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MADISON - Attorney General J.B. Van Hollen announced today that his office has reached settlements with some of the defendants in the state's consumer protection lawsuit alleging deceptive practices in connection with the marketing program known as the National Energy Rebate Fund, or NERF. The state's lawsuit was brought against Kool View Co., Inc., of McFarland, Wisconsin, and its owner, Alan Anderson, and the National Rebate Fund, Inc. and its owner, Timothy Stubbs, along with two employeesMatthew Stubbs and Dan Goldenall of Grand Junction, Colorado.
Among other things, the state's lawsuit alleged that the defendants deceived consumers into purchasing replacement windows and other products offered by Kool View by misrepresenting that they could obtain rebates four years later for the amount of their purchase, essentially making the products free, and that the program was limited to participants in an energy field study. In reality, only 8% of the money needed to pay full rebates was set aside, and there was no legitimate energy field study.
The state's settlement with Kool View has resulted in a judgment of $200,000 against Kool View Co., Inc. and Alan Anderson. The state also obtained a $20,000 judgment against Matthew Stubbs; Dan Golden was dismissed from the case. The settlements have been approved by Dane County Circuit Court Judge Steven Ebert.
The court has also entered a default judgment against the remaining defendantsthe National Rebate Fund, Inc., and Timothy Stubbs. The court will conduct a hearing on March 23rd to determine the amount of the judgment and to decide what injunctive relief is appropriate.
The case was investigated and referred to the Department of Justice by the Wisconsin Department of Agriculture, Trade and Consumer Protection. The State is being represented by Assistant Attorneys General John Greene and Lara Sutherlin.