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Judge rules against Ozarks company

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A southwest Missouri water-treatment company has been ordered to pay $32,300 to consumers and the state after a judge ruled it had violated Missouri’s consumer protection laws, Attorney General Jay Nixon announced July 27.

Greene County Circuit Judge Dan Conklin signed an order that requires Hague Quality Water of the Ozarks to pay $31,300 in restitution to 11 consumers in the Springfield and Joplin areas and $1,000 to the state for investigation costs. Nixon sued the company in 2004.

Nixon’s suit alleged that Hague representatives falsely promised consumers that its water treatment system would improve their health, save water and give other benefits.

From August 2002 to November 2004, the suit states, Hague went to consumers’ homes and gave presentations, during which Hague representatives would test the home’s tap water and conclude that it contained hazardous chemicals. Consumers were told the Hague water treatment system, which sold for several thousand dollars, would alleviate the problem.

The suit also alleges that Hague representatives would offer to help consumers obtain financing that would allow the system to be paid off in no more than five years. Some consumers were then financed at interest rates that required longer pay-off time periods – something they were unaware of until they received a bill, the suit states.

According to the suit, some consumers were not told about a three-day right to terminate a contract with Hague after a presentation, others were told they had until installation to cancel the contract and one consumer was offered a 60-day trial period. Consumers who tried to cancel their contracts during the specified time frames were denied cancellation and told they were only entitled to a three-day right to cancel, regardless of what they were told previously.

Defendants in the suit were K&H Mitchell Inc., which does business as Hague Quality Water of the Ozarks, and the company’s owners, Heather Mitchell, of Republic, and Keith Mitchell, of Springfield. Hague has offices in Republic and Joplin and previously had an office in Columbia.

In addition to the court order, Nixon obtained a permanent injunction against Heather Mitchell last August barring her from ever owning, operating or managing a business in Missouri.

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