Union car dealership will pay to settle allegations with NJ

UNION, NJ — An auto dealership company, which has 15 locations in New Jersey, including Union and Springfield, was among three companies that recently reached a settlement with the state over alleged consumer protection violations , authorities said on Friday.

Acting attorney Matthew Platkin and the Consumer Division said separate settlements totaling nearly $400,000 were reached with three car dealerships, including Open Road Auto Group.

See the settlement with Open Road Auto Group here.

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The other two settlements were with Lynnes and Glen Motors Inc.

Prosecutors said Open Road Auto Group agreed to a $300,000 settlement to resolve an investigation into allegations that included:

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  • Not disclosing accident history
  • Use of false advertising
  • Violation of vehicle warranties

Pursuant to the Voluntary Compliance Assurance entered into with the Division, Open Road Auto Group has, among other things, agreed to:

  • Disclose the total cost, down payment, trade-in or discount, if any, and the total of the periodic payments provided for in the announcement of the installment sales of motor vehicles;
  • Include a statement that “prices include all costs payable by the consumer, except license fees, registration fees and taxes”, in advertising new or used motor vehicles;
  • Disclose in the advertisement that a motor vehicle has already been damaged and that a major repair or body work has been performed on it when this previous repair or body work is known or should have been known ;
  • Refrain from charging customers for work performed or parts supplied beyond any estimate, without the customer’s oral or written consent;
  • Accurately disclose the purchase price of all dealer-installed options;
  • Refrain from misleading consumers into believing that aftermarket merchandise such as service contracts and window etching are mandatory;
  • Itemize all secondary market merchandise on leases, sales documents and contracts;
  • Refrain from separately charging consumers a “destination charge” on any advertised motor vehicle when the cost is already included in the advertised price; and
  • Offer consumers the opportunity to review all rental documents before signing.

Open Road Auto Group has also agreed to provide a $100 service credit coupon for service, maintenance, or repair to all consumers who purchased a vehicle in 2017 and were required to pay a wash and retail.

In addition, the Company will initiate binding arbitration through the division’s Alternate Dispute Resolution (ADR) unit to resolve all pending affected consumer complaints and any other consumer complaints received by the division during a three-year period.

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