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8 NY Nissan Dealerships Must Pay $3.2M For Overcharging Customers: NY AG

Eight Nissan dealerships across New York—including ones in Rockland County and on Long Island—have been ordered to pay more than $3.2 million for illegally overcharging over 1,700 customers who were trying to buy out their leased vehicles, New York Attorney General Letitia James announced. 

Action Nissan, which does business as Rockland Nissan in Blauvelt, was one of the dealerships that overcharged customers, according to Attorney General Letitia James. 

Action Nissan, which does business as Rockland Nissan in Blauvelt, was one of the dealerships that overcharged customers, according to Attorney General Letitia James. 

Photo Credit: Google Maps street view

According to James, who unveiled the agreement on Tuesday, May 6, the dealerships added bogus fees or inflated prices to final invoices, forcing customers to pay more than the amount promised in their original lease agreements. 

The affected dealerships include: 

  • Action Nissan in Rockland County, which will pay nearly $158,000 to 192 overcharged customers as well as an over $47,000 penalty;
  • Bay Ridge Nissan in Brooklyn, which will pay over $23,000 to 46 overcharged customers as well as a nearly $12,000 penalty;
  • Garden City Nissan in Nassau County, which will pay over $824,000 to 361 overcharged customers and pay an over $89,000 penalty;
  • Huntington Nissan in Suffolk County, which will pay over $426,000 to 275 overcharged customers and a nearly $90,000 penalty;
  • Legend Nissan in Syosset in Nassau County, which will pay over $333,000 to 233 overcharged customers and a $20,000 penalty;
  • Rockaway Nissan in Queens, which will pay nearly $310,000 to 177 overcharged customers and pay a $44,250 penalty;
  • Smithtown Nissan in Suffolk County, which will pay over $643,000 to 321 overcharged customers and pay an over $80,000 penalty;
  • Teddy Nissan in the Bronx, which will pay over $108 to 156 overcharged customers and an over $35,500 penalty. 

The overcharges stemmed from deceptive end-of-lease buyout practices, where customers were promised a set purchase price but were instead charged “administrative fees,” “dealership fees,” or falsely increased prices, according to the Attorney General’s investigation.

"These car dealers misled their customers with bogus fees and other costs to cheat them out of their hard-earned money," James said. 

The dealerships have already started mailing full restitution checks to affected customers and have agreed to reform their invoicing practices going forward, according to James. 

This latest action brings the total number of Nissan dealerships held accountable by the Attorney General’s Office to 15, with more than $4.5 million in restitution and over $1 million in penalties secured for more than 2,800 New Yorkers.

Consumers who believe they were affected by deceptive lease buyout practices are encouraged to file a complaint online with the Attorney General’s Office.

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