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M.D. FLA.Litigation

FTC sues Greenway Automotive over hidden dealer fees and fake prize mailers, files stipulated order requiring total-price disclosure

By LexCircuit Desk · · AI-drafted, human-reviewed

The Federal Trade Commission sued Greenway Automotive, its management company and five Florida Kia and Hyundai dealerships in the Middle District of Florida on October 8, alleging deceptive pricing and fake prize mailers, and filed a stipulated order settling the case. The FTC alleged more than 92% of consumers at the Kia dealerships paid on average over $3,350 above advertised prices. The proposed order requires total-price disclosure and includes no monetary payment.

Filing (Federal Trade Commission) → · Hudson Cook, The Dealership Guy

Key points

  • The FTC complaint named Greenway Automotive, Greenway Automotive Management, and five entities operating four Kia dealerships and one Hyundai dealership in Florida.Federal Trade CommissionThe Dealership Guy
  • The complaint alleged the Kia dealerships charged a dealer fee, an administrative fee and a PTA fee to over 99% of consumers.Federal Trade Commission
  • Greenway was among 97 dealer groups sent FTC warning letters in March; the complaint alleges it kept advertising prices below what consumers paid.Federal Trade CommissionThe Dealership Guy
  • The stipulated order defines total price to include all mandatory fees, excluding only charges a government agency requires consumers to pay.Federal Trade CommissionHudson Cook
  • The proposed order has no monetary relief; Hudson Cook noted Section 13(b) does not authorize it after the Supreme Court's AMG Capital ruling.Federal Trade CommissionHudson Cook

Sources4 articles across 3 outlets

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LitigationU.S.Fla.M.D. Fla.ComplianceConsumer protectionLitigationRegulatoryFor practitionersFor governance