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June 2, 2011

Attorney General Alleges Consumer Fraud in Lawsuit Against West Des Moines Contractor

(DES MOINES, Iowa)  Attorney General Tom Miller filed a lawsuit Thursday against IQ Renovation, LLC, of West Des Moines, accusing the company of violating Iowa’s Consumer Fraud Act, Iowa’s Door-to-Door Sales Act, and accusing a company principal of violating a previous written agreement with Miller’s office.  Miller also requested a permanent injunction against the company and its principals, Megan Troyer, who identifies herself as the company president, and Timothy Marlow, who identifies himself as a “project consultant,” that would prohibit them from owning, operating, marketing, or otherwise profiting from any home repair or contracting business in Iowa.

The lawsuit, filed in Polk County District Court, alleges that the Consumer Protection Division has received numerous complaints from consumers who allege that IQ Renovation has entered into home repair and/or construction contracts with consumers, accepted funds, but then provided either no work or partial work, provided substandard work or materials, or failed to pay subcontractors or materials suppliers.

According to the lawsuit, the defendants violated Iowa’s Consumer Fraud Act by misrepresenting numerous aspects of home repairs or contractor services to consumers, including time of completion, warranties, workmanship, the extent of involvement by subcontractors, escrow practices, and the company’s experience.  The lawsuit also alleges the defendants engaged in unfair practices by failing to provide labor, materials or reimbursement of consumers’ down payments, failing to pay subcontractors, performing substandard work, and delaying or refusing to respond to consumer inquiries and complaints.  The suit further alleges that the defendants violated Iowa’s Door-to-Door Sales Act by misrepresenting consumers’ right to cancel.

In 2004, Marlow signed an Assurance of Voluntary Compliance (AVC) as the owner and operator of “Epic Homes, LLC,” which was not registered with the state, as required, as a construction contractor.  In that case, more than three dozen consumers filed complaints with the Consumer Protection Division.  Consumers alleged that Marlow entered into contracts with consumers and accepted funds, but provided partial work or no work to the consumers.  In that AVC, Marlow agreed not to request and accept advance payments for materials, labor or other expenses before the contract was completed, agreed to deliver materials within five days purchased with consumers’ payments, and agreed to comply with Iowa’s Door-to-Door Sales Act.  Miller alleges that Marlow has violated this agreement.

In 2007, Marlow was a managing agent, but not an owner, of Central Iowa Construction (C.I.C.), LLC, when the Consumer Protection Division received complaints from consumers who alleged the company accepted consumer payments to provide home repair or contractor services but failed to provide all, or in some cases, any, services under the contracts.  Miller later obtained a $114,616 judgment against the company, in addition to a court injunction controlling the company’s future business conduct.

Consumers who allege that IQ Renovations has violated any agreements or Iowa’s consumer protection laws should file a complaint by contacting the Consumer Protection Division at  Consumers can also file complaints by phone by calling 515-281-5926, or 888-777-4590, toll free, outside the Des Moines area.  Or write us at Office of Attorney General, Consumer Protection Division, Hoover Building, Des Moines, Iowa 50319.

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