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Consumers may be able to file an American Home Shield class action lawsuit if they have experienced financial harm at the hands of the home warranty company.
American Home Shield: Home Warranty Company or Scam?
American Home Shield Corporation is a home warranty company that provides support for the repair and replacement of major appliances.
If consumers pay a monthly payment between $22 and $42, American Home Shield finds contractors to repair appliances or replace them.
Although this service sounds idealistic, American Home Shield allegedly fails to live up to their promises.
Some consumers have reported issued with the independent contractors hired by American Home Shield. Consumers allegedly have no say in who responds to their service request, meaning that the contractors may not be as skilled or experienced as homeowners expect.
Other customers have reported that the contractors and the home warranty company may get into disagreements – causing delays in repair services.
Homeowners claim that their failed appliances are replaced with cheap alternatives. Regardless of how nice their appliance is before replacement, consumers allegedly have their appliances replaced with low quality options that only barely have the same features as the old product.
American Home Shield customers have left poor reviews on countless review sites.
American Home Shield Class Action Allegations
American Home Shield has already faced legal action regarding their claims. Plaintiff Richard J. Kohl filed an American Home Shield class action lawsuit in California state court in 2012.
Kohl claimed that, when he purchased his home, he was charged a fee of $435 for one year of American Home Shield warranty services which were recommended by his real estate agent. Although Kohl thought that the fee was simply payment for the home warranty service, some of the payment allegedly went to his real estate agent as a referral kickback.
The American Home Shield class action claimed that the home warranty company violated California’s Real Estate Settlement Procedures Act (RESPA) which prohibits kickback payments as a part of real estate dealings.
Filing an American Home Shield Class Action Lawsuit
Due to an arbitration clause in American Home Shield contracts, it may be difficult for consumers to take legal action against the home warranty company. Arbitration clauses force parties to settle disputes outside of court. However, consumers may be able to take legal action with the help of an experienced lawyer.
If you qualify to bring an American Home Shield class action, you will need an attorney to help you navigate this process with minimize stress. Attorneys are experienced in navigating the strict rules of court and can help you dot your i’s and cross your t’s to ensure that your claim is not dismissed on a technicality.
Did you purchase an American Home Shield warranty? What did you think? Leave a comment below and let us know.
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315 thoughts onFiling an American Home Shield Class Action? What You Need to Know
American Home Shield sent out an unqualified technician to repair our Samsung refrigerator after it stopped working and all of our food went bad. After he left we restocked it and it stopped working within 24 hours. Over $300.00 worth of frozen food went bad. They did not compensate us for the food spoilage. We complained and cancelled our warranty, but our complaints were not addressed. The technician was at fault because he did not perform the repair correctly or correctly diagnose the problem to begin with. Total spoilage losses topped $500.00. I documented everything but was never compensated.
It is 2 months that they are not following up, sending me back and forth.
Send me 3 vendors, 6 technicians , still not fixed and they are not following up.
American Home Shield owes me over $1300 and continuously gives me the run around when I call to see where my checks are. I have spent countless hours on hold with them, only to be hung up on. They claim that two separate checks, supposedly sent months apart, were lost in the mail. The post office says this is virtually impossible. The simple fact is that they have no intention of providing the coverage I paid for and they are hoping I give up and go away. I sent letters to the PA Attorney General, BBB, and the Consumers Affairs. They owe me for cash in lieu of services that I paid to have completed because they could not provide the appropriate repairs. They also fraudulently charged me for Freon for a leaking AC unit. They know that hiring an attorney to sue them would not be cost affective and so they simply refuse to pay you. Someone needs to but them behind bars.
I purchased AHS to cover appliances, HVAC and other systems in our home. The issue came when our HVAC system wouldn’t work and the technician they sent out said that we weren’t their customer but AHS was and therefore didn’t owe us an explanation as to why our work couldn’t be done. After numerous calls with the technician/ contractor and AHS it came to a letter sent saying that since we were unwilling to pay $600 to check out ductwork for leaks (ducts were part of the coverage we were paying for monthly) AHS would not pay for a new HVAC system. I cancelled with them right away.
I currently have AHS used it 3 times in the passed. On 2 occasions no problem but the 3 when AC part failed during the hottest part of the summer. It took approximately 2weeks for the part to come in and for the technician to return to complete the repairs.
Two weeks…you are lucky. Our AC unit failed on July 14, 2019 and we are STILL waiting on the repair or replacement. So we are nearing a 3 month wait with NO AC. To say the least…we are way past ticked off.
Same here! Tech said we needed to replace a fan and motor on a 25 year old unit. A month later they came out to install and said they ad ordered the wrong fan! American Home Shield is awful. I am considering hiring an attorney and contact the BBB>
I purchased a warranty from AHS covering appliances and systems, the premium protection and lowest deductible. After two months, my water heater needed serviced and I was told it needed replaced because it had started leaking water underneath the house – where it was located. AHS warranty declined to assist stating “pre-existing”. After looking at the ad, they stated all “pre-existing would be covered after 30 days”. I dropped them afterwards and told at least 11 people the story and then we all went elsewhere.
I purchased an ahs policy when we bought our home. When our washer broke I called them . They told me I would be contacted within 24 hours. After many hours on the phone trying to get someone to call Sears number was given to me. Sears said ahs had to call. Many more hours. Sears could not come out for two weeks. More phone hours on hold with ahs. Another company came out and we waited two weeks approx for parts and return service call and repair was done. I called again for service as after 33 days it broke down again. 18 hours on hold. Disconnect problems etc. Finally I said just cancel. They dont have service people for this area as hurricane Michael seems to have the workers all tied up with rebuilding. Today I got a renewal notice. I have had no billing since I said cancel. I called to tell them I was not renewing as I cancelled long ago. I received a cancellation co formation with a bill for 607.72.
I called to see what is up and was placed on hold for 2 hours and 10 minutes.
Ahs is such a scam.
We have American Home Shield and have been denied claims on a few occasions and had to hire outside. Also they come and then tell us it’s going to cost more money to repair.
American Home Shield cheated me today.
I want to join Class action suit.
I purchased a home warranty and my monthly premiums were made on time. My refrigerator stopped working. Avery big deal to a family of four. I called in a claim, and waited to hear back. I did not get a call from a repair company so I called customer service. The rep reached out to the repair company and she told me they would be out the next day sometime between 8 am and 5 pm. No one ever showed or called. By this time the family had been without a fridge for 5 days. After speaking to 8 different reps I was able to get authorization to go outside their network to get the fridge repaired. Bad thing was, no one works on the weekend in my area. School started for the three boys on that Monday. The family needed a way to store food. I ended up having to purchase a cheap used refrigerator for them because AHS was not providing any form of service. I asked to be reimbursed for the appliance I bought and was refused rudely at that. I fought back and demanding satisfaction from them and they terminated my claim and blocked me from Facebook making it impossible to communicate with anyone in America who can actually do something.