GREENSBORO, NC -- The North Carolina Attorney General's Office announced Monday they've filed a lawsuit against a Triad company for taking consumers' money and failing to complete remodeling jobs. The company, American Kitchen Corporation, closed its doors in June after taking thousands of dollars and not completing promised work.
The company is listed as a kitchen remodeling business.
Attorney General Roy Cooper said in the lawsuit, the company should be barred from doing business and they should pay refunds.
According to a news release, Cooper's Consumer Protection Division has received complaints from 38 homeowners who have lost a total of approximately $300,000 to American Kitchen. Cooper's office contends that the owners of American Kitchen previously owned a company called Kitchen Carolina that operated using the same business model and shut down in a similar manner in 2009.
WFMY News 2's 2 Wants to Know reported on the company in June after hearing from consumers still waiting for work to be finished. 2 Wants to Know's Lechelle Yates found the company's website was still up even though it appeared the company was out of business.
Related: 2WTK: Kitchen Remodeling Company Raising Questions With Customers
To avoid problems with home improvement, NC AG's Roy Cooper offers the following tips for consumers:
- Avoid paying more than 10 percent of the total cost in advance
- If you must pay fees in advance, use your credit card if possible in case you need to dispute the charge later
- Ask to pay as the work is done, or once the work is completed to your satisfaction.
- A contractor who claims to need a lot of money upfront for supplies and materials may have poor credit or be in bad financial shape. If you wish to do business with such a contractor, buy the supplies and materials yourself and pay for the labor once the project is finished.
To report problems with a home improvement company or contractor or ask questions before hiring one, contact our Consumer Protection Division at 1-877-5-NO-SCAM.
Contact 2 Wants To Know with your consumer issue 24/7 at: 336-379-5605 or email 2WTK@wfmy.com Please have all necessary paperwork when you call or email.