NEWARK
– The Ramsey Auto Group, Inc. (“Ramsey
Auto”) has agreed to make a payment
to New Jersey of $250,000 to settle a lawsuit
filed by the state, Attorney General Zulima
V. Farber and Consumer Affairs Director
Kimberly Ricketts announced today. Ramsey
Auto also has agreed to make substantial
changes to its business practices and to
establish a restitution account in the sum
of $156,000 for consumers that filed complaints
with the Division of Consumer Affairs prior
to the filing of the lawsuit.
“Under this settlement, Ramsey Auto
has committed to making serious changes
in the way they do business,” said
Attorney General Farber. “We want
to ensure that New Jersey consumers are
treated fairly when shopping for cars.”
This settlement resolves a lawsuit filed
on August 17, 2005 that alleged violations
of the state's Consumer Fraud Act, Motor
Vehicle Advertising Regulations, Used Car
Lemon Law and Used Car Lemon Law Regulations.
The Ramsey Auto Group includes the following
dealerships: Ramsey Volvo, Ramsey Subaru,
Ramsey Nissan, Ramsey Infiniti, Ramsey Saab,
Ramsey Mazda, Ramsey Chrysler/Plymouth/Jeep/Eagle,
Ramsey Pontiac-GMC, Ramsey Mitsubishi and
Maywood Mitsubishi.
“At
its very core, the Division of Consumer
Affairs exists to ensure a level playing
field for New Jersey consumers and businesses,”
said Director Ricketts. “This settlement,
reached cooperatively with Ramsey Auto leadership,
is consistent with that goal.”
In the settlement announced today, Ramsey
Auto has agreed to do the following:
-
not misrepresent or fail to disclose
material terms and conditions of a negotiated
deal, financing or lease plan;
-
honor
all advertised prices, terms and/or
conditions;
-
reveal
facts concerning a used car including
the terms of any written warranty, mechanical
condition, history and/or prior damage;
-
accurately
represent the amount paid to the New
Jersey Motor Vehicle Commission for
license, title and registration fees
and provide refunds to consumers of
any overpayments of such fees;
-
not
add and charge for after sale items
(such as window etching or service contract)
without the consumer’s knowledge
or authorization;
-
provide
accurate credits for trade-in allowances
and/or deposits;
-
provide
consumers with an opportunity to review
all sales documents prior to signing;
-
provide
in all advertisements the legally required
information, including but not limited
to the applicable time period for any
special offer, the manufacturer’s
retail price clearly indicated by using
“MSRP” as well as the year,
make and model and the last eight digits
of the VIN number; and
-
not
charge for repairs performed in excess
of any estimated price without the oral
or written consent of the consumer.
Additionally,
Ramsey Auto has agreed to attempt to resolve
all pending consumer complaints and to participate
in the Division’s Alternative Dispute
Resolution (ADR) program with respect to
any future consumer complaints for at least
a one-year period. For the next year, the
Division will forward any additional consumer
complaints it receives to Ramsey Auto for
resolution. Each consumer has the option
of submitting the matter to binding arbitration
before the ADR Unit if an agreement cannot
be reached.
Deputy Attorney General Gina M. Betts represented
the state in this matter.
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