Unwanted Phone Calls: A business that provides additional coverage for automobile warranties is the target of an investigation by the Department of Justice in Oregon. Endurance Warranty Services will be required to pay fines of up to $550,000 as part of a settlement agreement. Additionally, the company will be prohibited from making unsolicited phone solicitations in the state of Oregon for the next five years.
The Oregon Doj Stops Companies Selling Extended Car Warranties From Making Unwanted Phone Calls
According to the records, the Oregon Department of Justice initiated its inquiry into the Illinois-based corporation after receiving more than a dozen complaints from customers. According to the Oregon Department of Justice (DOJ), Endurance mailed hundreds of thousands of mailers to residents of Oregon between the years of 2016 and 2019, and the company sold more than 1,600 extended car warranties.
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According to the Oregon Department of Justice (DOJ), the investigation conducted by the state determined that the company’s mailings contained various fraudulent claims. For instance, Endurance appeared to be aware when the automobile warranty of a particular customer had run out or was soon to run out.
In a complaint that was filed with the Oregon Department of Justice in 2019, Frank Dudgeon of Hillsboro stated, “That’s my estimation it is mail fraud — or at least highly misleading advertising.” Endurance said in the mailer that the reason Dudgeon was given the opportunity to take advantage of this offer was because of the make and type of his vehicle. The one and only catch being that Dudgeon has never been a car owner.
Dudgeon told over the phone on Monday, when the station attempted to get in touch with him, “It was ridiculous for me since I’ve never driven a car.” The senior citizen, who is 76 years old, contacted the Department of Justice in Oregon because he feared that the mailer would trick other elders.
Dudgeon stated, “I don’t know if I’m being targeted or if I’m just a random selection that happens to be an elderly guy, but I can understand why they could target seniors.”
According to the Oregon Department of Justice, Endurance ceased delivering the mailers while the inquiry was ongoing.
Additionally, complaints have been lodged with the Better Business Bureau regarding the company’s advertising. On its website, the Better Business Bureau (BBB) stated, “Since May 2019, the BBB serving Chicago and Northern Illinois has requested on many instances for Endurance Warranty Services, LLC to amend, or terminate their advertising mailings being delivered nationwide.”
Oregon DOJ puts the brakes on unwanted phone calls from company selling extended car warranties https://t.co/vHvKXYz0OX
— KGW News (@KGWNews) December 6, 2022
“The forceful and confused language that was used in the mailers sent out by the company frequently scared off potential customers.” In April of 2020, the Better Business Bureau (BBB) published an update stating that the mailers comply with the BBB Code of Advertising.
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Endurance is not permitted to make unsolicited sales calls in the state of Oregon for the next five years as a result of the settlement that was submitted to the Multnomah County Circuit Court. The corporation will also have to pay a fine of up to $550,000 and be required to develop an independent review mechanism for all advertising that is directed directly toward residents of the state of Oregon.
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