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Hurricane Sandy Lawsuit
In the wake of Hurricane Sandy have come allegations of price gouging and other unethical dealings. Already Hurricane Sandy price gouging lawsuits has been filed against several gas stations, while consumers and small businesses potentially face Hurricane Sandy insurance lawsuits. Some utility customers have filed a Hurricane Sandy utility lawsuit claiming slow response to service outages. As residents affected by Hurricane Sandy struggle to repair their homes and properties, unethical acts by companies and organizations make the situation that much worse.
Allegations have been raised about price gouging, especially by gas stations. One lawsuit was reportedly filed against Vinny Fuel Corporation, alleging the gas station raised the price of gas 25 cents per gallon when a state of emergency was declared. Other gas stations and one hotel are also accused of price gouging. Under New Jersey state law (where those accused of price gouging are located), it is illegal to raise prices more than 10 percent during a state of emergency and for 30 days following the emergency. This law stands even if the merchant himself faces excessively increased costs.
Hurricane Sandy Price Gouging
The Star-Ledger reports that the New Jersey Attorney General's office has received approximately 2,000 complaints about price gouging. More lawsuits are expected to be filed. Gas stations received the most complaints with motels receiving second most.
A lawsuit has been filed against various utilities, alleging residents in New Jersey and New York were without electricity for more up to three weeks. The lawsuits allege the utilities were negligent in their handling of power outages during the hurricane.
Hurricane Sandy Utility Lawsuit
One lawsuit was reportedly filed against Long Island Power Authority and National Grid Plc. The lawsuit alleges a failure to replace an outdated outage management system and failure to maintain equipment. According to Businessweek, some residents on Long Island were without power for two weeks after the hurricane. The state governor has convened a commission to investigate utility companies' responses to the storm.
As homeowners and business owners attempt to repair and rebuild, they will have to deal with insurance claims. Some insurance companies may use illegal tactics to avoid paying out a claim or to unreasonably delay payment of that claim. Such tactics may include requiring claimants to fill out paperwork repeatedly, claiming paperwork has not been sent in or claiming damage to a home was not caused by Hurricane Sandy. In cases where an insurance company unreasonably denies or delays a claim, the insured may be eligible to file a bad faith insurance lawsuit.
Hurricane Sandy Insurance Lawsuit
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Last updated on Oct-24-14
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