Colorado Attorney General Files Lawsuit Against Champion Car Warranty Owners for Fraudulent Practices
Colorado Springs, CO – The Colorado Attorney General’s Office has initiated a civil lawsuit against Jack Yedid and Ralph Anteby, owners of Champion Car Warranty, a New York-based company operating in Colorado Springs. Filed on October 31, the lawsuit accuses the duo of defrauding customers, failing to fulfill warranty obligations, and engaging in misleading advertising practices.
Champion Car Warranty specializes in providing extended insurance coverage for vehicle repairs after manufacturer warranties expire. However, state prosecutors allege that Yedid and Anteby have unlawfully profited over $2 million from customers nationwide while failing to honor warranty claims. The lawsuit highlights the experience of an elderly couple from Saguache, CO, who purchased a $2,300 warranty, only to find their claim for a necessary truck repair denied.
In addition to reports of inadequate customer service, including long hold times and unresponsive representatives, the lawsuit claims that Champion misrepresented its charitable contributions to veterans’ organizations. Prosecutors assert that although the company advertised donations to Operation Military Family for every new contract, it only made a single bounced check for $100.
Among other deceptive practices noted in the lawsuit, the company allegedly made false claims about its customer ratings and affiliations with various industry organizations. The Attorney General’s Office stated that Champion has received an "F" rating from the Better Business Bureau in several other states where Yedid and Anteby operate similar businesses.
The state is seeking financial penalties against the defendants for violations of the Colorado Consumer Protection Act. A court hearing is set for December 12. Attempts to reach the defendants for comment were unsuccessful.
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