Furious customers are suing Hertz for $529.7 million

Minda Zetlin reports,

Furious Customers Are Suing Hertz for $529.7 Million.

More than 180 Hertz customers are suing the car rental company in bankruptcy court, seeking damages of just under $529.7 million. Most of these customers were stopped by police, and sometimes arrested, for driving Hertz cars that they had legally rented.

According to their filings, for years Hertz has falsely reported that its cars were stolen as part of its regular business practice, "ensnaring its customers in accusations of car theft, throwing them in jail on felony charges, prosecuting them, burdening them with criminal records that impact their livelihoods, and separating them from their family and loved ones."

Why would Hertz claim that its cars were stolen when legitimate renters were driving them? Believe it or not, the filing claims this is a cost-cutting measure. In some cases, the company simply misplaces a car or a rental contract and doesn't know where the car is. Rather than upgrade its malfunctioning inventory systems or conduct its own investigation when cars are unaccounted for, Hertz simply reports these cars as stolen, the filing claims. The plaintiffs say the company is "effectively using the police, criminal justice system, and taxpayers to subsidize inventory control for a private corporation." The unfortunate renters who happen to be driving those cars are collateral damage.

Read more here: https://www.inc.com/minda-zetlin/hertz-530-million-lawsuit-customers-arrested-bankruptcy-court.html Thanks to Ed Driscoll for linking to the inc.com article