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ADT Reaches Lawsuit Settlement Against Lexington Security Compan - LEX18.com | Continuous News and StormTracker Weather

ADT Reaches Lawsuit Settlement Against Lexington Security Company

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BOCA RATON, Fla.,(LEX 18) – ADT provider of security and automation solutions for homes and businesses, today announced settlements with Alder, its owner, Adam Schanz, and two Monitronics dealers; Alliance Security and Capital Connect, as part of lawsuits against those three companies and Schanz alleging the use of deceptive sales practices to mislead ADT customers.

The agreements call for ADT to receive $3 million from Alder, $1.5 million from Alliance Security and $1 million from Capital Connect, for a total of $5.5 million and court orders prohibiting each company from further deceptive sales practices.

According to the Utah Better Business Bureau, Salt Lake City based Alder home protection has over 200 complaints nationwide, many of them for deceptive home security sales. 

Inside Edition caught some of the sneaky sales tactics on a hidden camera report.

“We hope these settlements once again show that ADT greatly believes in protecting its customers from deceptive sales practices,” said P. Gray Finney, ADT Chief Legal Officer. “ADT will continue to pursue companies and their sales representatives who misrepresent themselves to deceive its customers.”

The settlements stem from two lawsuits in which ADT claimed sales representatives from Alder, Alliance Security and Capital Connect misled ADT customers into believing their companies were affiliated with ADT, or their alarm systems required upgrading. The lawsuits were filed after hundreds of ADT customers complained about the deceptive sales practices of these three companies.

Since 2013, ADT has filed numerous lawsuits against companies who have made false or misleading statements to ADT customers when attempting to solicit their business and obtained court orders prohibiting those companies from further deceptive sales practices, along with monetary relief.

ADT encourages anyone with questions about sales scams in the security industry, or to report being a victim, to click here.

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