State accuses Ledgewood car dealer of deceptive practices

The state Division of Consumer Affairs has sued a Ledgewood-based used car dealership, alleging the company failed to disclose damage to a vehicle, did not always provide warranties when required, and didn’t tell customers that some cars were used as rental vehicles.

The complaint, filed in Superior Court, Morristown, alleges that RLMB Inc., which also is known as RLMB Motors and RLMB Auto Sales, violated the Consumer Fraud Act and engaged in deceptive advertising practices.

Owner Michael Bloom, who runs the business with his son and says he has been selling used cars for more than 30 years, was incensed by the lawsuit. He said that investigators visited his dealership more than a year ago when it was located in the Kenvil section of Roxbury, invited him and his attorney to a meeting to talk about alleged violations, including not having proper stickers on vehicles.

Bloom said he thought the matter was resolved but then the state sent him a notice that said a $97,000 fine was being sought. He said his business has relocated to the Ledgewood section of Roxbury.

“This is so wrong, disgustingly wrong,” Bloom said in a telephone interview. “None of this is true. We’re vigorously defending it. The state of New Jersey is chasing money. I’ve been in business 30 years and I’ve never had any complaints. I run as legitimate a company as I can and we take care of our customers.”

The complaint starts with a statement: “Consumers are particularly vulnerable to deceptive advertising and sales practices when purchasing a used motor vehicle. Most do not have independent access to information on, among other things, concerning the condition and prior use of used motor vehicles offered for sale.”

The lawsuit states: “In their advertisements and otherwise, defendants have failed to disclose that an advertised used motor vehicle was previously used as a rental vehicle. In their advertisements and otherwise, defendants have failed to disclose that an advertised used motor vehicle was previously damaged and was subjected to substantial repair and body work.”

Bloom said he typically has about 100 used vehicles on his lot and has never knowingly sold a used car that was damaged, without informing a prospective buyer.

Among its allegations, the lawsuit charges that RLMB did not always have notices or stickers attached to vehicles that advertised the total selling price of the vehicle, and that the company failed to issue warranties when the used vehicles were qualified for them.

Bloom said he wouldn’t offer a warranty on a car that sold for $1,000 but that virtually all the vehicles carry warranties but some customers don’t want them.

Staff Writer Peggy Wright: 973-267-1142; pwright@njpressmedia.com

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