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AG Nessel Sues Rockford Business Owner and Tree Service LLCs Alleging Illegal Business Practices

LEGAL NEWSLINE

Sunday, November 24, 2024

AG Nessel Sues Rockford Business Owner and Tree Service LLCs Alleging Illegal Business Practices

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Attorney General Dana Nessel | Dana Nessel Official Photo

Michigan Attorney General Dana Nessel sued Rockford business owner David Foster and his Limited Liability Companies (LLCs) Michigan’s Choice Tree Service and Storm Support Emergency Tree Removal, alleging illegal business practices in violation of a previously established Assurance of Voluntary Compliance (AVC), the Limited Liability Company Act, and the Michigan Consumer Protection Act (MCPA). The lawsuit was filed in the 30th Circuit Court in Ingham County.

David Foster owns and operates Michigan’s Choice Tree Service, LLC, as well as Storm Support Emergency Tree Removal, LLC. In 2022, the Department of Attorney General (DAG) initiated a formal investigation of Michigan’s Choice, and presented evidence that the LLC was confusing consumers about their legal rights, misleading consumers about the nature of the agreements they were signing as well as the cost of the services being provided, and the customer’s responsibility for those costs not paid by their insurers. The DAG additionally provided evidence showing a pattern of charging grossly excessive prices for its tree services. The DAG issued a notice of intended action to Foster and Michigan’s Choice in February of 2023, and the parties entered into an AVC the next month, wherein Michigan’s Choice agreed it would present consumers with written price quotes before commencing projects or asking consumers to sign contracts, and would not engage in violations of the MCPA.   

It is alleged that Foster then, that same month, established Storm Support Emergency Tree Removal as an LLC in the state of Wyoming and, despite not filing the requisite certificate to conduct business in Michigan, has continued to engage in the same alleged illegal business practices found in the prior investigation into Michigan’s Choice.  

“Businesses have an obligation in the State of Michigan to operate in good faith and to deal fairly with consumers, as codified in our Consumer Protection Act,” said Nessel. “My department remains vigilant in defending Michigan consumers against unfair and illegal business practices. The pattern seen here is tremendously stressful and harmful to consumers in urgent, emergency situations, and I refuse to standby while people are being taken advantage of in vulnerable circumstances.” 

The lawsuit claims Foster and Storm Support Emergency Tree Removal employ unlawful contracts and oral representations and that the customer’s inability to retain or access the contractual agreements following execution creates the probability of ongoing confusion over the consumer’s legal rights. The DAG also alleged Foster and Storm Support charge customers amounts grossly in excess of which similar services are generally sold, citing incidents where customers were charged such prices as: 

  • $23,718.00 for removal of three tree branches from a rooftop in Lansing; 
  • $39,474.60 for removal of a single tree that fell upon a house in Grand Rapids; and
  • $26,094.00 for removal of a single tree that fell upon a house in Cedar Springs. 
The Attorney General alleges violations of nine distinct subsections of the MCPA and breach of contract pertaining to the 2023 AVC. The Attorney General further alleges Foster and Storm Support violated the state’s Limited Liability Company Act by not filing the certificate of authority required for a business formed under the laws of another state (Wyoming) to conduct business in the state of Michigan.   

Foster and the defendant LLCs have until January 25th to respond to the lawsuit or face a default judgement granting each element of injunctive relief sought at the discretion of the Court.   

Michigan consumers who suspect they are the victims of illegal or predatory business practices are encouraged to contact the Department of Attorney General’s Consumer Protection Team.  

Consumer Protection Team

P.O. Box 30213

Lansing, MI 48909

517-335-7599

Fax: 517-241-3771

Toll-free: 877-765-8388

Online complaint form

Original source can be found here.

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