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Court Rejects Rental Car Fines

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From Associated Press

The state Supreme Court upheld a ban Monday on a car rental company’s use of a global positioning satellite system to track customers and fine them $150 for speeding.

The unanimous ruling rejected an appeal by American Car Rental, which operates Acme Rent-A-Car. Acme said the fines were to make up for wear and tear on cars driven at excessive speeds. However, a consumer protection hearing officer determined such costs at about 37 cents per vehicle.

According to the state’s Consumer Protection Department, Acme failed to warn customers of the fines they would face if the company’s GPS system showed they were speeding. Acme also automatically debited consumers’ bank accounts or credit cards without notice.

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Acme’s lawyer, Max Brunswick, said no decision had been made about an appeal.

“They didn’t do this to make money on the fees,” he said. “They did it to hold speeding down to prevent accidents and, of course, speeding was killing the lives of the cars.”

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