New Jersey Automobile Dealer Fraud

Frustrated Woman Looking At Broken Down Car Engine

A press release by the Division of Consumer Affairs discusses consumer fraud.   If you

have been a victim of consumer fraud by a dealer, you may be entitled to compensation.

NEWARK – Attorney General Christopher S. Porrino and the Division of Consumer Affairs today announced that a Middlesex County car dealership has agreed to pay $136,000 and change the way it does business in order to resolve the Division’s consumer fraud investigation of the dealership’s advertising, sales, and leasing practices.

Sansone Hyundai, Inc., located on US-1 in Avenel, entered into the settlement to end the Division’s investigation of its alleged activities, including failing to disclose the total price for certain advertised vehicles, and charging consumers for aftermarket merchandise that was listed at “no charge” on certain leases and sales contracts.

“Consumers should be able to purchase a new car without having to worry about misinformation and hidden costs,” said Attorney General Porrino.  “This settlement ensures that consumers will receive transparency and honesty from this dealership, as required by law.”

​“Dealerships must fully disclose all costs and fees associated with the purchase or lease of a vehicle before consumers sign on the dotted line,” said Steve Lee, Director of the Division of Consumer Affairs.  “We will continue to enforce the laws and regulations in place to ensure consumers have the facts they need to make informed decisions.”

In a Consent Order with the Division, Sansone Hyundai, among other things, agreed to:

  • comply with all applicable state and/or federal laws, rules, and regulations, including the Consumer Fraud Act, the Motor Vehicle Advertising Regulations, the Automotive Sales Regulations, and the Consumer Leasing Act;
  • not misrepresent the terms and conditions of any financing or lease plan;
  • not add and charge for aftermarket merchandise, such as window etch or service contracts, without consumers’ knowledge and/or authorization;
  • not represent to consumers that certain dealer-installed options and/or aftermarket merchandise are mandatory when, in fact, they are not;
  • not sell consumers aftermarket merchandise that overlaps or provides similar benefits in part to merchandise the consumer has already purchased through the lease or sale transaction;
  • accurately reflect in leases the “gross capitalized cost” as required by the consumer leasing act;
  • provide consumers with an opportunity to review all leases and/or sales documents and/or aftermarket contracts prior to signing; and
  • not identify the advertised prices of a motor vehicle by reference to the MSRP sticker, when the motor vehicle includes an addendum to the MSRP sticker that reflects a higher total price.

Sansone Hyundai also agreed to make a $136,250 settlement payment to the State.

Investigator Patrick Mullan, of the Division of Consumer Affairs’ Office of Consumer Protection, conducted this investigation.

​ Deputy Attorney General Cathleen O’Donnell from the Consumer Fraud Prosecution Section within the Division of Law represented the State in this matter.

Fraud Claims against Automobile Dealers


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


A vehicle may have been damaged in an accident or a salvage vehicle repaired and then resold without disclosure.

Broken car

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.*


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


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

Man in home office on telephone using computer smiling

*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.



Powered by

Up ↑