WAYNE, NJ – An auto dealership company, which has a location in Wayne, has agreed to pay $300,000 to settle an investigation into its business practices. The New Jersey Attorney General’s office was investigating allegations that Open Road Auto Group failed to disclose accident history, used misleading advertising and failed to honor vehicle warranties.
The company has 15 locations in New Jersey, including Open Road Acura of Wayne. As part of the settlement – filed Thursday – Open Road Auto Group agreed to provide a $100 service credit for service, maintenance or repair to all consumers who purchased a vehicle in 2017 and have had to pay washing and retail charges.
Under the terms of the settlement, Open Road Auto Group has agreed to:
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- 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 in excess of 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.
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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