NEWS RELEASE
ATTORNEY GENERAL DANA NESSEL
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Michigan Attorney General Dana Nessel has filed a lawsuit against Opulent Marketing, Inc., and its owners, Adam Hakim and Isaac Saada, for allegedly engaging in deceptive business practices in violation of the Michigan Consumer Protection Act.
Beginning in 2018, Opulent Marketing marketed and sold vehicle service contracts (extended auto warranties) under the name Infinite Auto Protection (IAP), soliciting sales on the internet through a website bearing IAP’s name. The website allegedly misrepresented the benefits of the vehicle service agreements, marketing them as “100% Risk Free” and offering a “30 days money back guarantee” on all vehicle service contracts. The website further promised a “Fast 24/7 Claims Process” and a “simple claims process.”
However, the lawsuit claims that Opulent Marketing failed to deliver on these promises, routinely denying and ignoring valid claims and eventually ceasing to pay claims altogether. Customers who attempted to cancel their contracts were also allegedly denied refunds. The company also advertised an A-plus rating with the Better Business Bureau when it actually held an F rating.
“Living in the automobile capital of the world, Michigan consumers care about their cars and prioritize safety and reliability, often using auto warranties for added peace of mind,” Nessel said. “It is unacceptable for a company to mislead customers with deceptive business practices and then fail to honor its promises or contractual agreements. My office remains committed to protecting Michigan consumers from such unscrupulous companies.”
According to the lawsuit, Opulent Marketing misled customers into believing their vehicle service contracts were being sold from a business operating in the State of Michigan. Opulent Marketing rented office space in a building in Romulus, Michigan and put that address on its website despite not having any employees, records, or equipment at the location.
Additionally, Saada and Hakim purchased Opulent Marketing Inc., formally known as Opulent Marketing, LLC, as a Michigan limited liability “shelf” company from Wyoming Corporate Services. A shelf company is a business entity formed and then stored, as though placed on a shelf, to age idly awaiting an eventual buyer seeking to instantly own a years-old business. The lawsuit alleges Saada and Hakim purchased the shelf company to deceive consumers into believing the business had been operating for nearly a decade instead of being a new operation.
As part of the investigation into Opulent Marketing, the Attorney General issued a notice of intended action to Wyoming Corporate Services, alleging that the company was aiding and abetting prohibited trade practices through its marketing and sale of Michigan shelf companies. Attorney General Nessel concluded her investigation into Wyoming Corporate Service by filing an Assurance of Voluntary Compliance and Discontinuance, or AVC, in June 2024, in which the company agreed to cease creating and selling Michigan shelf companies.
The Attorney General is seeking an injunction to prevent Opulent Marketing from further deceptive practices, restitution for harmed consumers, and civil penalties. The lawsuit alleges Opulent Marketing improperly transferred more than $280,000 to U.S. Auto Management, a Delaware company owned by Saada and Hakim, and more than $71,000 to Hakim’s father, Albert, for services not rendered, instead of using the funds to pay claims or issue refunds to consumers. Restitution for consumers, if any, would come from court-ordered disgorgement of these sums.
The Attorney General's alert on Auto Extended Warranties offers consumers tips on how to avoid being scammed by an auto extended warranty:
1. Shop before you buy.
Don’t make a quick decision. Shop around, ask questions, and compare benefits. Read the contract in its entirety before buying. There are specific factors to look for and consider in a service contract, such as:
- The length of the contract;
- Who backs the contract service, if anyone;
- How much does it cost, including deductibles;
- What is covered;
- What is excluded from coverage;
- How are claims handled;
- Any limited service hours, days, locations;
- If new or reconditioned parts are authorized for use in covered repairs;
- What are your responsibilities;
- Whether the contract is transferable if you sell your car; and
- Whether there is any refund if you sell your car or decide to cancel the contract, and, if yes, how is the refund amount is calculated.
- Make sure you know who will be making the decisions on what is covered.
2. Make sure you know who will be making the decisions on what is covered.
The organization that sold you the service contract may not be the same as the organization that will be deciding whether your claims are covered under your contract.
3. Before you do business, check out the seller and the administrator.
Check reviews on the company selling the contract and the administrator of the contract before signing on the dotted line. As with any contract with an upfront purchase payment where the seller's performance to be provided at a future date, the service contract is only as good as the companies behind it.
Call the Michigan Attorney General’s Consumer Protection Team at 877-765-8388 to see if there are any complaints on file against either the seller or the administrator of your service contract.
Also, contact your local Better Business Bureau or visit the BBB website and search for information on the seller and administrator.
Independently verify the legitimacy of endorsements appearing on the company website. If there is a BBB logo, visit the BBB website itself to confirm if the company is BBB accredited.
4. Never give out personal financial information to anyone who calls you.
This is good advice for any situation but is certainly applicable if you receive a telemarketing call from someone offering to sell you a service contract because your “warranty is about to expire.”
If you are on the Federal Do-Not-Call Registry and have been registered for more than 30 days, report this call immediately. Do-Not-Call violators may be reported on the Federal Trade Commission’s website.
For general consumer questions or to file a complaint, you may reach the Michigan Department of Attorney General’s Consumer Protection Team at:
Consumer Protection Team
P.O. Box 30213
Lansing, MI 48909
517-335-7599
Fax: 517-241-3771
Toll free: 877-765-8388
Online complaint form
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