A class action lawsuit has been filed against Turo Inc. by Canadian man who claims that the company charges more than the advertised price for renting a vehicle.
Shay Abicidan says the company, which is referred to in the media as “the Airbnb of cars,” advertises their vehicles at one price, but then the real cost is revealed after the consumer has responded to the advertisement, a technique known as “drip-pricing.”
Plaintiff Abicidan states that he is the father of five children and his family has one car, which his wife drives throughout the day. His explains in the class action filed in Quebec that his wife was expecting a baby and he wanted a vehicle at work, in case his wife started going into labor while he was in the office.
The plaintiff claims that he used the Turo website to look for a car and decided on a Mazda 3, which was advertised at $43 per day. However, Abicidan says that his credit card was charged $174.13 for three days.
The Turo class action lawsuit states that the plaintiff was charged an additional “trip fee” of $6.10 per day, which was not advertised or displayed at the first step of the transaction.
“Since the ‘trip fee’ of $18.30 ($6.10 x 3) was a mandatory fee and not optional, Turo should have factored it into the price it advertised at the first step,” the plaintiff claims.
In addition, the Turo class action lawsuit claims that a $25 delivery fee was charged at the second step of the purchase process, but this was an optional fee as the customer had the option of picking up the car at no charge, instead of having it delivered for a fee.
The plaintiff argues that Turo unlawfully charged him $18.30 more than the $43 per day that was first advertised, which accounts for 14.18 percent more than the advertised price at the first step of the transaction.
“Applicant has suffered ascertainable loss as a result of Turo misconduct and failure to comply with the law, notably the overpayment in the amount of $18.30,” the Turo class action lawsuit argues.
The plaintiff also claims that, in advertising its cars at a lower price at the first step of the transaction, the defendant can influence the customer’s behavior in relation to the formation of the contract.
In addition, Abicidan says Turo intentionally deceives their customers because the company can easily show an “all-in” price at the first step of the transaction.
“Turo’s disregard for consumers’ rights and to their own obligations under the CPA is in and of itself an important reason for this Court to enforce measures that will punish Turo, as well as deter and dissuade other entities – both local and foreign – from engaging in similar reprehensible conduct to the detriment of Quebec consumers,” the Turo class action lawsuit states.
The plaintiff claims that Turo violates Quebec’s Consumer Protection Act.
Did you rent a car from Turo and were charged more than the initial advertised price? Leave a message in the comments section below.
The plaintiff is represented by Joey Zukran of LPC Avocat Inc.
The Turo Drip Pricing Class Action Lawsuit is Abicidan v. Turo Inc., Case No. 500-06-001026-190, in the Superior Court for the Province of Quebec, District of Montreal.
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