Alexander Harris/May 27, 2014March 10, 2020. A wholly owned subsidiary of Public Storage reinsures the risk for the Orange Door Storage Insurance Program, and Public Storage may benefit financially from your insurance purchase. Here, Zurich required Public Storage to defend a declaratory judgment action regarding Zurich's duty to defend and indemnify Public Storage against claims in a state-court lawsuit. Public Storage is the leading provider of storage units for your personal, business and vehicle needs with thousands of locations nationwide. “Meanwhile, they are taking an enormous chunk, if not all of it, and we think it is a deception.”. A lawsuit filed in California state court alleges that Public Storage has been unfairly profiting from these forced insurance payments. Public Storage is a class action lawsuit (the "Lawsuit") filed against Public Storage in the Superior Court of California for the County of Los Angeles (the "Court") Case No. The coverage offered by Public Storage, called Perfect Solution Storage Insurance, is underwritten by New Hampshire Insurance Co. Audet & Partners, LLP has initiated a class action lawsuit on behalf of customers of Public Storage in 2015. Related: Public Storage - 26% rate hike after just a few months. From winning cases that make streets safer throughout the state of California to using a class action lawsuit to tackle the energy companies that caused the 2001 energy crisis in California, Baker, Burton & Lundy is a champion for consumers. Still, revenue from tenant insurance remains a small portion of the company’s total revenue. Public Storage’s insurance revenue rose 8.8 percent from 2012 to 2013. “What really made me scratch my head is that [the suit] relies very heavily on this idea that people were basically forced or received this hard sell into insurance,” Greenberger said. BC611584. Part of the port charge did go to the port, he said, but the cruise line also kept a portion. Success! If they are not being responsive at all, you will need to make an assessment of the dollar amount of your damages and sue them. According to the suit, the statements are designed to lead customers to believe the premiums are collected by Public Storage and fully passed on to the insurance company. Copyright © 2020 by Audet & Partners, LLP. This practice likely runs afoul of consumer laws and regulations in many states that require transparency of companies engaging in the sale of similar insurance coverage. I fee violated. The plaintiff, Colin Bowe, alleges that Public Storage sold tenant insurance to him and other storage consumers without properly disclosing that the company retains a “substantial portion” of the premiums. The suit, filed in federal court in Miami, seeks restitution for all of the insurance premiums paid to Public Storage by its customers over the past four years, an amount that potentially could total hundred of millions of dollars. Willis started working with Public Storage after the lawsuit … The Lawsuit involves Public Storage’s self-storage insurance sold to its tenants at Public Storage's California facilities. The legal outcome is that a California appellate court reversed a trial court. January 6, 2018 I already posted about this topic. Resolved Sedgewick CMS — public storage insurance M Mohan2010 This is regarding the Claim Number [protected]-0001, We have taken insurance when we stored our luggage at Public Storage and all of our good got spoiled when we took out public storage. Currently, we are involved with a class action that alleges deceptive business practices by Public Storage. The Lawsuit involves Public Storage’s self-storage insurance … The goal of this section is to provide consumers with a comprehensive resource on class action and mass tort lawsuits. It alleged that the insurance Public Storage offers is not from a separate company, but from subsidiaries of public storage itself. You'll begin receiving the newsletter within a week. Public Storage has agreed to pay $5 million to settle claims that it overcharged customers for self-storage insurance. The SpareFoot Storage Beat is your go-to source for self-storage news, features and analysis. Attorneys with the two law firms could not be reached for comment. The suit against Public Storage contains five counts: violation of the Florida Deceptive and Unfair Trade Practices Act, breach of contract, unjust enrichment, breach of covenant of good faith and fair dealing, and unconscionability. Holland & Knight of Miami and Newport Trial Group of Newport Beach, CA, are representing Public Storage in this case. In a new class-action lawsuit, a Florida man alleges self-storage operator Public Storage deceived customers who bought tenant insurance policies. Send us a tip. Subject to the applicable rules, laws, and regulations, the Law Firm of Audet & Partners, LLP is a national law firm, and seeks to provide experienced legal representation to our clients throughout the United States. Self-storage categories covered by The SpareFoot Storage Beat include public companies, private companies, industry trends, real estate development, facility acquisitions, hirings and promotions. PUBLIC STORAGE BURGLARY - INSIDE JOB?! Audet & Partners, LLP has initiated a class action lawsuit on behalf of customers of Public Storage in 2015. On Monday, January 28, 2019, the Public Storage class action trial began in the Superior Court of California, County of Los Angeles. Our attorney team represents legal clients in class action lawsuits, personal injury law suits and related legal matters, and other types of law and litigation. I am desperate to see if I have case to sue Public Storage as an individual AND in class action lawsuit. Experienced Class Action Lawyers and Complex Litigation Attorneys. These suits involve all sorts of things. The premium appears as a line item on monthly statements for Public Storage customers. The suit claims that the premiums are excessive compared with similar policies and that there’s no correlation between the underwritten risk and the premium amounts. In 2011, 61 percent of the REIT’s customers bought insurance policies marketed by Public Storage. New Hampshire Insurance is not a defendant in the suit. Has anyone from the Public Storage company or the insurance company acknowledged receiving your claim, or offered to pay for your damages? On March 21, 2014, Packwood rented unit No. However, the suit alleges that the company encourages employees to aggressively sell insurance and that employees are provided with scripted sales language. The practice suggested above appears to have grossed the company more than $80 million in 2013. Information suggests that Public … Public Storage faces class-action suit over tenant insurance. The Class-Action Lawsuit The self-storage industry has grown so much over the past decade that it’s now on the radar of class-action attorneys. Be sure to read Boswell v. The Retreat Community Association. The Lawsuit involves the self-storage insurance sold at Public Storage’s California facilities. After Public Storage filed an opposition and plaintiffs filed their reply, the trial court held a hearing to entertain argument. In a new class-action lawsuit, a Florida man alleges self-storage operator Public Storage deceived customers who bought tenant insurance policies. Case Summary: This is a settlement for a class action alleging that Public Storage told Florida tenants it would send premiums collected for self-storage insurance to an insurance company, but that it retained more than 75% of the money collected. In Downey v.Public Storage, Inc., Case No. MEMORANDUM OF DECISION. When I rented the unit I agreed to the $15.00 a month for $5000.00 of insurance on my unit, it would be a $15.00 charge along with the unit rental. The California Court of Appeal recently made it more difficult for plaintiffs to certify class actions based on false advertising or fraud. Public Storage denies of any wrongdoings however, the have agreed to settle the self-storage insurance class action lawsuit to avoid the cost and uncertainty of trial. Superior Court of Connecticut. Orange Door Claim Intake Form Email: firstname.lastname@example.org Fax: 844-244-2286 *Orange Door Storage Insurance Program *CONTRACT : 2618 Internal Sedgwick use only Reporter Information Evidence suggests that the fire was started when intruders used a blowtorch on the lock of a unit they were trying to rob. “Of course, they want you to buy their insurance and it is profitable for them, but you could still have your own [coverage].”. Coral Gables, FL, law firm León Cosgrove is representing Bowe, who rented a unit at a Public Storage facility in Miami. BC611584, is a class action lawsuit (the “Lawsuit”) filed against Public Storage in the Superior Court of California for the County of Los Angeles (the “Court”). Public Storage sells hundreds of thousands of insurance policies each year, with 700,000 issued in 2012 alone. “They tell consumers [the premium] is a pass-through cost and they will play no role in the insurance of the consumer’s goods,” the firm’s founding partner, Scott Cosgrove, told The SpareFoot Storage Beat. Plaintiffs in the Public Storage lawsuit are seeking reimbursement in an approximate amount of $100 million for insurance that they claim was fraudulently and/or illegally sold to them by Public Storage. “The cruise line became liable for that fee because they had provided an impression to the consumer that they were collecting that fee on behalf of a third party,” Cosgrove said. The Lawsuit alleges Public Storage led tenants to believe that they had to purchase insurance through Public Storage, and concealed from its tenants that they had other options to fulfill the requirement in their lease that they have insurance. Public Storage has agreed to settle a class action lawsuit alleging it deceived some of its tenants by misrepresenting that it would send the premiums collected through the sale of self-storage insurance to an independent insurance company. “If it turns out to be the case that you aren’t allowed to recommend your own insurance to people … a lot of other businesses would be in bad, bad shape,” Greenberger said. Additional information exists suggesting that Public Storage actively encouraged employees to promote its insurance as a solution provided by a third-party insurer when, in reality, the program operated as a hidden profit center for Public Storage. If you rented storage units from Public Storage in the state of Florida and purchased self-insurance policies, you may be entitled to benefits from the class … In 2013, the company racked up revenue of $1.85 billion, with just 4.6 percent of that coming from tenant insurance. Public Storage was also the target of a class-action suit in Florida after customers discovered that the insurance policy they were required to purchase wasn’t through an independent insurer, but rather through Public Storage — meaning Public Storage was charging people more for storage units than advertised. And it says Public Storage keeps most of the profit. Greenberger said tenant insurance is a good idea for consumers because deductibles on most homeowner’s and renter’s policies are too high to cover a total loss of contents in a storage unit. Unsolicited Phone Calls and Text Messages, Audet & Partners, LLP Launches Groundbreaking Class Action Lawsuit Based on Roundup Cancer Link, Defective 3M Earplug Lawsuit Alleges Defective Design, Kona Coffee Lawsuit Alleges Mislabeling of Inferior Blends, Prevagen Lawsuit Alleges False Advertising, Instacart Driver Lawsuit May Allege That Company Misapplied Tips, Amazon Driver Lawsuit May Allege That Company Misapplied Tips. The suit, filed in federal court in Miami, seeks restitution for all of the insurance premiums paid to Public Storage by its customers over the past four years, an amount that potentially … Every few weeks it seems another class-action lawsuit is being filed against a storage business. Judge sides with Public Storage in insurance class action case A California judge has tentatively sided with Public Storage in a $100 million class-action lawsuit that alleged the self-storage REIT tricked California tenants into believing they had to buy company-sold insurance when they rented storage units. Self-storage industry attorney Jeffrey Greenberger of Cincinnati law firm Katz Greenberger & Norton said he isn’t convinced that Public Storage did anything wrong in this case. Eyewitness News tried to reach a manager or supervisor to comment on the investigation, but no calls were returned. Perez v. Public Storage, No. In 2015, Public Storage settled a class-action suit in Florida in which plaintiffs claimed the REIT misrepresented how it was using the premiums collected from customers who bought tenant insurance through the company, a source reported. $2000.00 is not even a coverage listed in their Brochure. Attorneys are either actively filing these cases or investigating to determine whether lawsuits can be filed. He obtained his degree in journalism from Virginia Commonwealth University. Self Storage Acquisition News for January 2021, Storable welcomes new investment partner: EQT, Public Storage to settle class action lawsuit, U-Haul sees 16.7% bump in self-storage revenue, Jernigan: “The reports on the demise of the storage sector are greatly exaggerated”, Property tax pain on tap for self-storage sector. Greenberger is not involved in the suit. The lawsuit says it is Public Storage that runs the insurance program, sets rates and approves or denies claims. Office 415.568.2555 Fax 415.568.2556 Toll Free 800.965.1461. But nine months later he has yet to collect a dime. If you are eligible for this class action lawsuit, file a claim by 1/11/2016 to receive up to 50% of the total alleged damages. As noted in the company’s 2013 financial report, the company grossed $84.9 million from the sale of tenant insurance policies in 2013. Public Storage customers that purchased self-storage insurance in California between 2010-2016 may have been charged illegally excessive premiums for self-storage insurance. The company claims that the accusations are unfounded, and that the customers purchased the insurance of their own volition. By contrast, $4,000 worth of coverage from U-Haul’s recommended insurer, SafeStor, goes for $6 a month in Florida. Public Storage Insurance Lawsuit Public Storage Lawsuit – Basic Information. James Colby of Kansas City is also waiting. Greenberger said it’s common for self-storage operators to collect insurance premiums on behalf of insurers. This is Audet & Partners’ current list of open lawsuits and investigations. The SpareFoot Storage Beat is your go-to source for self-storage news, features and analysis. The suit claims that the insurance program offered by Public Storage is “a hidden profit center for itself that kicks back unconscionable profits at the expense of consumers.”. “If my deductible is $2,500 and I agree to a $3,000 value limit at Public Storage and I had a complete loss, I’d get $500 back, at best,” Greenberger told The SpareFoot Storage Beat. Then, the insurers typically return a portion of the premiums to the operators in the form of marketing or administrative fees. Public Storage customers that purchased self-storage insurance in California between 2010-2016 may have been charged illegally excessive premiums for self-storage insurance. Defendants are Public Storage and PS Business Parks, Inc. Public Storage is a California-based provider of rental storage space that acquired Shurgard Storage Centers, Inc. ("Shurgard") in 2006 and assumed all of Shurgard's rights and liabilities. All Rights Reserved. But it was actually Public Storage collecting premiums, denying claims and profiting at both ends. Garcia filed a claim on the insurance policy that he said Public Storage had required him to buy. The number of customers buying policies also has been on the rise. Weekly Self Storage Acquisition Round Up 1.20.21, The Roll Up: Weekly Self Storage Development News 1.20.21, Soon to be a public company, Janus aims for $1 billion in sales by 2023, Extra Space Storage continues clean energy leadership with 65 more solar installations from Pivot Energy, Storage Exchange debuts brokerage alternative for self-storage industry, Billion dollar deal sets stage for self-storage acquisition activity in 2021, The Roll Up: Self Storage Development News for January 2021, Sold! On May 28, 2013, he filed a lawsuit against Public Storage and hopes that the customers he used to try and protect will benefit, and that the company will step up to the plate. When 911 emergency responders sent a team to a fire at a storage facility on Milwaukee’s northwest side in November 2015, Casey Dorsey was one of three customers whose property suffered extensive damage in the blaze. Perfect Solution Storage’s cheapest policy in Florida costs $11 a month for $3,000 worth of coverage, according to the suit. Of that, $67.8 million was net profit. Representatives of Public Storage could not be reached for comment. Customers are not required to buy the coverage offered by Public Storage; for instance, customers in many cases can rely on their homeowner’s or renter’s insurance policies. You can call him Al. We offer a wide variety of units and sizes available with no obligation and no long-term commitment. Cosgrove said the suit is open to all Public Storage customers who bought insurance from the company during the past four years. He did not take the additional insurance that was offered because his … Bruce Berlin v. Public Storage, Inc. CV075007494 Decided: August 05, 2011. Cosgrove compares his client’s lawsuit against Public Storage with another legal case in Florida. He loves reading Elmore Leonard novels and listening to classic country music. The sale of insurance policies is high-margin source of revenue for Public Storage. Greenberger compares Public Storage’s tenant insurance program with coverage offered by rental car companies. In 2013, that number increased to 65 percent. Cosgrove said in that case, Costa Cruise Lines line invoiced customers for a port charge. If you used Public Storage and were sold self-storage insurance in California between 2010-2016, you are urged to contact Audet & Partners, LLP for a free, confidential case evaluation. Information suggests that Public Storage fraudulently failed to disclose to customers that a significant portion of the premiums collected for this insurance were being wrongfully diverted directly to Public Storage. In fact, the suit claims, Public Storage “enriches” itself by retaining much of each premium. At that hearing, plaintiffs clarified that they were seeking to certify a class only for purposes of obtaining restitutionary relief, not injunctive relief. You can click here to view a report of the commencement of the trial by Law360.com, a major publication tracking significant legal developments throughout the United States. Despite having knowledge that self-storage insurance is generally unnecessary for renters with other types of insurance (e.g., homeowners, renters, or business insurance), Public Storage customarily advised renters that self-storage insurance is required. The anatomy of a self-storage zoning case, SiteLink wins $1.7 million judgment against eMove, E-commerce trailblazer Scott Bintz sells storage portfolio in North Dakota, Sold! Please complete and submit the inquiry form on the right side of this page, or give us a call at (800) 865-1461. I ALSO found out that my certificate of storage insurance provided coverage up to a maximum of $2,000, subject to a $100 deductible. The SpareFoot Storage Beat is your go-to source for news, features and analysis about the self-storage industry. Alexander Harris is a reporter covering the business of self-storage. Public Storage requires all of its tenants to carry insurance. Speaking to FOX6, Dorsey and others claimed that the management of the storage facili… The suit says Bowe and other customers who bought tenant insurance received a contract addendum authorizing Public Storage to “conduct the administrative function of receiving premium to send to the insurance company on my behalf.”. 153 at Public Storage in Monmouth Junction at a cost of $174 per month. Public Storage is being represented by William M. Audet, Steven R. Weinmann, and Ling Y. Kuang of Audet & Partners. Call today at 800-688-8057 for a free reservation and get your first month's rent for just $1. This action arises from the plaintiff's alleged loss of his personal property kept in a self-storage unit at the defendant's place of business in Bridgeport, Connecticut. B291662, ___Cal.App.5th___ (Feb. 6, 2020), the Court of Appeal affirmed an order denying class certification on the grounds that issues of deception and reliance were not susceptible to common proof. 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