Settlement Reached in New Jersey Automotive Sales Fraud Cases

On Behalf of | Oct 8, 2019 | Firm News |

Three separate investigations involving alleged consumer fraud by several auto dealers and online retailer of automotive parts and accessories recently reached settlement. The cases involved complaints by consumers regarding misrepresentations of vehicle prices, dealer-installed options, aftermarket merchandise and contracts, falsifications of amounts paid by purchasers and false advertising of vehicles prices. The accused were investigated for violations of Consumer Fraud Act (CFA), Used Car Lemon Law, other consumer protection laws and regulations including fair advertising laws.

Three Investigations

The three separate investigations involving alleged consumer fraud involved two North New Jersey auto dealers and a Cranbury-based online retailer of automotive parts and accessories.

Auto Mall 46 et al. Auto Mall 46 et al investigation involved investigations into automobile dealerships including Auto Mall 46, Inc., Edison Motor Sales, LLC, Hamilton Automotive Enterprises, L.L.C. Route 46 Chrysler, LLC, 46 Auto Imports, L.L.C., Route 46 Subaru, LLC and Meadowlands Auto Sales, LLC. A settlement was reached in the amount of $219,927, which included $200,000 in civil penalties. The investigation alleged that the dealerships violated the CFA and the Used Car Lemon Law and associated regulations governing the sale and advertising of motor vehicles. Auto Mall 46 et al. also agreed to enter binding arbitration through the ADR Unit to resolve seven complaints as well as any future complaints within a span of two years.

Comfort Auto Group Investigation. Comfort Auto Group LLC, doing business as Route 46 Hyundai, agreed to a $55,286 settlement, including $39,740 in civil penalties and $9,117 in consumer restitution. It was accused of violating the CFA and the Used Car Lemon Law including failure to provide written warranty required by law and failing to include mandatory disclosure language in advertisements.

Onyx Investigation. Onyx Enterprises Int’l Corp (“Onyx”) is an online company based out of Cranbury doing business as It agreed to a $28,696 settlement, including $16,000 in civil penalties. Onyx is accused of violating the CFA and general advertising regulations by failing to post disclosures relating to cancellation, substitution, refund and return policies. It is also accused of deceptive advertising when it represented to its customers that it guarantees “100% satisfaction” but its return policy limited returns on products it deemed were “custom.” It also represented that it guarantees “Easy Returns” on its website and confirmation emails but then made it difficult for certain consumers to return the items bought.

Under these settlement agreements, the automobile companies and online retailer involved were prohibited from engaging in any unfair or deceptive acts or practices in conducting business in the State. They must also institute business practices to comply with consumer protections laws and regulations of the New Jersey as well as federal laws.

Businesses are prohibited from using deceptive practices to intentionally mislead consumers. When consumers suffer due to the misrepresentations made, these businesses can be held liable for their wrongdoing. If you have recently purchased a used automobile and been defrauded, you may have a case against the dealership.

Philadelphia Consumer Fraud Attorneys at Harty Williams Handle Claims Involving Fraudulent Business Practices

If you have been misled by an automobile dealer recently, do not suffer alone, contact a Philadelphia consumer fraud attorney at Harty Williams today, so that you can recover for the losses incurred. Through our offices located in Philadelphia and Haddonfield, New Jersey, we serve clients in Pennsylvania and New Jersey. Contact us online or call at 267-383-3899 so that we can assist you immediately.