Terminix International Co., a pest control firm founded in Delaware, agreed to pay nearly $81,500 to settle allegations that it didn’t provide contracts to Pennsylvania consumers at the time of sale, the Pennsylvania Attorney General’s Office said Wednesday.
The company had customers sign agreements on iPads and promised to email copies of the contracts later, but consumers complained that they never received the signed agreements, the attorney general said. Federal and state law requires agreements with financial charges to be provided at the time of signing, so some consumers paid Terminix charges that they were not obligated to pay.
The settlement includes nearly $18,500 in restitution for more than 200 Pennsylvanians who will receive checks in the mail, the attorney general said.
“Pennsylvania consumers deserve to be fully informed as to the terms of contracts they are entering into so that they can make sound financial choices,” Attorney General Josh Shapiro said in a statement. “Our Bureau of Consumer Protection will continue to work to exterminate any instances of companies taking advantage of the people they are supposed to serve.”
A Terminix spokesman said that “a very small number of customers" were affected after the company implemented paperless options for document signature and delivery. “We have since thoroughly reviewed our digital contract processes and implemented new procedures to ensure complete customer satisfaction.”
A Pittsburgh resident said she signed a Terminix contract on a tablet but wasn’t aware it was a financial agreement, according to the Attorney General. She didn’t receive a paper copy until 10 days later but was billed thousands of dollars for services.