AG's Office Reaches Settlement With Terminix
Attorney General Josh Shapiro announced Sept. 11 that his office has reached a settlement—including payments to the state of more than $81,000—with the pest control company Terminix International Co.
September 13, 2019 at 01:00 PM
2 minute read
Attorney General Josh Shapiro announced Sept. 11 that his office has reached a settlement—including payments to the state of more than $81,000—with the pest control company Terminix International Co.
The settlement resolves allegations that the company failed to consistently provide Pennsylvania consumers with copies of their service and finance agreements and notice of cancellation at the time of sale, as required by state and federal consumer protection laws.
Terminix agreed to pay nearly $19,000 to the state government "for the benefit of certain Pennsylvania consumers" who were charged without being informed of their rights as buyers.
Civil penalties of $35,000 and $27,500 in costs were also assessed as part of the accord.
According to a statement from the Pennsylvania Attorney General's Office, an investigation was initiated after consumers complained to the Attorney General's Bureau of Consumer Protection that Terminix required them to sign an iPad when agreeing to services and informed them that they would receive a copy of the signed agreement via email. However, these consumers reported that they never received the agreements via email. Because state and federal law require that agreements containing financial charges be provided to consumers at the time of signing, some Pennsylvania consumers paid Terminix charges that they were not obligated to pay.
"Pennsylvania consumers deserve to be fully informed as to the terms of contracts they are entering into so that they can make sound financial choices," Shapiro said. "Terminix violated state and federal consumer protection laws by failing to deliver agreements to consumers in a timely manner. Through this settlement, Pennsylvania consumers are entitled to restitution for charges they incurred due to these deceptive practices. Our Bureau of Consumer Protection will continue to work to exterminate any instances of companies taking advantage of the people they are supposed to serve."
Terminix is a Delaware-based company with offices throughout Pennsylvania.
The Philadelphia Inquirer reported that a Terminix spokesman said that "a very small number of customers" were affected after the company implemented paperless options for document signature and delivery. "We have since thoroughly reviewed our digital contract processes and implemented new procedures to ensure complete customer satisfaction."
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