Class Action Plaintiffs: Kenneth John Lodge and Judson Lertzman, et al.
Class Action Defendants: U.S. Remodelers, Inc. and U.S. Home Systems, Inc.
Class Action Case Number: BC373716
Class Action Allegations: U.S. Remodelers, which is in the business of home remodeling and refacing, requires its salespeople to visit the consumer's home, to establish a contract price, and to persuade the consumer to execute a contract at the contract price. The contract price is based on the salesperson's measurement of the kitchen or other area being refaced. If, based on subsequent measurements conducted by another employee (a "measurement technician"), the company establishes that the salesperson under-measured and that the consumer should have been charged a higher contract price, it then deducts the difference from the salesperson's commission. In other words, the company transfers its loss directly to the salesperson and, thus, insures itself against sustaining any financial loss in the transaction.
In addition, U. S. Remodelers typically also illegally deducted an "administration" and/or "permit" fee of $250.00 from each salesperson's commissioned sales to cover any alleged "overhead" expenses incurred by the company.
Finally, U.S. Remodelers illegally forced its salespeople to pay for uniforms from The Home Depot that contained The Home Depot insignia and logo, thank you cards, business cards, fax and copy machines, laser/ink toner cartridges, computers, internet connections, cell phone and cellular service, and office supplies but refused to reimburse them for such expenditures.
Class Action Relief Sought: (1) deductions that were unlawfully taken from the commissions earned by California Sales Associates from July 3, 2003, to the present time; and (2) reimbursements for expenses incurred by California Sales Associates during the same time period.
If you believe that you have also been harmed because of U.S. Remodeler's actions, feel free to contact us to discuss a role in this class action.
UPDATE 1/21/2009: It has come to our attention the U.S. Home Systems is experimenting with outsourcing it's sales staff to a company called New Generation, Inc. that may or may not be a wholly owned subsidiary of U.S. Home Systems. A press release announces their company as though it "specializes in marketing and lead generation for many of the top companies in the retail, events and home improvement industries."