Hertz Must Pay $168 Million In Settlement After Falsely Submitting Auto Theft Claims
On Monday, rental car retailer Hertz Global Holdings stated that they will pay $168 million to settle 364 claims. These complaints involved accusations that the company erroneously filed criminal reports against individuals. Those people were accused of not taking the cars back on time.
In February, it was first learned that Hertz’s customers had filed hundreds of claims. They said that they had been unjustly apprehended for auto theft. The apprehensions resulted from thousands of criminal complaints that the business submits every year.
In one particular matter, someone in Colorado was placed in jail for 24 hours after he was apprehended on charges that he had stolen a Hertz rental car in Georgia. This was although he had said that he had never been in Georgia and had never rented a vehicle from Hertz.
Hertz Global Holdings also manages Dollar Rent A Car, Thrifty Car Rental, and others.
In other instances, innocent customers were pulled over by authorities on suspicion of driving stolen vehicles.
Hertz says that they think they will be able to get some funds back from the settlement total from its insurance carriers. It says the settlements take care of about 95% of their pending accusations.
Last year, Hertz was taken out of bankruptcy oversight. In Monday trading, their shares decreased about 2%.
