Kobach Sues Unlicensed and Predatory Real Estate Company for Widespread Consumer Fraud

Post Date: 03/20/2026 1:24 PM PRESS RELEASE

Kobach Sues Unlicensed and Predatory Real Estate Company for Widespread Consumer Fraud

TOPEKA – (March 19, 2026) – Attorney General Kris W. Kobach announced a consumer protection enforcement lawsuit against a Wyandotte County company, its chief executive officer, and its purchasing manager for their widespread scheme targeting vulnerable Kansas homeowners.

The lawsuit exposes the predatory business practices of House Max, Jason Jones, and Herbert Brown, Jr. Their predatory scheme lures consumers with false promises of fast, fee-free, and commission-free home sales and traps Kansas homeowners in one-sided contracts that exploit homeowners’ equity. The State seeks a permanent injunction to halt the deceptive practices, civil penalties, and complete restitution for all harmed consumers.

“House Max is a scam disguised as a service,” said Kobach said. “They sent fake checks to hard-working Kansas homeowners, promised a simple real estate sale with no fees, and used intimidation and false liens to extract consumers’ equity. We allege that they operate without appropriate licenses, misrepresent their offers, and hide their fees and commissions. This lawsuit will hold them accountable and shut down their predatory operation for good.”

The State’s petition alleges that the company, along with its owner and purchasing manager, engaged in a systematic pattern of deception by sending thousands of unsolicited mailings across the state, including to residents in Wyandotte, Johnson, Leavenworth, and Miami counties. These mailings featured personalized “checks” with specific cash offers for a homeowner's property and claimed House Max was a real estate investment company interested in purchasing the homeowner’s property.

The lawsuit details how the defendants operated without a real estate license, in violation of the Real Estate Brokers’ and Salespersons’ License Act. After consumers responded to the initial offer, the defendants drastically reduced the purchase price claiming repairs were needed. They concealed significant commissions, charged hidden fees, and levied undisclosed cancellation penalties.

The most egregious practice, the State alleges, was filing liens on consumers’ properties, falsely claiming a legal interest in the property. This illegal tactic clouded property titles and pressured consumers into completing the sale, even if they had changed their minds.

This scheme caused substantial financial harm and specifically preyed upon vulnerable Kansans, including seniors and those facing financial distress. The State’s investigation revealed the defendants’ average commission was more than triple the rate of traditional real estate transactions by licensed real estate agents.

The State’s prosecution is led by Assistant Attorneys General Nicholas Smith, Kaley Schrader, and Vincent Amiri.

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