Pennsylvania sues Butler County landlord accused of unlawful leasing and debt collection practices

CBS News Pittsburgh

BUTLER, Pa. (KDKA) -- Pennsylvania is suing a Butler County landlord for allegedly overcharging consumers for their security deposits and repairs and then threatening them. 

Pennsylvania Attorney General Michelle Henry's office filed a lawsuit against Butler County-based A.R. Building Company, which owns 20 apartment complexes in the state. 

The attorney general's office said the lawsuit alleges A.R. Building inflated certain security deposit charges by 50 percent. Under the law, security deposit charges are limited to the actual amount of damages to the rental unit. 

The lawsuit also accuses A.R. Building of sending collection letters to consumers illegally threatening to take action if the renter didn't pay within 15 days, the attorney general's office said. 

According to the lawsuit, one consumer was billed $1,190.40 for a carpet replacement that the invoice showed actually cost $799.60.

"This landlord inflated security deposit charges, and then used illegal threats to pressure the consumers to promptly pay the company," Henry said in a news release. "Many renters face challenges due to their unequal bargaining power in the housing market. My office will continue to hold landlords accountable for violations of state consumer protection laws and will not stand by when consumers are harmed."

The complaint alleges three violations of the Consumer Protection Law: overcharging for security deposit charges, using a lease form that misrepresents to consumers that the landlord is allowed to take certain unlawful actions and engaging in unfair and deceptive debt collection practices. 

The lawsuit was filed in the Allegheny county Court of Common Pleas. 

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