Pulaski County Circuit Judge Wendell Griffen on Monday ordered the owner of a Conway County recreational vehicle repair company to pay $1.6 million in fines for cheating 155 customers.
Jerry Wayne Collins, 49, of Plumerville operated NuCold Refrigeration Inc. in Morrilton and must pay the complaining clients $81,454 in restitution, with payments ranging from $42 to $4,940.
"Impacted consumers can be relieved to know that Collins and NuCold are being held responsible for unacceptable business practices," Attorney General Leslie Rutledge said in a news release.
Rutledge filed a consumer protection lawsuit against NuCold and Collins, who also operated as RV Fridge House and RV Icebox, in December 2016. The fine, representing $10,000 per violation of the Arkansas Deceptive Trade Practices Act, is the maximum penalty available.
Collins never responded to the lawsuit. Griffen ruled the defendants were in default in January, and Rutledge asked him to impose sanctions in October.
NuCold sold, remanufactured and repaired ammonia cooling units for refrigerators in recreational vehicles. Customers were required to pay in advance before any work was done or any unit was shipped. The units cost between $400 and $1,000.
The victims, who were from 40 states and Canada, either didn't get the equipment they paid for or were sold defective products with warranties that NuCold refused to honor, the lawsuit states.
"In nearly all cases reported to the state , NuCold repeatedly evaded attempts by consumers to request a refund or obtain the paid-for good or service. NuCold failed to respond to communications from consumers, including phone calls, text messages, emails, and letters," the suit states. "Some consumers who contacted the State were able to obtain refunds, but only after repeated and consistent attempts by the state to resolve the consumer complaints. In many cases, even the state's efforts were not enough to compel NuCold to provide refunds to consumers."
Metro on 12/12/2018