Penalty Amount
$10,000
Connecticut Attorney General William Tong announced a settlement with Integrity Admin Group, Inc. for deceptive home warranty marketing practices. The company will pay $10,000 and cease misleading tactics such as creating false urgency and sending fake checks. The settlement includes injunctive relief to prevent future deceptive practices.
Integrity Admin Group must pay a $10,000 fine and is enjoined from engaging in deceptive marketing, including implying false associations with lenders or governments, using false deadlines, and sending documents resembling checks.
In-house legal teams should review customer home warranty agreements, vendor marketing contracts, and employee sales policies. Key clauses to examine include marketing representations, sales tactics provisions, compliance with consumer protection laws, and document authenticity requirements. Changes may be needed to explicitly prohibit creating false urgency, sending fake checks, misrepresenting affiliations with lenders or government entities, and to incorporate injunctive terms from the settlement. Ensure all marketing materials and communications adhere to truthful advertising standards, include clear disclosures about warranty terms, and avoid implying false deadlines or existing warranties.
Entity
Integrity Admin Group, Inc.
Also known as: Integrity Admin Group
Industry
Insurance$625K
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