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Overview of Selected Consumer Laws | California's Consumers Legal Remedies Act

The Consumers Legal Remedies Act ("CLRA")

          The largest complaint by consumers in the purchase of goods and services is being misled by unscrupulous dealers and/or salespersons who make false or misleading claims concerning the quality, characteristics or condition of a the product, such as new and used automobiles, boats, and R.V.'s, or false or misleading representations concerning the benefits or terms of a sales contract, service contract, or other consumer product or service.

          Fortunately, California Consumers are protected against these unfair methods of competition and unfair or deceptive acts or practices by the CLRA.  Under this law, misrepresentations, even innocent ones, concerning a matter of significance as to the characteristics, ingredients, uses, benefits, quality, rights, certification, geographic origin, grade, and others, in the advertising and/or during the sales negotiations are prohibited by the Act, and the Act readily provides a remedy for damages and restitution , and to recover attorney's fees and court costs from the dealer or other business.

          This means that when the used car salesperson tells you their shop thoroughly examined the vehicle and found it to be in excellent mechanical condition, and based thereon, you agreed to buy it "As-Is", help is available. Or, when the finance manager tells you a service contract or GAP insurance is required to get financing, or the service contract covers a blown engine or transmission when it does not, or other misrepresentations were made, or required disclosures were not made, or important information was concealed, a remedy is available.

          This means that when a dealer is guilty of advertising goods or services with intent not to sell them as advertised, such as advertising a low price for the car on-line, and then revealing you have to pay more for extra add-ons when you show up, or other "bait and switch" tactics, a remedy is available.

          This means that when the new car salesperson/finance manager tells you the car was never in an accident but it was, is new, when in fact it was a demonstrator, or worse, that it was previous sold once to someone whose financing did not go through, or other disclosures required by law were not made, a remedy is available.

          This means that, as of July 1, 2024, when the dealer is guilty of advertising, displaying, or offering a price for a good or service that does not include all mandatory fees or charges, except tax & license, a remedy is available.

     

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