- HOA News Watch -: New Web Site Gives Consumers Independent Information About FirstService Property Management Companies

Monday, August 15, 2005

New Web Site Gives Consumers Independent Information About FirstService Property Management Companies

Press Release Source: Service Employees International Union

New Web Site Gives Consumers Independent Information About FirstService Property Management Companies
Monday August 15, 12:44 pm ET

TORONTO, Aug. 15 /PRNewswire/ -- Consumers gained an important new tool today, as the Service Employees International Union Local 11 launched http://firstservicemismanagement.com, a new Web site that provides information about FirstService Corp., North America's largest property manager. FirstService MISmanagement provides homeowners, homeowner associations, and others in the market for a property manager an information source totally independent of FirstService Corp.

Consumers who click on the site can visit pages devoted to each of FirstService's eight major residential property management subsidiaries, which operate in the following markets: New York City, Philadelphia, Washington D.C., Chicago, Las Vegas, Phoenix, Miami, and Boca Raton, Fla. The site raises concerns about the performance and business practices of some of these FirstService subsidiaries. Issues include:

* Client Dissatisfaction. The Web site invites consumers interested in learning more about FirstService companies to submit their contact information in order to receive information collected from dissatisfied clients of FirstService subsidiaries.

* Questionable Business Practices. A major FirstService business strategy is cross-selling: marketing ancillary products and services provided by other FirstService companies to existing property management clients. This may result in higher fees for homeowners, according to the Web site.

* Lawsuits. Since March 2000, FirstService subsidiary Continental Group has filed six different suits against condo boards and unit owners who have spoken out against the company. FirstService claims that Continental took these actions to "defend its reputation."

* Labor Strife. The U.S. National Labor Relations Board, an arm of the federal government, has charged that FirstService subsidiary Continental Group broke federal labor law in more than a dozen different ways, including firing a worker for exercising his legal right to support the formation of a union. Continental's top two executives lead FirstService's entire residential property management division.

FirstService MISmanagement also provides a utility by which existing clients of FirstService companies can fill out a survey evaluating their property manager's performance.


Source: Service Employees International Union

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