HARRISBURG, Pa. (Legal Newsline) — Hendricks Investments and
its owner Rodney Hendricks have settled allegations of charging improper
administrative fees and fines to tenants, many of whom were students at Penn
State University, Pennsylvania Attorney General Bruce R. Beemer has announced.
The Office of the Attorney General's Bureau of Consumer
Protection originally looked into the matter and charged Hendricks with
violations of the Commonwealth's Unfair Trade Practices and Consumer Protection
Law, as well as the Landlord Tenant Act.
Hendricks allegedly made residents who entered a lease
agreement pay a 15 percent administrative fee on any charges assessed against
the security deposit, with the fee being deducted from the tenant’s
security deposit upon completion of the lease.
The Bureau for Consumer Protection alleged Hendricks
used these business practices "for the sole purpose of enabling himself to
not only retain the entire amount of the security deposit but to also routinely
charge hundreds if not thousands of dollars above and beyond the amount of the
security deposit upon termination of the lease."
Hendricks will pay $20,000 for costs of the case and $5,000 in civil penalties, plus restitution for eligible consumers and will change his business practices.
Senior deputy attorney general John M. Abel and deputy attorney
general Jodi L. Zucco of the Attorney General’s Bureau of Consumer Protection filed