Law & Justice

Ledgewood Used Car Lot Sued by State

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ROXBURY, NJ – A used car dealer in Ledgewood didn’t tell customers the vehicles it was selling had been damaged, according to a lawsuit by the state Division of Consumer Affairs (DCA).

The allegation against RLMB, Inc. is one of many included in the lawsuit filed in state Superior Court. The DCA also asserts the dealership sold vehicles “as is” when they qualified for a warranty. Additionally, the business allowed “third parties” to use Craigslist to sell vehicles that were titled to RLMB, said the DCA.

“This is just the latest of a number of recent enforcement actions involving the advertisement and sale of used motor vehicles,” said Acting State Attorney General John J. Hoffman in a statement. “We will continue to protect buyers of used motor vehicles by making certain that dealers provide information as to prior use and damage to help the consumer determine the actual value of a vehicle.”

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The DCA’s ten-count complaint says RLMB and its manager, Michael Bloom, violated the Consumer Fraud Act, motor vehicle advertising regulations, automotive sales regulations, the Used Car Lemon Law (UCLL) and UCLL regulations.

The state wants RLMB to pay restitution to customers, reimburse attorneys’ costs and pay civil penalties of up to $10,000 for each violation.

Included in the DCA action are allegations RLMB failed to provide its customers with titles and registrations before their temporary titles and/or registrations expired. It also claims RLMB forced consumers to sign blank sales documents.

Other assertions in the case allege RLMB failed to display on used vehicles the required Federal Trade Commission Used Car Buyers Guide, “a document which, among other things, indicates whether such vehicle comes with a warranty.” Additionally, cars for sale at the lot didn’t always have the total selling price conspicuously posted, claims the DCA.

The state said the RLMB website failed to include the required statement that “price(s) include(s) all costs to be paid by a consumer, except for licensing costs, registration fees and taxes.” RLMB did not itemize document service fees it charged customers and, for at least eight years, failed to pay the required 50 cent administrative fee for each used car it sold.

“We intend to hold RLMB and Bloom accountable for the deceptive practices that we alleged in our complaint,” said acting DCA director Steve Lee in announcing the lawsuit. “We want to make certain that consumers receive all appropriate disclosures as to warranty, price, prior vehicle use and damage, so that they can make an informed decision when buying a used car or truck.”

The DCA is asking people who bought used vehicles from RLMB and had problems to file a DCA complaint by visiting its website or by calling 800-242-5846 or 973-504-6200.

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