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Arkansas Attorney General Tim Griffin warns about price gouging and rebuilding scams after the storms

In World
May 27, 2024

LITTLE ROCK, Ark. – Arkansas Attorney General Tim Griffin is reminding home and business owners about Arkansas laws affecting post-storm clean-up.

Griffin said that the governor’s state of emergency declaration on Sunday triggered a specific Arkansas law into effect to prevent price gouging. The law prevents businesses from charging more than 10% over pre-disaster prices for goods and services.

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The ban is in place for 30 days and may be extended for an additional 30 days, Griffin said, adding that for home repairs the law is in effect for 180 days. Goods listed in the state law include food and water, fuel, blankets, medicine, bandages, flashlights, batteries and construction materials.

“Price gouging will not be tolerated as Arkansas recovers, and I will bring the full power of my office to bear on anyone who violates our law,” Griffin said.

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Griffin also offered advice for those contracting for repairs to avoid scammers.

“Those with storm damage should call their insurance company before paying any company or individual a deposit,” Griffin said. “Post-storm scammers will offer quick repair jobs for an immediate deposit and may even claim that insurance will reimburse the purchaser.”

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Griffin encouraged anyone eyeing such a contract not to feel pressured into taking an immediate solution that appears too good to be true.

The attorney general’s office gave a checklist for those seeking repairs:

  • Get more than one estimate.

  • Demand references and check them out.

  • Never let a contractor pressure you into hiring them.

  • Never sign a contract with blanks “to be filled in later.”

  • Never pay a contractor in full until the work is finished.

  • Never let a contractor discourage you from contacting your insurance company.

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Arkansans who wish to report concerns about the subject of this Consumer Alert or desire more information should contact the Arkansas Attorney General’s Office by calling 501-682-2007, emailing consumer@arkansasag.gov or by visiting www.ArkansasAG.gov.

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