LANSING, Mich. — The state settled a lawsuit against a Rockford business owner and two of his companies, Michigan Attorney General Dana Nessel announced Tuesday.
AG Nessel says she secured a consent judgment to resolve the lawsuit against David Foster and his limited liability companies (LLCs) Michigan’s Choice Tree Service and Storm Support Emergency Tree Removal.
The AG’s office sued Foster and the LLCs in early January over illegal business practices, alleging they misled customers on pricing.
READ MORE: State sues Rockford tree removal company for price gouging
The state says Foster violated a previously established Assurance of Voluntary Compliance, the Limited Liability Company Act and the Michigan Consumer Protection Act (MCPA).
AG Nessel’s consent judgment provides injunctive relief and financial relief.
Foster admitted to violating the Michigan Limited Liability Company Act by operating Storm Support without the necessary certificate to operate, and to violating the MCPA by “causing a probability of confusion or of misunderstanding as to the legal rights, obligations or remedies of” their customers, per the agreement.
“Enforcement action was needed here to bring a repeat offender into compliance with the Michigan Consumer Protection Act,” Nessel said. “Foster and his businesses illegally mistreated their customers in a time of need. The Michigan Consumer Protection Act affords certain rights to customers across the state to keep bad actors from unfairly taking advantage of them or otherwise tricking them out of their hard-earned money. Michigan is an excellent place to conduct business, but it is not a friendly state to those who illegally dupe consumers – and most especially those dealing with property damage in the wake of a storm.”
The Department of the Attorney General previously investigated Foster and Michigan’s Choice back in 2022 for several violations of the MCPA, including charging excessive prices and intentionally misleading their customers about their rights, the agreements they were signing and their cost liabilities outside of insurance coverage.
READ MORE: Nessel issues subpoenas to local tree company accused of overcharging clients
Foster signed an agreement in 2023 to not violate the MCPA in these ways.
AG Nessel says Foster established Storm Support immediately after, under the laws of the state of Wyoming, and continued to engage in the same illegal business practices in Michigan, prompting the most recent lawsuit.
Conditions of the settlement agreement force Foster and his businesses to be enjoined by court order from violating the MCPA, deviating from written price quotes, engaging in unfair or deceptive business practices and making specific misleading claims historically made by the businesses.
Additionally, they agree to pay the Department of the Attorney General $13,500 for its enforcement efforts against the defendants.
A portion of that will be distributed among three consumers who assisted the AG’s lawsuit and were featured in related court filings.
Michigan consumers who believe they are victims of illegal or predatory business practices can contact the Department of Attorney General’s Consumer Protection Team by calling 517-335-7599 or the toll-free number at 877-765-8388.
You can also send a letter to the Consumer Protection Team – P.O. Box 30213, Lansing, MI 48909, or online via the Online Complaint Form.
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