526-2857 or mail to The Herald-Dispatch, Attn: Business news, P.O. Box 2017, Huntington, WV 25720. Please include a telephone number in case there are any questions.