Business ProfileforLeaseLock, Inc.
Additional business information
BBB reports on known government actions involving business' marketplace conduct:
January 24, 2022 The following describes a Settlement that has been formally brought by a government agency. The State of Maryland alleges and charges as follows:
Maryland Attorney General Brian E. Frosh
announced today that his Consumer Protection Division has entered into a settlement with
California-based LeaseLock, Inc. resolving allegations that its deposit waiver products violated the Security Deposit Law.
The Maryland Security Deposit Law permits landlords to collect security deposits from tenants that must be refunded to the tenant at the end of a tenancy, less any lawful deductions for
damages to the rental premises beyond ordinary wear and tear, unpaid rent, and damages due to
breach of lease. LeaseLock offered, through landlords, a program through which tenants would
make monthly payments to their landlords instead of paying security deposits, and at the end of
their tenancies, the landlord could make claims with LeaseLock for damages to the rental premises and unpaid rent. The Consumer Protection Division challenged the legality of LeaseLock's deposit waiver service because the Security Deposit Law requires deposits to be refundable to tenants at the end of their tenancies, less lawful deductions, and contains other protections that the LeaseLock program did not provide.
The settlement requires LeaseLock to return to consumers the monthly payments landlords collected from Maryland tenants, unless at the conclusion of their tenancies any claims were made with LeaseLock for unpaid rent or damages to the rental premises in excess of ordinary wear and tear. Although LeaseLock had stopped offering its deposit waiver program in Maryland during the Attorney General's investigation, today's settlement also contains an injunction that prohibits the company from offering its product through Maryland landlords - unless changes to the Security Deposit Law permit the landlords to require tenants to purchase insurance in lieu of a security deposit.
"LeaseLock's program effectively had tenants paying their security deposits monthly, but, at the end of the lease, tenants got nothing back," said Attorney General Frosh. "Under this settlement, tenants will get their money back from LeaseLock unless the funds were lawfully withheld for past due rent or damage to the property."
Tenants who are owed refunds under today's settlement will be contacted by the Attorney General's Office. For more information about the how tenants are protected under Maryland law, consumers may visit https://www.marylandattorneygeneral.gov/Pages/CPD/landlords.aspx.
Consumers who have questions about today's settlement with LeaseLock may call the Consumer
Protection hotline at 410-528-8662 or 888-743-0023.
To access the full State of Maryland press release, please visit: https://www.marylandattorneygeneral.gov/press/2022/012422.pdf
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Business Details
- Location of This Business
- Marina Del Rey, CA 90292-5287
- Headquarters
- 5050 Quorum Dr Ste 700, Dallas, TX 75254
- BBB File Opened:
- 5/5/2017
- Years in Business:
- 11
- Business Started:
- 7/25/2013
- Business Incorporated:
- 7/25/2013
- Accredited Since:
- 5/5/2017
- Licensing Information:
- This business is in an industry that may require professional licensing, bonding or registration. BBB encourages you to check with the appropriate agency to be certain any requirements are currently being met.BBB records show a license number of C3902975 for this business, issued by Secretary of State-Corporations
These agencies may include:
Secretary of State-Corporations
1500 11th Street
Sacramento CA 95814
https://businesssearch.sos.ca.gov/
BBB records show a license number of 0J13011 for this business, issued by 11-Department of Insurance. The expiration date of this license is 10/31/2024.These agencies may include:
11-Department of Insurance
any street
Any City null null
- Type of Entity:
- Corporation
- Alternate Business Name
- LeaseLock Insurance Services, Inc.
- Business Management
- Mr. Reichen Kuhl, President/Founder
- Contact Information
Principal
- Mr. Reichen Kuhl, President/Founder
Customer Contact
- Mr. Reichen Kuhl, President/Founder
- Mr. Derek Merrill, Founder/CEO
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