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

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;

New Jersey Used Car Lemon Law Statute and Regulations

t shall be an unlawful practice for a dealer:

To misrepresent the mechanical condition of a used motor vehicle;b. To fail to disclose, prior to sale, any material defect in the mechanical condition of the used motor vehicle which is known to the dealer;

To represent that a used motor vehicle, or any component thereof, is free from material defects in mechanical condition at the time of sale, unless the dealer has a reasonable basis for this representation at the time it is made;

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