New York Paralegal Blog

BUFFALO, N.Y. (August 27, 2009) - Attorney General Andrew M. Cuomo today announced that his office has obtained a court order and settlement agreement amounting to a combined $70,000 in fines and costs against two Buffalo-area car dealers for deceptive and misleading advertising regarding the federal Car Allowance Rebate System (“CARS” or “Cash for Clunkers”). Cuomo’s office took the action after Basil Resale Sheridan and Basil Toyota failed to abide by cease-and-desist letters recently sent to the two dealerships and nearly 40 others across the state. “My office sent out letters to dealerships in order to give them a chance to correct their misleading advertisements,” said Attorney General Cuomo. “Unfortunately, these two companies failed to abide by the law and continued to try to lure consumers with misleading information about the federal program. All car dealerships must comply with the advertising guidelines in order to ensure a marketplace that is fair for both consumers and...

ALBANY, NY (August 10, 2009) - Attorney General Andrew M. Cuomo today announced that his office has issued cease-and-desist letters to nearly 40 auto dealers across New York state whose advertisements for the new federal Car Allowance Rebate System (“CARS” or “Cash for Clunkers”) were misleading and deceptive. The Attorney General’s Office took the action after reviewing a number of advertisements from various car dealerships that omitted significant requirements that had to be met in order for a consumer to be eligible to get the rebate. These ads mislead consumers into believing that their trade-in vehicle qualifies for the program when it does not or that they are eligible for a several-thousand-dollar rebate, when they are not. The letters order all dealerships to immediately modify promotions and advertisements to clearly explain how the program works. The “Cash for Clunkers” program provides funds with which auto dealerships may credit consumers $3,500 or $4,500 for trade-ins...