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AG Nessel's office reaches consent judgment with Executive Car Rental after alleged breach of agreement

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Posted at 11:24 AM, Jul 27, 2021
and last updated 2021-07-27 11:24:48-04

LANSING, Mich. — The Michigan Department of Attorney General has reached a consent judgment with a Detroit-area car rental company that allegedly breached an assurance agreement with the department, AG Dana Nessel announced Tuesday.

Back in September 2019, Nessel filed a lawsuit against Executive Car Rental (ECR) seeking injunctive relief and damages after the department found the company was not complying with an assurance agreement reached in March of that year.

The agreement was the result of an investigation into ECR, which began in November 2018 after the department received dozens of complaints from Michigan and out-of-state consumers.

The majority of those complaints were related to damage deposits of at least $250 that were either not returned on a timely basis or withheld altogether.

As part of that settlement, ECR agreed it would no longer charge deposits beyond vehicle rental costs and that it would implement a process for the inspection of a car before the rental process was completed.

Nessel responded with the lawsuit after determining ECR did not comply with those terms.

The consent judgment reached Tuesday includes three main components:

  • ECR must pay the Department of Attorney General between $17,500 and $15,000 of which is available for consumer reimbursements.
  • ECR is now bound through court order to meet its obligations under the March 2019 assurance agreement.
  • Consumers specified in the judgment are protected from ECR coming after them for money based on purported damages or other issues.

“I’m proud of the work done over the course of the last few years to hold ECR accountable for its unfair tactics,” Nessel said. “Let this consent judgment serve as a reminder that my office remains committed to ensuring businesses follow our consumer protection laws if they want to operate in Michigan.”

Assistant attorneys general will be reaching out to those consumers who previously filed complaints with the department and who may now qualify for funds obtained under the consent judgment.