26-239 C.M.R. ch. 105, § 2 - Misrepresentation of Charges

It is prima facie evidence of an unfair trade practice for a dealer to misrepresent, directly or indirectly, the service, product or extra charge for which payment is requested or listed.

Comment

A dealer misrepresentation which could violate this rule occurs when a dealer asks or lists an extra charge for preparation services that the franchiser already reimburses him for. A dealer who wishes to simply ask for more than the Monroney "sticker" price (the manufacturer's suggested retail price), but is not charging for a specific service or product, can label this higher price with a phrase such as "Dealer's Asking Price." Rule 105.2 would be violated if, when questioned on what the "Dealer's Asking Price" meant, the dealer told a customer it was for preparation services. The dealer must disclose the truth (i.e., the charges represents additional dealer profit).

Notes

26-239 C.M.R. ch. 105, § 2

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