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Commission warns franchise dealers after repeated complaint history; staff recommends stronger penalties up to revocation
Summary
Following recurring complaints about late payoff of trade-ins, delayed titles, and poor responses to consumers, staff recommended substantial fines for two franchised dealerships and warned that future violations could prompt suspension or revocation of licenses.
The Motor Vehicle Commission's legal committee reviewed two related franchise‑dealer files (cases 103 and 104) and recommended substantial civil penalties, probationary terms, and a path to suspension or revocation if the dealerships do not promptly remedy repeated failures to pay trade‑ins, deliver titles, or respond to staff.
Staff told commissioners the two dealerships share ownership, operate adjacent lots, and have multiple prior disciplinary actions dating back to 2024. Commissioners highlighted aggravating factors including repeated customer complaints that staff had been provided false assurances (for example, customers told "we've put the check in the mail" when payoffs had not been made), and the resulting consumer credit and financial harm. Several members said fines should be large enough to get the owners' attention and discussed adding consent‑order terms making continued noncompliance a trigger for license suspension or revocation.
Staff said it would include terms in a consent order that would make additional verified violations within a 6‑month period grounds for recommending immediate suspension and appearance before the commission. Commissioners agreed staff should make the next steps clear to the dealers, including the possibility of revocation if problems persist.
