Pennsylvania HVAC Company Settles Deceptive Sales Lawsuit for $300,000

A Pennsylvania HVAC contractor agreed to pay $300,000 and overhaul its sales practices after allegations of deceptive tactics and unnecessary equipment replacement recommendations.

Key Highlights

  • Curtis Total Service agreed to pay $300,000 and implement business practice reforms following allegations of deceptive sales tactics in Pennsylvania.
  • Individuals involved face bans from management, sales, and handling financing in Pennsylvania for specified periods, aiming to prevent future misconduct.
  • The case highlights the critical need for transparency and ethical practices in the HVAC industry to maintain consumer trust and industry reputation.

HARRISBURG, Pennsylvania — Lehigh Valley-based HVAC contractor Curtis Total Service, Inc., along with current manager Richard Price and former HVAC field supervisor Matthew Price, has agreed to pay $300,000 to the Commonwealth of Pennsylvania and implement significant business practice changes following a lawsuit alleging deceptive sales practices.

Attorney General Dave Sunday announced the settlement on May 28, resolving litigation filed by the Pennsylvania Office of Attorney General in June 2022. The lawsuit alleged the company used aggressive sales tactics to persuade consumers to purchase unnecessary HVAC equipment and services.

According to the Attorney General's Office, the defendants allegedly pressured customers into immediate system replacements, obtained signatures on incomplete or blank contracts, and later altered or completed contract terms after signatures were secured.

The lawsuit also alleged that the defendants misrepresented financing terms and consumers' legal right to cancel contracts within three business days under Pennsylvania law. The Commonwealth further alleged that consumers who attempted to cancel contracts were threatened with legal action or other consequences.

Attorney General Sunday said many of the affected consumers were seniors or individuals living on fixed incomes.

The settlement was reached after approximately one week of trial testimony presented by the Office of Attorney General, including testimony from multiple consumers.

One consumer testified that she contacted Curtis Total Service for a furnace repair but was allegedly persuaded to sign a blank contract for a replacement system after being told her heating equipment posed an immediate safety risk. She later testified that the final cost exceeded the amount initially discussed and that her attempts to cancel the contract were rejected.

Another consumer testified that he contacted the company regarding an HVAC cleaning promotion and alleged that his existing HVAC system was removed without consent after being told it contained mold. He subsequently signed a contract for a replacement system valued at approximately $29,000.

Under the settlement, the defendants are prohibited from engaging in several practices alleged in the lawsuit, including:

  • Knowingly recommending unnecessary goods or services;
  • Using materially false or misleading advertising;
  • Recommending system or appliance replacement before making reasonable repair efforts;
  • Performing work before providing upfront pricing and obtaining written consumer consent;
  • Identifying substances as mold without laboratory confirmation;
  • Having consumers sign incomplete documents;
  • Failing to provide signed contract copies at the time of execution; and
  • Misrepresenting or denying consumers' rights to cancel contracts within three business days when applicable.

The agreement also requires that any future non-disclosure or non-disparagement provisions used in agreements with consumers or employees explicitly allow individuals to provide information and documentation to law enforcement.

As part of the settlement, Matthew Price is prohibited for eight years from serving in management or sales positions for HVAC-related companies operating in Pennsylvania. He is also permanently barred from handling financing applications or credit limit increases for non-family consumers in the state.

Richard Price must provide written notice to his supervisor regarding certain consumer purchase and cancellation decisions and ensure those records are maintained in customer files. He is also prohibited from holding an ownership interest in an HVAC-related company in Pennsylvania for five years.

A settlement agreement shall not be considered as an admission of violation of the law by the defendants.

Cases involving alleged deceptive sales practices can have consequences that extend well beyond the companies involved, particularly in an industry where trust is the foundation of the customer relationship. HVAC contractors are often invited into customers’ homes during stressful situations, and homeowners rely on their expertise to make informed decisions about repairs, replacements, financing, and long-term comfort investments.

When reports emerge of high-pressure sales tactics, misleading recommendations, or contract disputes, they can erode public confidence in the industry as a whole, and make consumers more skeptical of legitimate contractors. This increased distrust can lengthen sales cycles, create additional barriers to customer acceptance of necessary work, and place greater pressure on reputable HVAC businesses to prove their credibility through transparency, ethical sales practices, technician training, and clear communication.

At a time when contractors are working to position themselves as trusted advisors amid growing investments in high-efficiency systems, heat pumps, and connected technologies, maintaining consumer confidence is critical to the industry's long-term growth and reputation.

This piece was created with the help of generative AI tools and edited by our content team for clarity and accuracy.
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