PEMBROKE PARK, Fla. – Consumers who paid dealer fees when buying out a leased vehicle shouldn’t have, and they may be entitled to get their money back after a Local 10 News investigation.
Investigative reporter Jeff Weinsier first exposed this in 2022 when he focused on car dealerships charging customers undisclosed fees when buying out a lease.
The stories got the attention of the Florida Attorney General’s Office. Johnny Kane was among the victims during the pandemic when dealers had few cars to sell and there was record demand for buyouts.
“I felt like I was being ripped off and that is not a good feeling,” Kane said.
Juan Carlos Beltran, who was among the victims, said he was hit with fee after fee — not disclosed in the original lease contract. There were dealer prep fees, filing fees, pre-delivery service fees, and doc fees.
The OAG launched an official investigation into Florida dealerships allegedly charging fees not disclosed in the original lease agreement.
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Dealers’ employees told customers the cars needed to be inspected, repaired, and certified to charge a higher purchase price than the buyout price disclosed in the original lease.
Without an admission of guilt, Lexus of Clearwater agreed to pay $73,000 and Gunther Motor Company agreed to pay $600,000 to settle the cases. Both must refrain from imposing any fees not disclosed in the original lease during the lease buyout process.
Gunther’s attorney released a statement, saying “Gunther Motors is glad to have collaborated with our state regulators and its customers to work through the issues. A resolution was reached that ensures all necessary parties were taken care of, and the matter is now resolved.”
Insiders say the OAG rarely takes cases against dealers this far. In June, the Florida Automobile Dealers Association sent a letter to dealer principals: “This is to notify you that the [OAG] has advised that it intends to undertake enforcement action against motor vehicle dealers in connection with advertising. For 20 years, the OAG has taken a predominately hands off approach with respect to advertising. That is about to change.”
Florida law requires the “advertised price must include all fees or charges.”
The customers who bought out a lease from a Gunther dealership from November 2018 to the present, should receive a form by mail from the OAG to fill out.
To report a case of illegal lease buyout fees, contact the OAG fraud hotline at 1-866-966-7226 or visit this page. To file a complaint against a dealership, also contact the Federal Trade Commission online using their complaint assistant portal, the Better Business Bureau, and the Florida Department of Agriculture and Consumer Services.
RELATED LETTER
Section of settlement
The settlement
Settlement with Lexus of Clearwater, Lexus of Tampa