Since July 2022, the New Jersey Division of Consumer Affairs (NJDCA) secured six settlements — totaling over $260,000 — with six different New Jersey car dealerships for allegedly violating consumer protection laws by:
- Not listing vehicles’ prior accidents, damage, and repairs;
- Not honoring a used car’s advertised price;
- Charging excessive vehicle preparation fees not itemized or properly disclosed to the consumer;
- Not providing written warranties;
- Not disclosing a vehicle’s full sale price; and
- Engaging in deceptive advertising.
Under the settlements, the dealerships agreed to pay civil monetary penalties, fees, and costs; cease all unfair or deceptive acts or practices; comply with all applicable state and federal laws; and resolve all consumer complaints. “Consumers have enough to worry about in this challenging car market, and illegal practices by car dealerships should not be one of them,” said New Jersey Attorney General Matthew Platkin. “These settlements should put dealers on notice that we will not stop protecting New Jerseyans and are always working to ensure a transparent auto market.”
Why This Matters
With the current shortage of new and used cars, these settlements will help protect consumers against fraud, deceptive advertising, misrepresentations, and legal and regulatory violations, while also thwarting post-pandemic exploitations. It further highlights that state AGs remain focused on combating predatory sales tactics.