NEWARK - The Office of the Attorney General and Division of Consumer Affairs have filed suit against a Vineland-based pool and spa contractor for allegedly violating the state's Consumer Fraud Act and Contractors' Registration Act and related regulations.

The State alleges that Castaway Pools & Spas, L.L.C. misled consumers into believing it was a registered home improvement contractor (“HIC”) by using in its advertisements and contracts the registration number issued to another contractor. The company, which does business under the names “Castaway Fiberglass Pools” and “Castaway @ Piper Pools”, also accepted payments and/or deposits from consumers and then either failed to start or complete the pool and spa installations.

“Our state law is quite clear - home improvement contractors must be registered annually and must adhere to our statute and regulations when conducting business. This company clearly knew that it had to register with the Division of Consumer Affairs, but instead of doing so, used the registration information issued to another company in its ads and contracts,” Attorney General Anne Milgram said.

To date, the Division has received 39 consumer complaints concerning Castaway Pools & Spas.

In addition to not being registered as a home improvement contractor and violating the HIC statute and regulations, the state's five-count complaint filed in State Superior Court charges that Castaway Pools & Spas violated the state's Consumer Fraud Act by committing unconscionable commercial practices and making false promises and/or misrepresentations. These violations include:

Accepting deposits and/or others payments for pools or spas and the installation thereof and then failing to provide and/or install the pools or spas;

Accepting payment and then failing to complete and/or repair home improvement work ;

Charging consumers for merchandise that was never delivered;

Failing to use and/or using incomplete and inaccurate cancellation language in home improvement contracts; and

Advertising through print advertisements and the Castaway Pools Website that Defendant is a licensed home improvement contractor in New Jersey, when such is not the case;

Misleading consumers to believe that Defendant is registered as a home improvement contractor with Division through use of the HIC Registration number assigned to another home improvement contractor;

Utilizing the “BBB” logo on print advertisements without Better Business Bureau authorization to do so;

Promising, then failing, to obtain the necessary permits to commence home improvement work;

Misrepresenting that pool and/or spa installation would be “fast” and/or completed in “1-3 days” when in fact such installation often took weeks or months and/or was not completed; and

Promising, then failing, to provide consumers with complete refunds for deposits and/or payments made for home improvement work that was never commenced and/or completed.

“Rather than enjoying their swimming pools on these hot and humid summer days, consumers who contracted with Castaway Pools & Spas are literally sweating it out, waiting for refunds or their pools,” said David Szuchman, Consumer Affairs Director. “We're seeking restitution for these consumers as well as maximum civil penalties.”

An initial violation of the Consumer Fraud Act as well as the Contractors' Registration Act and Contractor Registration Regulations may result in a civil penalty of up to $10,000 and up to $20,000 for each subsequent violation. Deputy Attorney General Joan M. Scatton is representing the state in this action.

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