Car dealerships aren’t known to look out for the best interests of their customers; in fact they’re usually better known for gleefully encouraging folks to make some of the worst financial decisions of their lives. LaFontaine Hyundai in Detroit suburb Livonia, Michigan, had its license reinstated last week after it was briefly suspended by the Michigan Department of State (MDOS) after the state discovered a series of violations which created “an ongoing imminent threat to public health, safety, or welfare,” including leasing used cars as new ones. LaFontaine Hyundai admitted to all MDOS violations, paid $25,000 in fines to the state, and agreed to complete a two year-long probation period in lieu of an administrative hearing, according to The Detroit News.
What deplorable deeds did LaFontaine Hyundai admit to that MDOS said created an ongoing imminent threat to public health, safety, or welfare of the public and required emergency action? All of the following: Falsely stating that a customer had not taken delivery of a vehicle in order to lease said vehicle as new to another customer, thereby misrepresenting a used car as new; failing to have a title in immediate possession with the odometer properly completed; failure to properly issue a temporary registration; failing to properly complete Michigan’s application for title and registration; and failing to make an application for title and reg in the buyers name within 21 days of vehicle delivery. The Detroit News reports,
Per the agreement, LaFontaine Hyundai of Livonia must also participate in dealer training for managers and employees within the next 90 days and will be subject to periodic unannounced inspections by MDOS regulatory staff.
“LaFontaine Hyundai Livonia’s license was reinstated this morning and the dealership resumed business,” LaFontaine Automotive Group said in a statement Friday. “The Michigan Department of State’s brief investigation concluded that this was an isolated incident on one specific vehicle resulting from a clerical error. The trust and confidence of our valued guests are our top priorities, and we approach this matter with the utmost seriousness.”
A measly $25,000 fee is likely a drop in the bucket for the dealership, but it’s better than nothing and it’s good to see a government agency cracking down on deceptive business practices. If you have been involved in deceptive dealer practices and wish to file a complaint, Google how to file criminal complaints against car dealers in your state. There is usually a DMV section dedicated to it that should provide a phone number or a website where you can lodge your complaint. As always, stay vigilant and don’t let car dealers talk you into anything that you find suspicious.