State Consumer Protection is the case with Alaska car dealers

Alaska Attorney General David Marquez announced Friday that the Main Division of Law, brought an authorization for a ruling on the settlement agreement a year of investigation Lithia car dealers in Alaska for breaches of Alaska’s protection laws consumers. The State and Lithia auto dealers in Anchorage, Fairbanks and Wasilla to an agreement of the ruling requires that Lithia to pay a civil fine of $ 500000 to the
The state and additional funds for restitution for consumers, were the damage caused by the smuggling of behaviour.

The investigation focused on two issues. The first was Lithia the alleged practice of charging fees “administrative” or “document preparation” fee turnover in all its vehicles. These costs, called “doc prep fees” in the industry, are nothing other than benefit merchants and consumers often confuse with these honorary titles, licensing and registration fees of the DMV. 45.25.440 Statutes of Alaska Alaska prohibits auto dealer doc fees from charges unless they are made in the price of the vehicle. Lithia expressed loan, the repayment of this fee, normally $ 200.00 for all consumers, a vehicle purchased by Lithia on or after 1 October 2002, when the tax was paid more than one prize announced.

The second question focuses on Lithia’s alleged omission of certain information to consumers, purchased second-hand vehicles. Alaska law requires that all car dealers for redress of accidents and information from consumers, in vehicles of commerce, and then sends this information to potential buyers. In addition, the law requires disclosure traders clear of second-hand vehicles, Alaska’s lemon law does not apply to sales of used vehicles, a manufacturer must not apply the guarantee and, where appropriate, regardless whether the vehicle was manufactured for sale in a foreign country, including Canada.

We believe that this resolution offers considerable advantages for consumers because it requires the full redress for consumers, have been misunderstood by the payment of a fee, if they should not doc. It also offers a simplified procedure for consumers to make claims for reimbursement, if they believe they have been a shame Lithia failure to disclose important information on the sale of used cars, “said Marquez.

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