- Maryland’s AG has accused DARCARS Honda of “unfair and deceptive sales practices.”
- The dealer allegedly added a 2% fee to vehicle prices, labeling it as a “sales commission.”
- The AG claims cars were fitted with undisclosed “unwanted equipment and products.”
Shady tactics are hardly novel in dealership circles, but authorities are cracking down on these practices to shield consumers. The latest target is a Maryland Honda dealership, accused of violating consumer protection laws through “unfair and deceptive sales practices”.
The dealership in question, located at 2260 Crain Highway in Bowie, Maryland, is facing serious allegations. Maryland Attorney General Anthony Brown has charged DARCARS Honda, its parent company, and its owners with engaging in “unfair or deceptive trade practices at nearly every stage of their new vehicle sales process.”
More: Five Nissan Dealerships To Pay $1.9 Million For Allegedly Ripping Off Customers
The lawsuit filed by the AG’s office alleges that the dealership added an extra 2 percent to the vehicle sales price, misleadingly labeled as a “sales commission,” which did not actually go to the salesperson. Additionally, customers were not informed that this fee was optional.
The Attorney General has also accused the Honda dealer of deceptively charging consumers beyond the advertised sales price, including significant charges for pre-installed equipment and dealer markup. Additionally, cars were loaded with unwanted equipment and products that were not clearly disclosed or itemized, violating legal requirements.
Finally, the lawsuit claims that additional products such as the “DARCARS Assurance” and the “DARCARS Protection Plan” were financed in an unlawful manner, further inflating the vehicle’s price.
According to Auto News, a spokesperson from DARCARS Honda stated that the case “is not supported by the record or the facts,” and expressed the dealership’s readiness to combat these “baseless claims.” The spokesperson also noted that “over the past two years, Honda of Bowie has cooperated fully with the Maryland Attorney General to respond to its request for information and address its concerns.”
The Consumer Protection Division of the Maryland Attorney General is seeking “an injunction to stop the alleged violations as well as the payment of restitution, economic damages, penalties, and costs”. A hearing is set for October 29. If found guilty, DARCARS Honda could face penalties up to $10,000 per violation and may be required to issue refunds to affected customers.
