The Brisbane Supreme Court has ordered changes to the way Abel Rent a Car operates to better protect consumers.
The Office of Fair Trading began legal proceedings against Steven and Nathan Conn, operators of Abel Rent a Car, following more than 100 complaints in the past four years.
In court, changes were ordered to the Abel Rent a Car vehicle hire contracts which will help to prevent consumers being ripped off.
Nathan Conn has also been banned from participating in the car rental industry for two and a half years.
Minister for Fair Trading Peter Lawlor said the changes to the car hire contracts included a cap on deductions made to consumer´s credit cards in the event of an accident.
"Fair Trading's exhaustive investigations resulted in this great outcome for consumers and sends a clear message misleading and deceptive business practices will not be tolerated," he said.
"The Office of Fair Trading has received more than 100 complaints about Abel Rent a Car since 2005.
"These complaints related to a variety of matters including unauthorised deductions on credit cards and disputes concerning insurance liability," Mr Lawlor said.
"It is important that consumers using car hire companies can feel confident that they are not going to be ripped off.
"At a future hearing, the Office of Fair Trading will seek to have compensation paid to consumers who have made complaints about Abel.
During the investigation the OFT discovered that Abel Rent a Car did not hold an insurance policy over its vehicles, and instead self insured which left the hirers in some circumstances without protection.
Since the legal proceedings began, Abel rent a Car has now taken out an insurance policy.
Last reviewed 25/10/2010