In the Matter of New England Tractor Trailer Training School of Mass. Inc et al

UNITED STATES OF AMERICA
FEDERAL TRADE COMMISSION

In the Matter of
NEW ENGLAND TRACTOR TRAILER TRAINING SCHOOL OF MASSACHUSETTS, INC., and
NEW ENGLAND TRACTOR TRAILER TRAINING SCHOOL OF CONNECTICUT, INC., corporations, and
MARK GREENBERG, individually and as an officer and director of the corporations.

DOCKET NO.

COMPLAINT

The Federal Trade Commission, having reason to believe that New England Tractor Trailer Training School of Massachusetts, Inc. and New England Tractor Trailer Training School of Connecticut, Inc., corporations, and Mark Greenberg, individually and as an officer and director of the corporations ("respondents"), have violated the provisions of the Federal Trade Commission Act, and it appearing to the Commission that this proceeding is in the public interest, alleges:

1. Respondent New England Tractor Trailer Training School of Massachusetts, Inc., is a Massachusetts corporation with its principal office or place of business at 1050 Hancock Street, Quincy, Massachusetts 02169.

2. Respondent New England Tractor Trailer Training School of Connecticut, Inc., is a Connecticut corporation with its principal office or place of business at 32 Field Road, Somers, Connecticut 06071.

3. Respondent Mark Greenberg is an officer and director of the corporate respondents. Individually or in concert with others, he formulates, directs, or controls the policies, acts, or practices of the corporations, including the acts or practices alleged in this complaint. His principal office or place of business is the same as that of New England Tractor Trailer Training School of Massachusetts, Inc.

4. Respondents are engaged, and have been engaged, in the sale and offering for sale of vocational training programs to the public, including but not limited to driver training for tractor trailer and heavy straight trucks. Respondents' truck driver training programs typically last from one to four weeks and cost from $1700 to $3600.

5. The acts and practices of respondents alleged in this complaint have been in or affecting commerce, as "commerce" is defined in Section 4 of the Federal Trade Commission Act.

6. Respondents have disseminated or have caused to be disseminated advertisements and promotional materials for their training programs. These advertisements and promotional materials contain the following statements:

a. "We deliver careers. That means plenty of career opportunities for those with professional training and licensed know-how in heavy truck operation. NETTTS [New England Tractor Trailer Training School] will prepare you to take your state's test for a Commercial Driver's License that can be your start in an independent and rewarding career moving America's goods. With your license, you can put a great career in gear and go."

b. "The trucking industry needs at least 450,000 drivers this year. . . .You could be one of them."

c. "Get your Commercial Driver's License and get on the road to a new job."

d. "You can enter the NETTTS program for tractor trailer drivers or commercial heavy straight truck drivers if you have:

A high school diploma, or a GED (high school equivalent certificate), or you pass an approved ability-to-benefit test.

A valid driver's license (from any state).

Ability to pass a U.S. Department of Transportation physical."

e. "New England Tractor Trailer Training School has been around for thirty years. Simply put, nobody has the experience we do in preparing people for a career in trucking."

f. "Learn to drive the big rigs in just 3 short weeks."

g. "1 week Commercial Drivers License training."

h. "When you graduate from a CDL A program, you will be ready for a career as a professional tractor trailer driver." (Emphasis in original.)

i. "We have earned a reputation for training excellence by combining the necessary classroom training with hands-on knowledge and operating practice you need to take and pass your state's Commercial Driver's License (CDL) test."

j. "Our experienced instructors can help you become a professional driver fully prepared to earn a good living hauling America's products."

k. "With our comprehensive behind-the-wheel training and career placement assistance we can have you licensed and on the road."

l. "You will practice on NETTTS' own big rigs. We have over 150 tractors and trailers spread among our five campuses in the northeastern United States."

m. "NETTTS puts students in touch with trucking companies that reimburse students' tuition."

n. "And because you live in the Northeast, you won't have to move or give up your home life to earn it."

o. "84% of All Graduates Requested Placement. 81% Requesting Placement Are Placed. The 16% of our graduates not requesting placement are obtaining their licenses to upgrade their positions with their current employers or have already acquired employment on their own."

7. During interviews with prospective students, employees of respondents have made the following oral representations to persuade prospective students to enroll in their programs:

a. Over 85% of our students are hired before they get their CDL licenses.

b. 95% of NETTTS' graduates pass the CDL test.

c. NETTTS' placement service places 85% of NETTTS' graduates in truck driving jobs.

d. NETTTS' placement service places nearly all of NETTTS' graduates in truck driving jobs.

e. Local jobs are available to NETTTS' graduates.

8. Through the means described in Paragraphs 6 and 7, respondents have represented, expressly or by implication, that:

a. NETTTS' placement services place a high percentage of NETTTS graduates in jobs as truck drivers.

b. All or virtually all of NETTTS' graduates obtain employment as truck drivers.

c. A high percentage of NETTTS' graduates will be able to obtain local truck driving jobs.

d. Ninety-five percent (95%) of NETTTS' graduates pass the CDL test.

e. A high percentage of NETTTS' graduates pass the CDL test the first time they take it.

f. Students who complete NETTTS' training program will receive adequate instruction, including a sufficient opportunity for practice driving, to enable them to pass the CDL test.

g. Many NETTTS' graduates are reimbursed the cost of their tuition by trucking companies that employ them.

h. NETTTS admits only students who possess a high school diploma or equivalency or pass an admissions test, and are otherwise qualified to complete the training program and to obtain a Commercial Drivers License (CDL).

9. In truth and in fact:

a. NETTTS' placement services do not place a high percentage of NETTTS' graduates in jobs as truck drivers.

b. Not all of NETTTS' graduates are able to obtain employment as truck drivers.

c. A significant percentage of NETTTS' graduates are not able to obtain local truck driving jobs.

d. The rate of passing of the CDL test by graduates of the NETTTS' program is substantially less than 95%.

e. A significant percentage of NETTTS' graduates do not pass the CDL test the first time they take it.

f. In numerous instances, students who complete NETTTS' training program do not receive adequate instruction, including a sufficient opportunity for practice driving, to enable them to pass the CDL test.

g. A significant number of NETTTS' graduates are not reimbursed the cost of their tuition by trucking companies that employ them.

h. NETTTS admitted some students who did not meet its own admissions criteria and were unqualified to complete the training program and to obtain a CDL.

Therefore, the representations set forth in Paragraph 8 were, and are, false or misleading.

10. Through the means described in Paragraphs 6 and 7, respondents have represented, expressly or by implication, that they possessed and relied upon a reasonable basis that substantiated the representations set forth in Paragraph 8, at the time the representations were made.

11. In truth and in fact, respondents did not possess and rely upon a reasonable basis that substantiated the representations set forth in Paragraph 8, at the time the representations were made. Therefore, the representation set forth in Paragraph 10 was, and is, false or misleading.

12. The acts and practices of respondents as alleged in this complaint constitute unfair or deceptive acts or practices, in or affecting commerce, in violation of Section 5(a) of the Federal Trade Commission Act.

THEREFORE, the Federal Trade Commission this _____ day of ___________, 1999, has issued this complaint against respondents.

By the Commission.
[Name]
Secretary
SEAL: