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LEGAL NEWSLINE

Friday, April 19, 2024

Auto Protection Alliance settles allegations with Kansas AG

Schmidt

TOPEKA, Kan. (Legal Newsline) - Kansas Attorney General Derek Schmidt announced an agreement on Thursday with a California auto warranty company to resolve allegations of violating the Kansas No-Call Act.

Auto Protection Alliance LLC, doing business as Auto Processing Center and Lead Services LLC, allegedly solicited Kansans by telephone to market their extended auto warranty services and products. The company allegedly contacted some Kansas consumers who were on the National Do-Not-Call list.

"Kansans who register on the Do-Not-Call list have an expectation that telemarketers will leave them alone," Schmidt said. "We are continuing to enforce the law against those who violate the No-Call list and are working with the legislature to strengthen the Kansas No-Call Act."

Schmidt's office received seven complaints about Auto Protection Alliance from consumers in Miami, Lyon, Johnson and Douglas counties.

Under the terms of a consent judgment, Auto Protection Alliance agreed to pay $10,000 in penalties and fees and refrain from future violations of the act.

In 2013, Schmidt's office litigated 17 cases against alleged violators of the No-Call Act, leading to the payment of $3.4 million in penalties and fees.

In January, Schmidt asked the Kansas legislature to amend the Kansas No-Call Act to let his office enforce the law against telemarketers who call consumers' cell phones. There will be a hearing on the bill next week in the state's Senate Utilities Committee.

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