Dealer agrees to $4 million settlement over unauthorized fees

What the deal would do

The FTC and Connecticut announced the $4 million deal on August 19. The money would help repay buyers. The order would also bar false claims about car certification and factory warranty cover.

The dealer would have to make the top total price its main price. Only fees set by the government could be left out. The dealer would need clear consent before adding each fee.

What the agencies said happened

The FTC and state sued Chase Nissan LLC, known as Manchester City Nissan, and several owners and managers in January 2024. They said some buyers paid thousands in fees they did not approve.

They also said some buyers paid to certify cars that were already sold as certified used cars. They said total-loss plans were put in loan papers without the buyer's knowledge. These are claims about named parties, not findings about all car dealers.

What car shoppers can do before signing

• Ask for the out-the-door price in writing before you visit. It should list each dealer fee and extra product.
• Match that price to the sales contract and loan papers, one line at a time.
• Ask what each add-on costs, if it is optional, and what it covers.
• Stop if the price or terms have changed. Keep a full copy of every paper you sign.

A judge still must sign the order

The FTC filed the draft order in federal court in Connecticut. It becomes law only if the judge signs it.

Its price and consent terms apply to the named parties. This deal is not a new nationwide rule for every car dealer.