Massachusetts Attorney General Martha Coakley is suing the owners of Saratoga Springs, N.Y.-based Morgan RV Resorts, alleging the company is intimidating members to collect exorbitant fees in a Cape Cod manufactured housing community it owns.
According to a press release from Coakley, the company’s sales team “aggressively solicited homeowners at Peters Pond to pay up to $16,000 as a membership fee to remain in the community.” The fee was on top of the $6,000 annual fee owners paid to lease their properties at the Sandwich, Mass., housing community.
Coakley’s lawsuit seeks to end the collection and also return fees already paid by residents. She alleges the practices are a violation of the Consumer Protection Act and Manufactured Housing Act.
According to the lawsuit, nearly 100 homeowners have paid to join the club out of fear that they would lose their home.
In a separate report by the Journal and Courier, Lafayette, Ind., an amusement ride inspector from the Indiana Department of Homeland Security is at Indiana Beach, also owned by Morgan RV Resorts, partly in response to a protest last weekend led by a group of former employees,
The state inspector is checking the safety and documentation of the approximately 30 rides at this lakefront tourist attraction.
Further protests have been canceled following a pledge by officials with Morgan RV Resorts, which has owned Indiana Beach since 2008, to meet with representatives of the one-time workers. They had demonstrated near the park to bring attention to their concerns about ride safety and maintenance, employee treatment and guest relations.
Morgans RV owns and operates several RV parks and campgrounds in the Saratoga region, including: Coldbrook Campsite Resort on Gurn Springs Road in Gansevoort, NASCAR RV Resorts at Adirondack Gateway on Fortsville Road in Gansevoort, Lake George Suites on Lake Shore Drive in Lake George and Lake George Campsites on Route 9 in Queensbury. The company also has several properties in vacation spots in New Jersey, Florida, Ohio, Virginia, Wisconsin, Maine and Indiana.
The Peters Pond manufactured housing community is the seasonal home for dozens of retirees and elderly residents.