Delaware News

ATTORNEY GENERAL CARL C. DANBERG ANNOUNCES SETTLEMENT WITH A NATIONAL MARKETING GROUP REGARDING MISLEADING AUTO ADVERTISING

Criminal Division | Department of Justice | Department of Justice Press Releases | Date Posted: Friday, September 22, 2006



(Wilmington, DE) Attorney General Carl C. Danberg announced today that Delaware
joined with nine other States in reaching an agreement with a national marketing group whose
deceptive auto sale advertisements misled consumers. The States alleged that two Ohio
corporations, Gunning & Associates Marketing Inc. and Fleet Liquidators of America, Inc., also
known a National Fleet Liquidators and G & A Marketing, created sales campaigns and advertising
that misled consumers about the reasons for the sales and supposedly low prices. The companies
did not admit that they violated the law.
The States investigated promotions leading up to the auto sales and how the sales were
conducted. Investigators found that Gunning & Associates contracted with dozens of dealerships
throughout the United States and received percentages of both the “front end” and “back end”
profit for each vehicle sold.
“Not only is this a good settlement for car-buying consumers everywhere but it sends a
strong message to those ‘copy cat’ companies operating throughout the United States to stop the
practice and avoid being prosecuted by law enforcement,” Attorney General Danberg said.
Under the agreement, the companies will change the way they do business and
permanently refrain from misleading and deceptive advertising. In addition, the companies will pay
$300,000 to the States for consumer restitution, costs, education and other consumer protection
purposes. As no Delaware consumers were harmed by these campaigns, the $32,500 that will be
paid to Delaware will be used for investigation and prosecution of consumer fraud and deceptive
trade practices and consumer education.
# # #

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ATTORNEY GENERAL CARL C. DANBERG ANNOUNCES SETTLEMENT WITH A NATIONAL MARKETING GROUP REGARDING MISLEADING AUTO ADVERTISING

Criminal Division | Department of Justice | Department of Justice Press Releases | Date Posted: Friday, September 22, 2006



(Wilmington, DE) Attorney General Carl C. Danberg announced today that Delaware
joined with nine other States in reaching an agreement with a national marketing group whose
deceptive auto sale advertisements misled consumers. The States alleged that two Ohio
corporations, Gunning & Associates Marketing Inc. and Fleet Liquidators of America, Inc., also
known a National Fleet Liquidators and G & A Marketing, created sales campaigns and advertising
that misled consumers about the reasons for the sales and supposedly low prices. The companies
did not admit that they violated the law.
The States investigated promotions leading up to the auto sales and how the sales were
conducted. Investigators found that Gunning & Associates contracted with dozens of dealerships
throughout the United States and received percentages of both the “front end” and “back end”
profit for each vehicle sold.
“Not only is this a good settlement for car-buying consumers everywhere but it sends a
strong message to those ‘copy cat’ companies operating throughout the United States to stop the
practice and avoid being prosecuted by law enforcement,” Attorney General Danberg said.
Under the agreement, the companies will change the way they do business and
permanently refrain from misleading and deceptive advertising. In addition, the companies will pay
$300,000 to the States for consumer restitution, costs, education and other consumer protection
purposes. As no Delaware consumers were harmed by these campaigns, the $32,500 that will be
paid to Delaware will be used for investigation and prosecution of consumer fraud and deceptive
trade practices and consumer education.
# # #

image_printPrint


Graphic that represents delaware news on a mobile phone

Keep up to date by receiving a daily digest email, around noon, of current news release posts from state agencies on news.delaware.gov.

Here you can subscribe to future news updates.