VA Dealer Board Hears Complaints Of Deceptive Practices
The Virginia Motor Vehicle Dealer Board (MVDB) bi-monthly meeting on May 12 started with an unusual presentation by two pairs of consumers who had purchased vehicles with a promise of a rebate from a company offering a program known as Consumer Cash Rewards. The consumers complained about what they felt were deceptive practices on the part of the dealers who had offered the program and on the part of the company that administered the Consumer Cash Rewards program. MVDB determined to commence an informal investigation to determine guidelines to handle programs like Consumer Cash Rewards. This is a program in which the potential pay out to the customer depends on strict compliance with a complex set of requirements and a reducing payment amount based upon the overall number of redemptions.
In addition, MVDB considered a number of matters involving independent dealer violations, such as not maintaining appropriate hours, not maintaining paperwork, and similar problems. MVDB proposed a variety of penalties to seek compliance of these dealers.
The board also considered the license applications of two salespeople that had previous criminal convictions. Both salespeople appeared to give personal pleas that they be permitted to resume their careers. After great debate, MVDB determined to permit the licensing.
The meeting ended with the executive director announcing that the renovations of the board headquarters are about 90% complete. MVDB staff expects the renovations to be complete this summer.
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