NEWARK, N.J. (Legal Newsline) - New Jersey Acting Attorney General John Hoffman announced two settlements on Tuesday with auto repair shops that allegedly charged hundreds of dollars for unnecessary repairs.
Hoffman's office reached settlements with American Eagle Automotive LLC, doing business as Loman Auto Sales, and Moshe's Auto Repair Corporation after they allegedly charged for unnecessary repairs, failed to conspicuously display a poster with certain consumer information and failed to provide consumers with signed copies of their invoices.
"Car maintenance and car repair are among the biggest recurring expenses in a consumer's everyday life, and most consumers lack the expertise to know whether their mechanic is cheating them by charging for repairs that are not really necessary," Hoffman said. "Our investigators went undercover to expose and penalize auto repair shops that violate the law."
American Eagle Automotive allegedly charged $1,078.10 for the unnecessary replacement of outer tie rods and a rack and pinion seal and $181.12 for the unnecessary replacement of a spark plug. Moshe's allegedly charged $250 for the unnecessary replacement of a catalytic converter.
Under the terms of one settlement, American Eagle Automotive agreed to pay $12,000 to resolve allegations it violated New Jersey's consumer protection laws. An additional $8,000 penalty will be suspended and vacated after one year if the company abides by the terms of its settlement.
Moshe's agreed to pay $7,025 to resolve the state's allegations as part of the other settlement.
Hoffman also announced $2,000 civil penalties against AAM Motor Sales LLC and Able Ford of New Jersey Inc. for allegedly failing to provide consumers with receipts or documents they signed and failing to display a poster with consumer information.
N.J. repair shops settle allegations they performed unnecessary repairs
