Tennessee AG Warns Against Post-Flood Scams and Price Gouging

Tennessee AG warns against scams and price gouging after recent flooding.

NASHVILLE – Following the devastating flooding last week from Hurricane Helene, Tennessee Attorney General Jonathan Skrmetti issued a stern warning to scammers and price gougers. “While most Tennesseans are showing the best of the Volunteer spirit to our neighbors devastated by Helene, a few bad actors always slime out of the woodwork to take advantage of those in need,” said Tennessee Attorney General Skrmetti. “Price gouging and scamming vulnerable people after disasters is not only repulsive, it’s illegal. My office will not hesitate to enforce Tennessee’s consumer protection laws against any bad actor attempting to rip off Tennesseans recovering from the storm.”

The AG’s Division of Consumer Affairs reminds Tennesseans to be cautious and wary of disaster relief scams. Many affected look to hire professionals to repair damaged property, find temporary shelter, or purchase essentials. Others might want to donate money to help those in need. Although many people will lend a hand during challenging times, some will take advantage of the vulnerable position of survivors of natural disasters or the generosity of donors.

Price Gouging

After natural disasters, bad actors may unreasonably raise the prices of essential goods. In Tennessee, it is illegal to “unreasonably raise prices or unreasonably restrict supplies of essential goods, commodities or services” as a direct response to a natural disaster. Tennessee law states that upon a declaration of economic disruption by the governor or executive order, people and businesses cannot charge a price that is grossly in excess of the price generally charged for the following types of goods or services:

– Repair or construction services

– Emergency supplies (e.g., water, flashlights, batteries)

– Medical supplies (e.g., prescription and nonprescription medications)

– Consumer food items

– Building materials

– Gasoline

– Transportation, freight, and storage services

– Housing (month-to-month rental housing)

– Temporary healthcare staffing

Construction and Repair Scams

Be cautious of contractors who do not have proper licensing. Contractors in Tennessee must register and be licensed by the Tennessee Board for Licensing Contractors. Verify contractors by looking them up [here](https://search.cloud.commerce.tn.gov/). Additionally, searching the contractor’s name along with “scam,” “review,” or “complaints” can reveal any negative history. The BBB’s website is also a good resource for complaints and rating information.

Home improvement contractors in Tennessee are generally prohibited from charging more than one-third of the contract price for a deposit. They are also required to provide a written contract detailing the work, cost, and timeline. Avoid signing over your entire insurance check or claim to the contractor before the work is completed.

When applying for assistance, be aware that federal and state entities and reputable not-for-profits do not solicit or accept funds as a condition for providing emergency assistance.

Charity Scams

Ensure your donations are going to reputable organizations. Research charities through websites like [Give.org](https://give.org/), [Charity Navigator](https://www.charitynavigator.org/), or [Charity Watch](https://www.charitywatch.org/). Charities in Tennessee are required to be licensed, which can be verified [here](https://sos.tn.gov/charities). Additional information about the warning signs of charity scams can be found [here](https://www.tn.gov/content/tn/attorneygeneral/working-for-tennessee/consumer/resources/materials/charity-scams.html).

Submitting a Complaint

If you are a victim of a scam or price gouging, or wish to report a person or company for disaster relief scams or price gouging, please contact the Tennessee Division of Consumer Affairs at 615-741-4737 or submit a complaint online [here](https://www.tn.gov/attorneygeneral/working-for-tennessee/consumer/file-a-complaint.html).

For more information, please visit [Price Gouging & Disaster Recovery](https://www.tn.gov/attorneygeneral/working-for-tennessee/consumer/scams-schemes-swindles/price-gouging-faq.html).

Source: Read Original Release

Temporary Driver Services for Flood Victims in Tennessee

The Tennessee Department of Safety and Homeland Security has set up temporary driver services at the Unicoi Police Department and Newport Grammar School to assist flood victims with duplicate identification and driver licenses from September 30 to October 4, 2024.