Mazda Cuts Off Orangeville Dealership Over Shady Practices
Posted May 14, 2010 12:10 pm.
This article is more than 5 years old.
Mazda Canada has terminated a dealership in Orangeville, Ont., for breaching the company’s business practices.
The tipping point was a recent incident in which the dealership sold a car to a woman for more than $25,000 above its real value.
Terminating the dealership means Mazda of Orangeville cannot sell any new vehicles and parts to customers or make repairs.
The dealership had sold a 2010 Mazda6 G6 sedan to a local woman for about $66,000 but she should have paid less than $41,000.
Greg Young, Mazda’s director of corporate public relations, said the company conducted an investigation and found other violations.
The Ontario Motor Vehicle Industry Council, which regulates new and used car dealers, has charged Mazda of Orangeville and two senior sales employees recently with “engaging in unfair practice by making an unconscionable representation,” contrary to the Consumer Protection Act.
The dealership faces a maximum fine of $250,000 and the two employees could receive $100,000 fines plus jail time of up two years if they are found guilty. They could also lose their provincial registrations to sell vehicles.
