Nissan Dealers Fined $3.2M for End-of-Lease Scams in NY

New York – In a crackdown on deceptive practices, New York Attorney General Letitia James has secured over $3.2 million from eight Nissan dealerships across the state for defrauding consumers during end-of-lease buyouts.

The affected dealerships include Action Nissan, Bay Ridge Nissan, Legend Nissan, Garden City Nissan, Huntington Nissan, Rockaway Nissan, Smithtown Nissan, and Teddy Nissan. These dealers were accused of overcharging more than 1,700 customers who wanted to purchase their leased vehicles, adding unnecessary fees or falsely inflating vehicle prices.

Under the agreements, these dealerships will pay $400,000 in penalties and a total of $2.8 million in restitution to consumers. Attorney General James has recovered over $4.5 million for New Yorkers in related lease overcharge schemes since the investigation began.

The OAG launched an investigation following reports that customers were charged excessive fees or given incorrect invoices for their end-of-lease transactions. The dealerships have agreed to improve their invoicing practices and avoid such deceptive actions in the future.

Attorney General James emphasized the importance of protecting consumers from such financial shenanigans, stating, “Buying a car is a major financial decision, and no one should have to worry about dealers using illegal junk fees to drive up the price.”

New Yorkers affected by these scams are entitled to restitution without taking any action. The dealerships are mailing out checks for the overcharges.