(MARION, Ohio) — Ohio Attorney General Mike DeWine today announced a lawsuit against a Marion home improvement company accused of failing to deliver promised services and failing to pay supply companies, resulting in liens placed on consumers’ homes.
In the lawsuit, the Attorney General charges Beltran Construction LLC and its owner, Jon Settlemire, with violations of Ohio’s consumer protection laws.
“Some consumers got a very bad deal,” Attorney General DeWine said. “They paid for services they never received as promised or ended up with a lien on their property for work they had already paid for. We are seeking restitution for consumers and an end to the company’s unfair and deceptive business practices.”
According to the lawsuit, Beltran Construction contracted with other businesses to provide supplies for its home improvement jobs, but it failed to pay those companies in full. As a result, the supply companies placed mechanic’s liens on consumers’ homes.
Mechanic’s liens are issued on behalf of suppliers or laborers to guarantee payment. Due to the lien, clear title to the property cannot be received until the claim is settled.
When mechanic’s liens are placed on consumers’ property, it can prevent them from selling or refinancing their homes and subjects them to possible foreclosure by the lienholder.
The Attorney General’s lawsuit charges Beltran Construction and Jon Settlemire with violations of the Consumer Sales Practices Act including failure to deliver, performing shoddy work, and failure to compensate subcontractors or suppliers resulting in mechanic’s liens on the consumers’ property. In the lawsuit, the Attorney General seeks consumer restitution, a permanent injunction to stop further violations, and civil penalties.
Attorney General DeWine offers consumers the following tips for entering into a home improvement contract:
- Research a business carefully before making any payment. Check for complaints on file with the Ohio Attorney General’s Office and the Better Business Bureau. Also, do a basic Internet search to look for additional reviews about the business.
- Watch for bait-and-switch tactics. Some contractors may attempt to bait you with offers for cheaply priced repairs or materials, and then switch you to a more expensive job later.
- If your contractor fails to pay a subcontractor, laborer, or supply company, withhold that amount from the original contractor until the original contractor pays off the owed amount.
- Verify with the subcontractor, laborer, or supply company that it has been paid before making your final payment to the contractor.
- If you are financing your home improvement project through a lender, ask your lender about steps you can take to protect your property from mechanic’s liens.
Consumers who believe they have been treated unfairly should contact the Ohio Attorney General’s Office at www.OhioAttorneyGeneral.gov or 800-282-0515.
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Documents
Lawsuit (PDF)
Media Contacts
Dan Tierney: 614-466-3840
Kate Hanson: 614-466-3840