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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
Our most recent issue was the HVAC going out in the summer on the upstairs. It took a few days to get someone out and then when they diagnosed it, only certain items would be covered that needed to be replaced. It ended up being cheaper to get a new unit with a contractor we found.
I had AHS ,for my home warranty, put a claim about my electric in one of the bed room about six months ago.No one showed up to this day.So I had to change overto a new company.
Es una porquería y una estafa! Esperar un mes para que arreglen mi nevera y viene un técnico que no hizo nada.
America home shield is a scam I had it for close to ten years and always good with my monthly premiums last month my wife had a knee replacement and unfortunately my air conditioning went out not worry about it I called AHS and they gave me a contractors name and phone this happen on a Friday my house was over 95 degrees so I kept on calling my blower motor had gone bad Monday came and no one had called being desperate I called a small company and they came and replaced the blower motor it cost me over 400.00 so be awere my friends Amercan home shield is a scam and later when I tried to cancel my account they wanted to charge me 34.00dlls
I’ve spent money for several years on an AHS Warranty. Since April, 2023 I’ve been waiting for them to fix my HVAC Unit. They claim the part is being shipped. I’ve had discussions with supervisors, all of which, are very sorry for my inconvenience however none of them can give me a time frame on when I can expect my unit to be replaced. I’ve been advised I should accept the payout offer of $2,076.56. This amount won’t cover my expenses for purchase and install of a new unit and coils. I’ve purchased (4) floor fans and (4) floor air conditioning units. They reimbursed me 50% for all put one air conditioning unit. In addition to the house being unbearably hot, mold has started growing in my basement, wallpaper peeling and hardwood flooring & doors have begun warping. I’m left with no choice but to hire my own contractor; I’m afraid if I continue without central air conditioning something else will happen to the house. How can I sue them for the additional cost of parts, damage to the house and pain & suffering. I’ve spent too many hours on hold, attempting to get resolution.
American Home Shield refused to fix my ac and heat after getting my money for years. Scammers don’t buy
I’m a former AHS employee and I can confirm they do whatever they can to avoid paying out on claims. They encourage contractors to find ways to avoid AHS from having to pay anything while charging the customer as much a possible. If you want some interesting reading, type “A-US Air of Texas” in your browser.
Did you find a current address to serve for small claims court? I’m having trouble getting the correct address to serve.
I had American Home Shield for 3 years. Less than one year they sent our a HVAC company that was rated one star and tge reviews said they were scammers. Now my air conditioning is not working and AHSW gave me an option of 4 companies that each had a review of one star each and each vendor had reviews saying they were scammed and do not allow AHSW to send these vendors to your home. With my air conditioner not fully fixed, I explained to customer service that I would not allow any of these technicians on my property because they were not certified with BBB and were considered scammed. I ask the manager if dispatch could look into finding competent vendors without a scamming history and I was told no. I said you are violating a contract that I paid 3 years on and sending out incompent vendors. Several months ago I had 2 running toilets and I was sent out an incompetent plumber who did not use Kohler parts to fix my Kohler toilet abd put the washer on top of the bolts causing the 2 running toilets to flood my home with 45,000 in damage. The Beaufort Bath person did not return with the correct parts. I have paid for 3 years on the contract and everything I have called them to fix has not been fixed by their incompetent vendors. Everytime I call American Home Shueld Waranty to discuss a solution I treated in a disrespected way and am only offered the vendors who never fixed the problem to begin with. AHSW is scam and I can not believe there is any recourse other than to take them to small claim court. This warrany company should not be in business with all the complaints and dissatisfied customers but seems to be protected by the court system. Please begin a .
Class action lawsuit so they can no longer scam innocent victims
I am currently a victim. I bought a brand new air conditioning unit last year august through their tech when he came and told me my old units needs to be replaced. The name of air conditioning company is K&W heating and cooling here in GA. I had to pay about $3k out of pocket, used the AC for 2 months before winter time. Here comes summer of 2023, my AC was no longer cooling. Put in a request since June and American Home Shield (AHS) has failed to resolve my issue despite calling them multiple times in a week. I’ve emotionally and mentally drained from their unprofessional and incompetent customer service. K & W heating and cooling has refused to pick up my phone as well as picking up AHS phone. When I asked them if they could send another company to fix my AC, they said no. AHS is still charging my account on a monthly basis and has failed to resolve my issue. I wish anyone could guide me as to how I can sue this company. It hurts me so bad that I feel like I’ve been scammed by them.
American Home Shield policy came with the purchase of my new house. I was sold on an upgraded policy with a 6 month trial period to cancel. Called back in the 4th month to cancel. They have obstructed and lied, and ultimately has continued to debit my bank account through ACH for up to 6 months after I have canceled with them. I have called and cancelled 6 times, spent over 10 hours on the phone, and they continue to steal from me.