July 8, 2002
Corporation Counsel Alleges Deceptive Practices in Lawsuit Against Companies Exploiting Fire Victims
(WASHINGTON, DC) Corporation Counsel Robert R. Rigsby today announced that his office has filed a consumer protection lawsuit against The Steven A. Rosen Company, a public insurance adjuster, and CW Restoration Inc., a home improvement contractor. The suit alleges that these businesses, working in concert, defrauded consumers out of tens of thousands of dollars of insurance money that insurance companies paid to repair consumers' fire damaged homes.
The complaint alleges that employees of the Steven A. Rosen Company solicit business from consumers during or immediately after a fire at their homes and offer to help them through their trauma. The Rosen Company employees claim that they will get more insurance money for the consumers than the insurance company would pay on its own and will help consumers to recover from the fire. Many of the people who use the Rosen Company are in fact referred to a contracting business, CW Restoration, that is run by William Suter, the same person who owns and manages the Rosen Company.
According to the lawsuit, CW Restoration provides very little work for the money it receives, and much of the work that is done is shoddy. The Office of the Corporation Counsel has received many complaints from consumers who used the Rosen Company and its affiliated business, CW Restoration. These consumers have found themselves homeless, or with properties still in need of major work, well after the date that CW promised work would be completed, making them victims twice over.
The allegations in the suit include charges that the Rosen Company altered documents that the consumers had signed before submitting them to the insurance company. The Rosen Company allegedly made such alterations to maximize the amount that it could collect from the insurance company for itself.
The District is seeking a restraining order from the Court to stop the companies' deceptive practices. The suit is also seeking restitution for consumers, civil penalties, costs and fees. Consumers with questions about this action can call OCC's consumer complaint hotline at (202) 442-9828 or contact OCC online at http://www.occ.dc.gov/services/complaint.asp.
Consumer education and complaint information can be found on OCC's consumer protection website: http://occ.dc.gov/services/consumer_protection/index.shtm