NY AG Sues Firm Accused Of Peddling Deceptive Home Warranty Plans That Ripped Off Homeowners Nationwide; Obtains Court Order Freezing Company Cash

From the Office of the New York Attorney General:

• Attorney General Andrew M. Cuomo [...] announced that his office has filed suit against National Home Protection, Inc. (NHP), a New York City-based company, and three principals, Leo Serrur, David Seruya, and Victor Hakim in New York Supreme Court in Manhattan for a deceptive home warranty scheme that defrauded consumers in New York and across the country out of hundreds of thousands of dollars.

• The Attorney General also applied for and was granted a temporary restraining order freezing the bank accounts and other assets of the company and principals, and preventing NHP from selling any more of its home warranty plans out of New York pending further order by the Court.

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• NHP sells yearly home warranty plans that include promises to repair or replace consumers’ household systems and appliances that break during the contract term. However, the Attorney General’s investigation into the company revealed [among other things] that, more often than not, the company failed to honor these warranties and routinely denied customers’ valid claims for fraudulent reasons.

For the rest of the allegations, see AG Cuomo Sues National Home Protection, Inc. For Home Warranty Scheme That Defrauded Consumers Nationwide Out Of Hundreds Of Thousands Of Dollars (New York-Based National Home Protection Victimized Consumers Across The Country By Failing to Honor Expensive Home Appliance and House System Warranties; To Ensure Restitution for Defrauded Consumers, Court Freezes Company and Principal Assets).