Pursuant to a settlement agreement reached last week, Michigan Attorney General Dana Nessel secured a consent judgement to resolve a state lawsuit against Rockford business owner David Foster and his limited liability companies (LLCs) Michigan’s Choice Tree Service and Storm Support Emergency Tree Removal. The attorney general sued Foster and the LLCs in the 30th Circuit Court in Ingham County in early January over illegal business practices in violation of a previously established Assurance of Voluntary Compliance, the Limited Liability Company Act, and the Michigan Consumer Protection Act (MCPA). The consent judgment, which has been presented to the Court for entry, provides injunctive relief as well as financial relief.
Through the agreement, Foster admits to violating the Michigan Limited Liability Company Act by operating Storm Support without the necessary certificate to operate, and to violating the MCPA by “causing a probability of confusion or of misunderstanding as to the legal rights, obligations, or remedies of” their customers.
“Enforcement action was needed here to bring a repeat offender into compliance with the Michigan Consumer Protection Act,” said Nessel. “Foster and his businesses illegally mistreated their customers in a time of need. The Michigan Consumer Protection Act affords certain rights to customers across the State to keep bad actors from unfairly taking advantage of them or otherwise tricking them out of their hard-earned money. Michigan is an excellent place to conduct business, but it is not a friendly State to those who illegally dupe consumers—and most especially those dealing with property damage in the wake of a storm.”
David Foster and Michigan's Choice were previously investigated by the Department of Attorney General in 2022 for several violations of the MCPA, including charging excessive prices and intentionally misleading their customers about their rights, the agreements they were signing, and their cost liabilities outside of insurance coverage.
Enforcement action from the attorney general brought Foster to sign an agreement in 2023 to not violate the MCPA in these ways. Foster established Storm Support immediately after, under the laws of the State of Wyoming, and continued to engage in the same illegal business practices in Michigan, prompting the recent lawsuit.
The attorney general sued for violations of nine distinct subsections of the MCPA and breach of contract pertaining to the 2023 signed agreement. The attorney general further alleged Foster and Storm Support violated the state’s Limited Liability Company Act by not filing the certificate of authority required for a business formed under the laws of another state (Wyoming) to conduct business in the state of Michigan.
As conditions of the settlement agreement, Foster and his businesses are to be enjoined by court order from violating the MCPA, deviating from written price quotes, engaging in unfair or deceptive business practices, and making specific misleading claims historically made by the businesses. Further, they agree to pay to the Department $13,500 for its enforcement efforts against the defendants, a portion of which will be distributed among three consumers who assisted the Attorney General’s lawsuit and were featured in related court filings.
Michigan consumers who suspect they are the victims of illegal or predatory business practices are encouraged to contact the Department of attorney general’s Consumer Protection Team.
Consumer Protection Team
P.O. Box 30213
Lansing, MI 48909
517-335-7599
Fax: 517-241-3771
Toll-free: 877-765-8388
Online complaint form at: https://secure.ag.state.mi.us/complaints/consumer.aspx
Through the agreement, Foster admits to violating the Michigan Limited Liability Company Act by operating Storm Support without the necessary certificate to operate, and to violating the MCPA by “causing a probability of confusion or of misunderstanding as to the legal rights, obligations, or remedies of” their customers.
“Enforcement action was needed here to bring a repeat offender into compliance with the Michigan Consumer Protection Act,” said Nessel. “Foster and his businesses illegally mistreated their customers in a time of need. The Michigan Consumer Protection Act affords certain rights to customers across the State to keep bad actors from unfairly taking advantage of them or otherwise tricking them out of their hard-earned money. Michigan is an excellent place to conduct business, but it is not a friendly State to those who illegally dupe consumers—and most especially those dealing with property damage in the wake of a storm.”
David Foster and Michigan's Choice were previously investigated by the Department of Attorney General in 2022 for several violations of the MCPA, including charging excessive prices and intentionally misleading their customers about their rights, the agreements they were signing, and their cost liabilities outside of insurance coverage.
Enforcement action from the attorney general brought Foster to sign an agreement in 2023 to not violate the MCPA in these ways. Foster established Storm Support immediately after, under the laws of the State of Wyoming, and continued to engage in the same illegal business practices in Michigan, prompting the recent lawsuit.
The attorney general sued for violations of nine distinct subsections of the MCPA and breach of contract pertaining to the 2023 signed agreement. The attorney general further alleged Foster and Storm Support violated the state’s Limited Liability Company Act by not filing the certificate of authority required for a business formed under the laws of another state (Wyoming) to conduct business in the state of Michigan.
As conditions of the settlement agreement, Foster and his businesses are to be enjoined by court order from violating the MCPA, deviating from written price quotes, engaging in unfair or deceptive business practices, and making specific misleading claims historically made by the businesses. Further, they agree to pay to the Department $13,500 for its enforcement efforts against the defendants, a portion of which will be distributed among three consumers who assisted the Attorney General’s lawsuit and were featured in related court filings.
Michigan consumers who suspect they are the victims of illegal or predatory business practices are encouraged to contact the Department of attorney general’s Consumer Protection Team.
Consumer Protection Team
P.O. Box 30213
Lansing, MI 48909
517-335-7599
Fax: 517-241-3771
Toll-free: 877-765-8388
Online complaint form at: https://secure.ag.state.mi.us/complaints/consumer.aspx
