Hertz: Rent a Car, Go to Jail

Rickey E. Richardson; H. Darin Barton; Melanie S. Richardson

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Hertz: Rent a Car, Go to Jail

Rickey E. Richardson, H. Darin Barton, and Melanie S. Richardson

Tarleton State University, USA

Volume 19: 2022 pp. 223-230: ABSTRACT

Over 200 lawsuits were filed against the Hertz rental car company by former customers who were arrested as a result of the company’s poor inventory control system and its implementation of two business practices which led to the filing of unsubstantiated stolen car reports with police. According to a whistleblower, these practices essentially meant Hertz was using police “as a repo company and the court system as a collection company” (News Nation 2022, 4:24). Consequences to the individuals who were falsely charged with theft included financial hardship, job loss, reputational damage, child custody problems, the trauma of arrest sometimes at gunpoint, and the traumatic experience of being jailed. This case study calls for students to analyze the company’s actions from the perspectives of ethical theories and decision making, as well as corporate social responsibility.