Dealership banned from selling cars and must pay $110k after ‘tricking customers with fake paperwork and hiding recall’ – Cannasumer

Dealership banned from selling cars and must pay $110k after ‘tricking customers with fake paperwork and hiding recall’

A USED car dealership and its owner have to pay $110,000 in fines before they can get back to business.

The dealership isn’t allowed to sell any cars until their dues are paid after multiple missed payments and customer complaints.

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37 Auto Sales LLC is banned from selling cars[/caption]

Jacobs Lucky and his business, 37 Auto Sales LLC, are both in trouble with the Sedgwick County District Attorney’s Office in Wichita, Kansas, after violating a consent judgment they agreed to last year.

The district attorney’s Consumer Protection Division filed motions against the dealership and its owner claiming they haven’t made necessary payments to resolve past consumer complaints, local outlet the Wichita Eagle reported.

The judge ordered that each judgment must be paid in full – and an extra $20,000 penalty was added to each fine.

This means the dealership owes the county $80,000, while Lucky owes $30,000, totaling $110,000 owed.

Neither Lucky nor 37 Auto Sales can sell cars in the state of Kansas until the fees are paid. Lucky has also had his license to sell cars revoked, according to local TV station KSCW-DT.

The dealership and its owner entered consent judgments after they were accused of violating the Kansas Consumer Protection Act multiple times.

Consent judgments allow parties in a lawsuit to come to an agreement without anyone being found guilty.

In March 2023, the district attorney’s office said 37 Auto Sales tricked customers by faking paperwork and failing to disclose a safety recall on a car to a buyer.

The DA said from April to September 2020, the dealership violated state law by issuing multiple 60-day temporary registration permits on transactions, according to NBC affiliate KSNW at the time.

State law says that a car sale is fraudulent and void if the consumer doesn’t receive titles within 60 days – plus the buyer is entitled to a full refund.


The outlet reported that records from the dealer showed improper paperwork on titles and sales tax receipts provided to some customers.

The dealership was also accused of selling cars without providing titles and not honoring warranties.

When contacted for comment by The U.S. Sun, 37 Auto Sales LLC, said the accusations aren’t true and the dealership is still currently selling cars – despite the orders from the DA’s office.

The U.S. Sun has reached out to the dealership’s attorney.

Dealership Tips

Here are some expert tips when purchasing a car from a dealership lot:

  • 1. Set your price: Ensure you’ve calculated your monthly budget before going to the lot. You should include the car’s loan payment, insurance costs, fuel, and regular maintenance.
  • 2. Research: Make sure you know which cars you’re interested in test driving before you reach the dealership.
  • 3. Pre-approval: Secure financing before you go to the dealership. Dealerships may give you a better interest rate if they are competing with an outside bank.
  • 4. Test away: Get behind the wheel before making any payments. A car purchase will be worth thousands of dollars – drivers should ensure they like the drivetrain, steering feel, and comfort of the car before taking it off the lot
  • 5. Haggle: Drivers should always try to negotiate the price. There are so many good cars on the American market – buyers have a strong hand when negotiating price.

Source: Kelley Blue Book

This isn’t the first time Lucky and his business have been in trouble with the DA’s office.

In 2019, court records show they entered into a consent judgment costing $23,581.51. in total.

KANSAS CRACKDOWN

Another Wichita dealership was shut down for good in August when a customer bought a used vehicle.

Used car dealership iDeal Enterprises, LLC, was fined $159,000 for violating the Kansas Consumer Protection Act.

The Consumer Protection Division received two complaints from customers about the business.

First, the company reportedly failed to provide titles to car buyers.

Then, they were accused of selling cars with open safety recalls attached and didn’t disclose the recalls to the buyer.

After agreeing to a consent judgment in 2019, the dealership didn’t hold up its end of the bargain and eventually had to close its doors.

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