Multiple State Attorney Generals proceeded with litigation against Mazda for deceptive advertising. Mazda had a nationally advertised campaign in which they promoted leases. The advertisements used words like "zero down" and penny down". In reality, when consumers chose to lease such a vehicle, Mazda was charging up-front fees of as much as $ 900.00. The up-front fees included acquisition fees, security deposits and the first month's payment.
On October 28, 1996 when the Ohio Attorney General issued her press release indicating she was going to pursue Mazda for this violation, the press release indicated that this type of advertising mislead consumers into believing they could " leave their checkbooks at home and still drive away from the dealership with a new car lease."
In addition to the misleading statement regarding down payment, the Ohio Attorney General also alleged that Mazda used disclosure statements in their ads that used tiny print. The disclosure statements were inconspicuously located and used confusing and unclear language. Furthermore in the television advertisements, the disclosures were only shown briefly in the commercial and with distracting sounds and backgrounds making them literally impossible to read.
Mazda agreed to settle this lawsuit with the various state attorney generals for the sum of $ $857,500.00.
The Ohio Attorney General has promulgated specific rules to determine the size print that dealers must use in their ads. Blackstone Legal Publications, Inc., can help any dealership understand what these rules and requirements are.
