AG warns against price gouging and scams

The Daily Sentinel

By Mazie Aldrich
The Daily Sentinel

Published August 30, 2005

Monday, Attorney General Troy King issued a warning to contractors businesses that he will take action against those who seek to profit illegally at the expense of Alabamians suffering from the affects of Hurricane Katrina.

He cautioned consumers to be wary of those who would further victimize them through home repair frauds.

The state law that prohibits “unconscionable pricing” of items for sale or rent comes into play once the Governor declared an official state of emergency.

The penalty is a fine of up to $1,000 per violation for those who willingly violate the law.

King suggests the following guidelines before securing a non-solicited contractor for repair.

• Find out as much as you can about the workers.

•Ask for proof that they are bonded or insured.

• Ask if they are licensed. Regulations vary, but plumbers and electricians must be tested to be licensed by the state.

•Ask if this particular job requires a permit. Most construction and home repairs of major significance require a permit from the county or city.

•Get a written estimate detailing the work to be done and setting a completion date.

• Ask for references. Get names and addresses, and consider checking examples of work they have done.

• Do not pay too much up-front. You should pay only a minimal amount, perhaps as much as one-fourth, to indicate good faith and ability to pay.

•Make sure you can contact them. Be wary if they can only give you a pager number, a cell phone number, or a post office box address.