The July settlement additionally alleged the three Grieco shops violated the Misleading Commerce Practices Act, charging prospects extra for automobiles than the worth marketed on their web site, later including addendum charges and describing automobiles obtainable at “public sale” or “wholesale” costs in February and March 2022. The Rhode Island Division of Motor Automobiles prohibits sellers from utilizing the world “wholesale” and implying automobiles are being offered at a seller’s value. Grieco disagreed with allegations relating to the addendum charges.
The settlement prohibits the dealerships from charging prospects for services or products with out categorical knowledgeable consent. In addition they can’t promote a automobile worth that varies from the worth in its ads.
The three Grieco dealerships voluntarily agreed to implement many of those modifications after Neronha filed swimsuit in 2022, although they “consider they’ve persistently complied with the very best moral enterprise requirements,” in response to the July 26 assurance of voluntary compliance doc. Grieco didn’t conform to allegations of wrongdoing and stated an promoting firm it employed was answerable for guaranteeing its adverts met laws.
Grieco dealerships stated shoppers who did not need to purchase a fundamental Zurich Protect product may have the price deducted from their buy worth and that most often, the price was disclosed on a supplemental window sticker on every automobile. In addition they stated shoppers did obtain categorical knowledgeable consent for the product and that pricing changes had been disclosed in added window stickers.
The three shops are a part of Grieco Automotive Group, which has different shops promoting Acura, BMW, Chevrolet, Ford, Mazda, Mercedes-Benz and Nissan and in addition has areas in California, Florida and Massachusetts. Mike Grieco Jr., CEO, was a 2013 Automotive Information 40 underneath 40 honoree.
This settlement is a part of Neronha’s work to guard retail automotive shoppers from unfair and misleading commerce practices corresponding to junk charges and undesirable add-on merchandise, his workplace stated. It stated Neronha is working to cease dealerships from refusing to honor automobile costs listed on dealership web sites and window stickers.
