LITTLE ROCK — An Arkansas alarm company has settled charges of violating the state's Deceptive Trade Practices Act and Home Solicitation Sales Act with its sales practices and misleading of customers, according to the state's Attorney General's Office.
According to the office of Arkansas Attorney General Leslie Rutledge, NorthStar Alarm Services allegedly used "high-pressure door-to-door sales tactics" while falsely representing its relation to other alarm companies to sell service contracts. NorthStar also did not tell customers how long or the true cost of the service contracts, the Attorney General's Office said. Rutledge's office also alleges NorthStar did not allow customers the required three-day notice to stop the services per state law and automatically renewed customer's contracts.
“NorthStar violated Arkansas law and took advantage of consumers,” Rutledge said in a statement. “Arkansas law prescribes specific protections for consumers in door-to-door sales transactions. NorthStar representatives ignored those safeguards and used dishonest sales tactics to entice some Arkansans to purchase a home alarm system. This type of deceptive behavior will not be tolerated in Arkansas.”
The settlement includes NorthStar paying nearly $20,000 in restitution and enjoins the company from further "unlawful sales tactics," the Attorney General's Office said.