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Motion For Preliminary Injunction And Declaratory Judgment Filed In Class Action Lawsuit Against HomeAdvisor


News provided by

Chimicles & Tikellis LLP

Oct 12, 2018, 13:36 ET

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HAVERFORD, Pa., Oct. 12, 2018 /PRNewswire/ -- On October 11, in a lawsuit begun in July, 2018 in the federal district court in Denver against HomeAdvisor, Inc. ("HomeAdvisor"), IAC/InterActiveCorp ("IAC"), and ANGI Homeservices Inc. ("ANGI"), Chimicles & Tikellis LLP filed a Motion for Preliminary Injunction and Declaratory Judgment ("Motion") against HomeAdvisor. The name of the lawsuit is Costello et al., v. HomeAdvisor, Inc. et al., Case No. 1:18-cv-01802-WJM (D. Colo.).

The Motion seeks to halt HomeAdvisor's continued use of the identities of its former Home Service Professionals ("Former HSPs") and the maintenance of their Online Profile Pages on HomeAdvisor's website. The Motion cites to the uniform experiences of not only the named Plaintiffs in the suit but also the reported experiences of more than a dozen other Former HSPs whose company names and Online Profile Pages continue to be used by Home Advisor after the Former HSPs terminated their relationship with Home Advisor as evidenced by the fact that only 202,000 (of the 390,000) Online Profile Pages are for current HSPs.  The Motion asserts that HomeAdvisor's exploitation of the Former HSPs is a cornerstone of its business and that HomeAdvisor uses the following strategies, which are alleged to be misleading, for the purpose of intercepting and/or redirecting potential business opportunities from the Former HSPs to convert them to purported job leads that are sold to current HSPs:

  • The Online Profile Pages use a "Get a Quote" button, which it is alleged misleads prospective customers into believing that they are submitting a request for a quote directly to the Former HSP, when they are not;
  • There is an "alert" put on Former HSPs Online Profile Pages, stating that, "This business is not a screened and approved member of HA," which is alleged to be misleading the public about the Former HSPs and confusing and causing the prospective customer to alter its course with the Former HSP; and
  • URLs reflecting the name of Former HSPs, are retained by HomeAdvisor, and are associated with webpages that state that the "page you are looking for is no longer available," which, it is alleged, is done so as to redirect away prospective customers who are affirmatively searching to hire the Former HSPs.

The Motion contends that the alleged conduct violates federal law against false advertising and state statutes that protect persons like Former HSPs from unfair competition and deceptive business practices. A copy of the Motion is available at www.chimicles.com.  If you are or were a HomeAdvisor HSP and are interested in discussing your legal rights, and/or you have information relating to this Motion, please contact Plaintiffs' counsel.

CONTACT INFORMATION:

Nicholas E. Chimicles
Kimberly Donaldson Smith
Scott M. Tucker
Stephanie E. Saunders
CHIMICLES & TIKELLIS LLP
One Haverford Centre
361 West Lancaster Avenue
Haverford, PA 19041
Telephone: (610) 642-8500
Toll Free: (866) 399-2487
Fax: (610) 649-3633
Website:  www.chimicles.com

For over 30 years, Chimicles & Tikellis LLP has pursued hundreds of securities, consumer and shareholder rights cases and recovered billions of dollars for its clients.  The firm is nationally recognized, and its litigators hold many professional honors and distinctions. 

SOURCE Chimicles & Tikellis LLP

Related Links

http://www.chimicles.com

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