by T.A. DeFeo
Georgia has settled allegations that a company sent deceptive direct mail solicitations to help small business owners in the state secure a Certificate of Existence.
The state attorney general’s office alleged that CA Certificate Service, which also operates as GA Certificate Service, misrepresented that the fee it charges for obtaining a Certificate of Existence was a government fee. However, state officials say the company has no affiliation with any Georgia government agency, including the Georgia Secretary of State’s Office.
According to a news release, CA Certificate Service charged $72.50 to complete the paperwork to obtain the certificate. Businesses can acquire a Certificate of Existence directly from the Georgia Secretary of State’s Office for $10.
“Companies that engage in this type of deceptive behavior and target our small business community in the process will be held accountable for their actions,” Attorney General Chris Carr said in a statement.
State officials also said the company misrepresented its location by listing a Georgia address but operates in Florida.
Under the agreement, CA Certificate Service agreed to abide by the Georgia Fair Business Practices Act and pay $25,000 in civil penalties. It will also cough up an additional $75,000 if it does not comply during a two-year monitoring period.
The company, whose sole employee, James Beard, is its owner, must also disclose the amount and purpose of all fees.
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T.A. DeFeo is a contributor to The Center Square.
