State Announces Settlement with South Jersey Car Dealership
NEWARK - A Berlin-based car dealership has agreed to pay $200,000 under a settlement arising from a lawsuit filed by the Office of the Attorney General and the Division of Consumer Affairs.
Chevrolet 73, Inc., which does business as Chevrolet 73 and Chevrolet 73 Bargain Corral, also agreed to comply with all state and federal laws concerning its advertisement, sale and/or repair of new and used motor vehicles including the Consumer Fraud Act, the Motor Vehicle Advertising Regulations, the Automotive Repair Regulations and the Used Car Lemon Law.
In its lawsuit, filed in November 2006, the state alleged that the dealership committed multiple violations of New Jersey’s Consumer Fraud Act, Used Car Lemon Law and related regulations, among other things, by failing to honor all advertised motor vehicle prices, terms and conditions; failing to disclose to consumers all terms and conditions of a negotiated deal; and failing to disclose or misrepresenting the mechanical condition of used motor vehicles.
“Consumers are entitled to be told all the relevant facts before they purchase a vehicle. Under this settlement, the dealership will provide this information so consumers can make an informed decision,” Attorney General Anne Milgram said.
As part of the settlement, Chevrolet 73, Inc. also has agreed to participate in the Division’s Alternative Dispute Resolution (ADR) program for three years. Pursuant to the terms of the settlement, any future consumer complaints received by the Division during that period will be forwarded to Chevrolet 73, Inc. The dealership must respond to the complainant within 30 days. The dealership must also provide the Division with a copy of such response. Those complaints that are not resolved will be forwarded to the ADR Unit for binding arbitration.
“We appreciate the steps that Chevrolet 73 has taken to ensure that its dealerships are in full compliance with our laws and we expect all terms of this Consent Order to be adhered to,” Acting Consumer Affairs Director Larry DeMarzo said. “We’ll be watching how consumer complaints are handled.”
Deputy Attorney General Gina M. Betts represented the state in this action.
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