A company that helps Canadian drivers find parking spots could face a potential class action lawsuit for allegedly failing to disclose its service fees.
Slater Vecchio LLP, a BC and Québec-based law firm that focuses on class-action lawsuits, is considering a possible class-action lawsuit against HONK. The Toronto-based company provides a parking service through its app.
“Slater Vecchio LLP is investigating a class action lawsuit against the parking reservation service provider HONK,” reads a statement on the company’s website.
“It is alleged that HONK’s failure to disclose a Service Fee at the outset of the reservation process constitutes false and misleading advertising.”
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The law firm is investigating allegations that HONK engages in “price dripping” and “double ticketing” online, violating Canada’s Competition Act.
“Price dripping” or “double ticketing” may occur when the advertised price doesn’t equal the price at checkout “because the company adds non-government-imposed fees on top of the originally represented price.”
“The fees are typically called a ‘service fee,’ ‘process fee,’ or an ‘improvement fee,’” reads the statement.
In addition to helping drivers find parking spots, HONK helps owners rent out their parking lots. Drivers can pay for their parking using their phones.
A description of the HonkMobile app states, “Whether you’re looking for city, off-street, hospital, school, or airport parking, Honk has you covered!”
HONK is available in several cities across Canada including Corner Brook, Halifax, Montreal, Ottawa, Toronto, Mississauga, Oakville, Whitby, Oshawa, London, Niagara Falls, St. Catharines, Waterloo, Windsor, Thunder Bay, Winnipeg, Saskatoon, Calgary, Edmonton, Fort McMurray, Lethbridge, Burnaby, Kelowna, Surrey, Okanagan, Vancouver, Nanaimo, and Victoria.
Read here for more information about the potential lawsuit.