NYC Funeral Home Chain Settles for $700K After Exploiting Grieving Families

The New York City Department of Consumer and Worker Protection (DCWP) has announced a settlement with R.G. Ortiz Funeral Homes, a funeral home chain accused of exploiting grieving families. The settlement requires R.G. Ortiz to pay over $600,000 in restitution to affected consumers and an additional $100,000 in civil penalties, bringing the total to $700,000. This settlement follows a lawsuit filed in April by DCWP, which charged the funeral home chain with multiple violations of the city’s Consumer Protection Law.

The allegations against R.G. Ortiz include failing to provide services that consumers had paid for, misrepresenting prices, and refusing to disclose the whereabouts of deceased loved ones. The chain, which operates in the Bronx, Brooklyn, and Manhattan, primarily targeted Spanish-speaking communities. Among the most egregious violations was an incident where a deceased man was displayed in a plastic bag instead of a coffin, highlighting the level of neglect and disrespect shown by the funeral home.

New York City Mayor Eric Adams expressed outrage over the exploitation, stating, “It is unimaginable that in a family’s hardest moments of grief, they would be exploited and taken advantage of.” DCWP Commissioner Vilda Vera Mayuga echoed these sentiments, emphasizing the importance of holding such businesses accountable. “Money will never heal the wounds R.G. Ortiz’s conduct inflicted, but we’re proud to secure justice for our neighbors,” she said.

The settlement provides for approximately $104,000 to be distributed among 28 consumers who have already come forward, while $500,000 is reserved for additional consumers who have yet to file claims. DCWP has urged other affected individuals to submit their claims online or by calling 311.

R.G. Ortiz has also agreed to comply with the law moving forward, including disclosing the location of remains upon request and providing the agreed-upon services. This settlement is part of DCWP’s broader mission to protect New York City’s consumers, particularly in vulnerable communities, from predatory practices.

The case has highlighted the importance of consumer protection, especially in sensitive areas such as funeral services, where families are most vulnerable. The city’s efforts to hold businesses accountable serve as a reminder that exploitation in times of grief will not be tolerated. The public is encouraged to report any further misconduct by contacting DCWP or visiting their website.

This settlement marks a significant victory for consumer rights in New York City and underscores the city’s commitment to protecting its residents from unscrupulous business practices, particularly those preying on the most vulnerable.