640 Violations Becomes $693K in Fines for Morris County Used Car Dealer

A used car dealership in Morris County will have to pay $693,645.91 after the New Jersey’s Division of Consumer Affairs claimed the business violated myriad laws a total of 640 times.

The state lodged a 10-count complaint in March against RLMB, Inc., better known as Bloom Auto on Route 46 in Ledgewood that included, among other things, advertising used motor vehicles for sale without disclosing to consumers prior damage or prior use; selling vehicles in “as is” condition when they qualified for warranties; and permitting third parties to advertise, offer for sale and/or sell used motor vehicles on Craigslist that were titled to RLMB.

RLMB, Inc. did not respond to the claim, which lead Judge Stephen C. Hansbury to enter a final judgment by default.

The State, in its filed complaint, alleged that RLMB:

• Failed to provide consumers with title and registration to used motor vehicles prior to the expiration of temporary title and/or registration;

• Required that consumers sign blank sales documents;

• Offered used motor vehicles for sale at the dealership location that did not have prominently displayed the Federal Trade Commission Used Car Buyers Guide, a document which, among other things, indicates whether such vehicle comes with a warranty;

• Offered for sale used motor vehicles that did not have the total selling price conspicuously posted;

• Advertised and/or offered for sale used motor vehicles through the RLMB website, without the required statement that “price(s) include(s) all costs to be paid by a consumer, except for licensing costs, registration fees and taxes;”

• Failed to itemize documentary service fees; and

• Since at least 2007, failed to pay the $.50 administrative fee for each used motor vehicle sold, as required by the UCLL and UCLL regulations.

RLMB, Inc. is now required to pay $640,000 in civil penalties, $31,200.91 in reimbursement to the state for legal and investigative costs; and $22,445 in restitution to seven customers.