Peter C. Harvey, Attorney General

Division of Consumer Affairs
Reni Erdos, Director

For Immediate Release:
April 14, 2004

For Further Information Contact:
Jeff Lamm, Genene Morris
973-504-6327

NEWARK - The State has filed suit against two used car dealerships in West Orange alleging that the businesses and a corporate officer repeatedly violated the State's Consumer Fraud Act, the Used Car Lemon Law and related regulations, State Attorney General Peter C. Harvey and Consumer Affairs Director Reni Erdos announced.

The suit, filed last week in Superior Court in Essex County, seeks restitution for affected consumers from TradeLease Corporation, Antares Leasing Corporation and Daniel T. Salomon, an officer with both companies. TradeLease and Antares are both located at 5 Central Avenue in West Orange.

Based on a review of records, the State alleges that TradeLease unlawfully operated after its dealership license was revoked by the Division of Motor Vehicles in October 2002.

The State's seven-count complaint further alleges that Salomon, TradeLease and Antares:

• Did not obtain proper titles for motor vehicles purchased or leased by consumers;
  
• Converted purchase agreements to lease agreements without the consumer's knowledge or approval;
  
• Assigned the consumer's payment obligations to a lienholder and kept payments made by the consumer for themselves instead of giving it to the lienholder;
  
• Did not obtain initial and/or permanent motor vehicle registration for consumers;
  
• Did not issue written motor vehicle warranties as required;
  
• Refused to honor warranties and/or service contracts; and
  
• Did not pay all fees required by the Used Car Lemon Law and Used Car Lemon Law regulations.

Consumer Affairs has received a number of complaints against TradeLease and Antares.

"We allege that Mr. Salomon and these two dealerships repeatedly violated the State's Consumer Fraud Act, Used Car Lemon Law and related regulations," Attorney General Harvey said. "We're seeking restitution for the consumers and imposition of fines for the alleged violations."

"Our investigation resulted from consumers who came forward and told us about their problems," Director Erdos noted. "We have no tolerance for dealerships that cheat and deceive consumers."

In addition to restitution for consumers, the State is seeking correction of all motor vehicle registration and/or title issues; payment of its costs and fees in investigating this matter; and payment of all outstanding Used Car Lemon Law fees.

Salomon, a resident of East Hanover, is listed as vice-president of TradeLease and as an officer and registered agent of Antares. The defendants face a $10,000 fine for their initial violation of the Consumer Fraud Act and up to a $20,000 fine for each subsequent violation.

Deputy Attorney General Sharon Hussong Moscato is handling this matter on behalf of the State.