Dealer Deposit, No Return. How ‘Bout That!


Automotive News reported on the recent case where a new car dealer was held liable for treble damages, and attorney fees for the “unconscionable commercial practice” of delaying the return of a $500 “deposit” (made by debit card) to a prospective customer.

Apparently, the dealer’s practice was to require a “deposit” for the right of customer to have the benefit of a weekend test drive. Customer returned the vehicle in timely fashion (no purchase), but the dealer did not refund the deposit, in spite of demands by customer, until twenty four days later (the day after the dealer was served with the lawsuit).

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