|
NEWARK
– The Office of the Attorney General
and the Division of Consumer Affairs have
filed suit against a Ramsey dealership for
allegedly violating the state’s Consumer
Fraud Act (“CFA”) and regulations
in its advertisement and sale of used motor
vehicles.
This
is the second lawsuit filed by the state
in recent years against Ramsey Auto Imports
of Route 17, Inc., which does business as
Ramsey Chrysler Jeep Dodge. The state, in
its 2005 lawsuit, alleged that Ramsey Auto
Imports and several associated dealerships
violated the CFA and the Motor Vehicle Advertising
Regulations. As part of the settlement,
Ramsey Auto Imports, among other things,
agreed not to engage in any future deceptive
practices in violation of the CFA and the
Motor Vehicle Advertising Regulations and
acknowledged that future violations would
subject it to enhanced civil penalties.
The
current lawsuit alleges that the dealership
offered for sale used motor vehicles without
disclosing to consumers prior damage, prior
use as rental vehicles, current odometer
readings and the actual selling price, among
other violations of the CFA and Motor Vehicle
Advertising Regulations. The current lawsuit
also alleges that, by this conduct, the
dealership violated the terms of the prior
settlement.
“We allege this dealership is a repeat
violator, hiding relevant facts from consumers
in order to make sales,” Attorney
General Paula T. Dow said. “We’re
seeking enhanced penalties and an end to
all illegal business practices.”
The
dealership faces civil penalties up to $20,000
for each violation of the CFA. The state’s
four-count Complaint was filed in State
Superior Court in Bergen County. The state’s
allegations are based upon the Division’s
investigation of Ramsey Auto Import’s
advertisement of used motor vehicles through
www.craigslist.com
(“Craigslist”), as well as at
its dealership located at 435 Route 17 North
in Ramsey.
The
complaint alleges that in its Craigslist
ads, the dealership failed to disclose:
-
its business name and address;
-
the Vehicle Identification Number (VIN)
of the vehicle being offered for sale;
-
the actual odometer reading;
-
prior use of the vehicle;
-
prior damage to the vehicle; and
- the
required statement that “price(s)
include(s) all costs to be paid by the
consumer, except for licensing costs,
registration fees, and taxes”.
The
complaint also alleges that at its location,
the dealership failed to disclose:
-
the price of an advertised used motor
vehicle; and
-
the Used Car Buyer’s Guide (by posting
it).
“Whether
the consumer shops online or at the dealership,
state law and regulations require the seller
to disclose key information to potential
buyers. The cyberspace marketplace is not
a lawless frontier and Consumer Affairs
investigators are proactively monitoring
online sales sites, in addition to checking
‘brick-and-mortar’ stores,”
said Thomas R. Calcagni, Acting Director
of the State Division of Consumer Affairs.
Investigator
Murat Botas of the Office of Consumer Protection
conducted the investigation of this case.
Deputy Attorney General Cathleen O’Donnell
of the Consumer Fraud Prosecution Section
is representing the state in this action.
### |
