Restitution will be available to customers of a now-defunct St Louis company that used illegal marketing tactics to sell vehicle service contracts.

U.S. Fidelis was the nation’s largest seller of vehicle service contracts before it ceased operations and the business filed for bankruptcy in 2010.

 

Attorneys general from 12 states reached an agreement with the former owners to create a $14.1 million consumer restitution fund.

The company and its owners, brothers Darain and Cory Atkinson, were accused of advertising service contracts through automated, prerecorded telephone calls as well as through deceptive mail and misleading television commercials.

Suits filed against U.S. Fidelis alleged the company misled consumers into believing their auto warranties had expired or would soon expire and they were being contacted by an entity affiliated with their original vehicle warranty. Many consumers who thought they were purchasing a warranty with “bumper to bumper” coverage later found the contracts full of exemptions.

To be considered for restitution, consumers must submit a valid proof of claim with the bankruptcy court by October 5. For more information about filing a proof of claim, visit the U.S. Fidelis bankruptcy website, www.usfbankruptcy.com or call (877) 691-8477. Schmidt said consumers can contact his office at 1-800-432-2310 or www.ag.ks.gov.

The states participating in the agreement are Arkansas, Idaho, Iowa, Kansas, Missouri, North Carolina, Ohio, Oregon, Pennsylvania, Texas, Washington and Wisconsin.