What is Bait and Switch

What is Bait and Switch 

Bait-and-switch is a form of fraud used in sales.   Customers are “baited” by merchants’ advertising products or services at a low price, but when customers visit the store, they discover that the advertised goods are not available, or the customers are pressured by sales people to consider similar, but higher priced items.

Are there any regulations dealing with bait and switch 

New Jersey has a group of regulations dealing with bait and switch.
www.njconsumeraffairs.gov/Statutes/Consumer-Fraud-Act.pdf 
Other laws are similar,

(a) Prohibited. — A person may not advertise for sale merchandise, commodities, or service through an advertisement describing the merchandise, commodities, or service:

(1) As part of a plan or scheme with the intent not to sell the merchandise, commodity, or service at the advertised price; or

(2) With the intent not to sell the merchandise, commodity, or service.
Typical Cases 

Laster v. T-Mobile USA, Inc.

407 F. Supp. 2d 1181 (S.D. Cal. 2005)     Holding that “bait-and-switch” advertising tactic suffices to establish injury  consumers were lured in with advertisements for free or deeply discounted services

 

Have you been deceived by a bait and switch practice.

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CABLE COMPANY OVERCHARGES

Angry woman sitting on stairs and using tablet

When you get promised one rate and charged another, it’s frustrating. When it happens to thousands of customers getting service from the same company all at once, it’s probably a sign of a systematic problem. And one report now says thousands of AT&T and DirecTV customers have been complaining about exactly that for years.
When CBS News went digging, it found more than 4,000 complaints against AT&T and DirecTV (the two merged in 2015) over the last two years relating to overcharges, deals, and promotional pricing gone awry.
https://www.consumerreports.org/consumerist/att-directv-reportedly-overcharged-thousands-of-customers/

If you have been deceived by your cable company, you may be entitled to compensation.

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False or Worthless Warranty Claim

Woman with broken car

A lawsuit claims that a New Jersey-based auto dealer that specializes in high-end used cars sold customers warranties that did not exist and pocketed the thousands of dollars customers paid for them.

The suit alleges that the firm and its employees pushed and sold the warranties to unsuspecting car buyers for years. Some customers claim they only learned the warranties were no good when they tried to use them after their vehicles developed problems.

Complaints about worthless or deceptive warranties are common.

Several laws can be violated,

1) New Jersey Consumer Fraud Act prohibiting deception, unconscionable practices, and fraud,

2. New Jersey Used Car Lemon Law,

3. Federal Magnuson Moss Act.

Call (973) 598-1980 for a Free Consultation on Your Warranty Claim

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Cablevision and Starz Claims

 

Broken Air Conditioning

 

Many customers were promised certain benefits but find they are charged a rate without receiving promised services.  Customers have been paying for Starz but not receiving it.  The reasons for the dispute have been debated by each side.   One media outlet discusses the positions of each,

“Starz and Encore channels went dark on Altice USA cable systems in New York area as the new year dawned and the sides failed to come to terms on a new carriage agreement.  Altice said in a statement that Starz refused the MVPD’s efforts to set a short-term contract extension while negotiations continued past the midnight ET deadline. Starz said it remained open to negotiations and blamed Altice for yanking the channels.

Altice USA, which serves about 4.9 million subscribers in the New York area as well as in Midwestern states, maintains that Starz is seeking rate hikes that would force Altice to charge its subscribers more than the cost of Starz’s stand-alone streaming service.

“We are focused on providing the best content experience for our customers and continually evaluate which channels meet their needs and preferences relative to the cost of the programming imposed by content owners,” Altice USA said in a statement. “Given that Starz is available to all consumers directly through Starz’ own over-the-top streaming service, we don’t believe it makes sense to charge all of our customers for Starz programming, particularly when their viewership is declining and the majority of our customers don’t watch Starz.”

Altice emphasized that subscribers who want Starz-Encore can easily access the programming by subscribing to the streaming app directly from Starz. Starz counters that it has been able to set carriage pacts with MVPDs including Verizon Fios and Hulu’s digital channel package service in recent months. Altice is said to have offered to package Starz as an a la carte streaming option with its broadband service.

Starz Channels Go Dark in New York Area Amid Altice USA Contract Fight
Our office is looking at claims and a class action.  Call for a Free Consultation

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CALL FOR A FREE CONSULTATION ON YOUR CABLEVISION BILL

Bait and Switch: Verizon and Cell Phone Carriers

Consumers have alleged that some cell-phone plans are misleading, and that promised saving do not occur, a type of bait and switch.   Our office is handling bait and switch claims under the New Jersey Consumer Fraud Act and other law.   How are bait and switch claims evaluated.

Availability of advertisement   In the best circumstance, a misleading advertisement can be located and shown to be misleading.

Deception  What is the fraud or deception.   Courts distinguish between puffing, general statements about benefits from fraud, a false misrepresentation of fact.

 

Free Consultation on Cell-phone Bait and Switch Claims

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Bait and Switch: New Jersey Regulations, 13:45A-26A.4

DID YOU GO TO A DEALER AND FIND THAT THE ADVERTISED CAR WAS SOLD OR UNAVAILABLE.  IF SO, YOU MAY BE ENTITLED TO COMPENSATION.

The following motor vehicle advertising practices constitute “bait and switch” and are prohibited and unlawful:

You told me the car was at the dealership.

1. The advertisement of a motor vehicle as part of a plan or scheme not to sell or lease it or not to sell or lease it at the advertised price. 2. Without limiting other means of proof, the following shall be prima facie evidence of a plan or scheme not to sell or lease a motor vehicle as advertised or not to sell or lease it at the advertised price:

i. Refusal to show, display, sell, or lease the advertised motor vehicle in accordance with the terms of the advertisement, unless the vehicle has been actually sold or leased during the period of publication; in that case, the advertiser shall retain records of that sale or lease for 180 days following the date of the transaction, and shall make them available for inspection by the Division of Consumer Affairs.

ii. Accepting a deposit for an advertised motor vehicle, then switching the purchaser to a higher-priced motor vehicle, except when the purchaser has initiated the switch as evidenced by a writing to that effect signed by the purchaser. Failure to make delivery of an advertised motor vehicle, then switching the purchaser to a higher-priced motor vehicle; except when the purchaser has initiated the switch as evidenced by a writing to that effect signed by the purchaser. N.J.A.C. 13:45A-26A.4

We wanted the first car which should have cost 4,000 less as advertised.

Links 

Bait and Switch: New Jersey Regulations, 13:45A-26A.4
(text of New Jersey regulations dealing with automobile bait and switch).

Bait and Switch: Verizon and Cell Phone Carriers
(misleading cellphone solicitations).

 

DECEIVED, CALL (973) 598-1980 FOR A FREE CONSULTATION ON YOUR CLAIM

 

New Jersey Used Car Dealer Fined for Consumer Fraud and Deceptive Advertising

businessman signing a contract

 

A Morris County auto dealer has been fined for violating consumer-protection laws following legal action brought by the Attorney General’s Office and the New Jersey State Division of Consumer Affairs.

The state’s 10-count complaint, filed in March, alleged that the dealer and its manager, ., violated the Consumer Fraud Act, motor vehicle advertising and automotive sales regulations and the Used Car Lemon Law and other regulations by advertising used motor vehicles for sale without disclosing to consumers the vehicle’s prior damage or prior use; selling vehicles “as-is” when they qualified for a warranty; and permitting third parties to advertise, offer for sale or sell used motor vehicles on Craigslist that were titled to the dealership.

Consumers purchasing defective or misrepresented vehicles may be entitled to compensation.  Claims can be filed under the New Jersey Consumer Fraud Act, federal Magnuson-Moss Act and other lemon law.

Related Pages

Fraud Claims against Automobile Dealers

New Jersey Used Car Dealer Fined for Consumer Fraud and Deceptive Advertising

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Call (973) 598-1980 for a Free Consultation 

 

 

 

Fraud Claims against Automobile Dealers

Frustrating Phone Conversation

Several types of claims may be filed against automobile dealers in New Jersey.

1. New Jersey Consumer Fraud Act

The law prohibits any unconscionable commercial practice, deception, fraud, false pretense, false promise, misrepresentation.  N.J.S.A. 56:8-2.  Typical examples are,

  • false advertising,
  • bait and switch
  • failure to provide deal paperwork

2. Breach of warranty and lemon law

Other claims may involve defective vehicles.   The vehicle may have a salvage history or significant problems, and be repaired without disclosure. .

Auto accident involving two cars on a city street

Claims may involve breach of express warranty, or the used car lemon law.

PROBLEM WITH A DEALER, CALL FOR A FREE CONSULTATION.

 

A vehicle may have been damaged in an accident or a salvage vehicle.

 

Here is a partial list of New Jersey new used car car dealers.  We may have filed claims against dealers on this list or been aware of other claims filed.*

Nissan

Autoeastern Nissan, Englewood Cliffs, New Jersey
Hudson Nissan, Jersey City, NJ
Lynns Nissan, Stanhope, Bloomfiled, NJ
Pine Belt Nissan, Keyport, NJ
Route 23 Nissan, Butler, NJ
Sansone Galleria, Woodbridge, NJ

Chevrolet

Global Auto Mall, Plainfield, NJ
Paramus Chevrolet, Paramus, NJ

General Used Car Dealer

Autobahn, South Hackensack, NJ
Europlus Motorsport, Somerset, NJ
Foreign Auto Imports, Irvington, NJ

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FREE CONSULTATION ON YOUR CONSUMER FRAUD CLAIM.   Call (973) 598-1980

*Listing is not intended to express a statement about any individual transaction or the dealership overall, but consumers with complaints should evaluate seeing an attorney about their rights.

 

 

NEW JERSEY USED CAR FRAUD CLAIMS

Frustrating Phone Conversation
No, the manager didn’t call me back, and this is my 5th call.

Used car purchasers can be defrauded in many ways.  There are several types of claims to understand.
 
1. Auto Fraud

The New Jersey Consumer Fraud Act prohibits deception, fraud, and false statements.  Documentation is helpful for dealers readily deny misrepresentation.

2. Breach of Warranty 

Express warranties are based on the failure to repair the car within the time period promised.  Claims may be filed against the warranty company and dealer, who sometimes blame each other.   The amount may help determine whether a lawyer is needed or the case is one for small claims court.  It is helpful to get an estimate and breakdown of the problem and have the warranty papers available.

car-1751750_960_720

3. False Advertising and Bait and Switch  

New Jersey has regulations which govern automobile advertising.  See www.lemonlawclaims.com/new-jersey-consumer-fraud-act-regulations-
Claims are easier when a specific regulation has been violated.

businessman signing a contract

New Jersey Automobile Regulations

N.J.A.C. 13:45A-26A.6 details the disclosure requirements for advertising new and used motor vehicles for lease. In all written advertisements the information required by the rule must be in at least 10 point type and easy to read and understand. There are size and readability specifications if the advertiser elects to use a full disclosure format in a written advertisement. The section also details requirements for an advertisement that is not in writing, sets forth requirements for a required toll free number, and describes the information that must be provided through the toll free number. It is an unlawful practice to omit the information required by the rule.

N.J.A.C. 13:45A-26A.7 describes advertising practices that are unlawful. N.J.A.C. 13:45A-26A.8 concerns credit and installment sale advertising of motor vehicles, detailing the information required to be included and describing the practices that are unlawful. N.J.A.C. 13:45A-26A.9 outlines the dealer’s on-site disclosure requirements and details what and where information relating to an advertised motor vehicle must be provided. Dealers are barred from advertising a new motor vehicle that does not have the Monroney label, if required by the Automobile Information Disclosure Act, 15 U.S.C. § § 1231 through 1233. It is an unlawful practice to fail to comply with the disclosures required by the rule.

N.J.A.C. 13:45A-26A.10 requires that an advertised vehicle must be available on premises or there must be a record of its sale during the period of publication. If a motor vehicle is sold or leased during the period of publication, the advertiser must so notify consumers who inquire by telephone. It is an unlawful practice to fail to comply with the rule.

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Call 973 598-1980 For a Free Consultation

We handle claims in Essex, Morris, Bergen, Passaic, Counties and throughout New Jersey

 

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