American Engine Installers Inc. is getting an overhaul from Colorado Attorney General John Suthers.
On Monday, Suthers sued the Dallas- based auto-repair chain and its Commerce City franchise for allegedly shafting customers with charges that are often 50 percent more than initially estimated.
To hear Suthers tell it, customers are told they can get a new engine for $2,000. But as soon as they pay a nonrefundable deposit of about $800, American Engine Installers rips out their engines and says, nope, sorry, it’s going to be more like $3,000, according to the AG’s complaint.
For customers, it’s a bit like having to dicker with a heart surgeon in the middle of a transplant.
The AG’s office says it has received more than 60 complaints regarding American Engine Installers over the past four years. The Denver/Boulder Better Business Bureau lists 33 complaints and an “unsatisfactory” record.
Given scant state resources, the AG’s office files seven to 10 Consumer Protection Act cases a year. Seems to me, someone has to be pretty unlucky, or behave really egregiously, to draw the AG’s fire.
“Some cases require law enforcement investigations,” Suthers said. “This is one of them.”
Ernest Gomez, attorney for the local American Engine Installers franchise and its owners Timothy and Charles Gemelli, called the lawsuit groundless and vowed to fight.
Ron Rossi, attorney for the chain and its owner John Hartnack, told me Suthers’ office wanted $250,000 to settle. But his client doesn’t have $250,000, so Suthers sued and put out a press release.
“They won’t go against larger companies where the clients can afford to defend themselves,” Rossi said.
Meanwhile, American Engine Installers has terminated its franchise agreement with the Gemellis, Rossi said.
You never know what horrors you’ll find once you start ripping apart a car. Chances are, if a vehicle needs a new motor, it needs a new transmission or a new radiator or a new alternator too.
“Have you ever gone to Jiffy Lube … and gotten out of there for $19.99? Have you ever gotten out of there for less than $60?” Rossi said.
The AG’s complaint also alleges that American Engine Installers often takes far longer than estimated to complete repairs; that the local franchise is not a member of the Better Business Bureau as advertised; and that its “Automotive Service Excellence” certification claim is dubious since only one of its more than 20 mechanics is ASE-certified.
The lawsuit, however, does not allege that American Engine Installers made unnecessary repairs or charged for work that wasn’t done – it just allegedly makes some inaccurate statements.
“Most unreasonable”
Customer John Sions II of Wilkes Barre, Pa., told me he had his RV towed into American Engine Installers in October 2005 and hasn’t seen it since.
He said he initially received a written estimate of $4,000 from the corporate office, but once the vehicle was in the Gemellis’ hands, the price jumped to $8,000.
“Mr. (Timothy) Gemelli became very angry, shouting and screaming on the phone, when we questioned him about the parts prices,” said Sions, 55.
Sions, who is disabled by complications from diabetes, used to work as a stockbroker.
“I’ve dealt with people all over this planet,” he said. “This guy, Gemelli, stands out as being one of the most unreasonable people I’ve ever had to deal with.”
The Gemellis were unavailable for comment Monday.
Sions said he just wants to pay what he owes and take his inoperable vehicle back. But he said Gemelli told him he sold the RV to recoup the disputed bill.
“We don’t have a vacation this summer because he’s got the motor home,” Sions said. “We’re just a little family in Pennsylvania that trusted someone to an engine job in Colorado.”
Sions said he suspects American Engine Installers’ unexpected up-charges are by design. He said he thinks the company is really in the business of filing liens to take possession of cars.
“Once he’s got your keys and your vehicle, you’ve got to fight him to get it back,” said Sions.
Now, he’ll have to fight the AG.
Al Lewis’ column appears Sundays, Tuesdays and Fridays. Respond to him at denverpostbloghouse.com/lewis, 303-954-1967 or alewis@denverpost.com.
