Alabama Attorney General Luther Strange was granted a temporary restraining order against the owners of a used-car dealership, as well as permission to seize the dealer’s property.
Two used-car dealerships and their owner reached a settlement this month with the Department of Justice and the state attorney general. The settlement resolves a lawsuit that alleged the dealerships charged African American buyers more for loans and repossessed vehicles without reasonable notice.
The lawsuit, which charged the F&I product provider with violating three consumer-protection laws for the way it handled service-contract cancellations and refunds, was dismissed 90 days after it was filed.
Massachusetts Attorney General Martha Coakley has ordered Santander Consumer USA to produce documents related to its subprime auto lending business. The AG said she is also looking into the practices of a handful of other auto lenders.
An investigation of a Toyota dealership in Kingston found that 27 customers were charged an additional undisclosed $650 fee when they purchased their vehicle at the end of the lease. No additional services were provided for payment of this fee.
The owner of Edge Auto Sales used personal identifying information from customer credit applications to forge dozens of fraudulent auto loans and fabricate the existence of two dealerships.
An investigation found that South Auto Sales required consumers financing their vehicle purchase to sign a preprinted repossession waiver that violated state law.
Four affiliated dealerships in western Massachusetts have agreed to pay $175,000 over six months to resolve allegations that they regularly published misleading advertising and failed to follow through on sales prices and promotions.
The Idaho Attorney General has reached an agreement with a dealership that will prohibit it from engaging in harassing debt collection or repossession acts or practices. The dealership also resolved several consumer complaints.
The used-car dealer is accused of selling vehicles with mechanical defects, charging illegal fees and repossessing vehicles without the required legal notices. Twenty-two formal complaints were made against the dealer by the time the suit was filed.
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