NJ Alleges Unlawful Pricing Practices At Advance Auto And Pep Boys Stores
NEWARK, N.J. (CBSNewYork) — The New Jersey Division Consumer Affairs has filed civil actions against Advance Auto Stores and Pep Boys alleging that some merchandise scanned at a higher price than the posted selling price.
As part of this initiative, seven stores operated by Advance Stores and five stores operated by Pep Boys in New Jersey were inspected.
"For many consumers, a trip to the automotive parts store can be a confusing foray into unfamiliar territory. Shoppers who lack familiarity with such merchandise often rely on the retailers pricing statements to guide them in their purchases. When retailers are not transparent and accurate in their pricing, consumers suffer," said Acting Attorney General John J. Hoffman.
The complaint further alleges that merchandise at Advance Auto stores was offered for sale without a plainly marked total selling price affixed to the merchandise or located at the point of display. Some Pep Boys stores allegedly failed to conspicuously post a consumer notice regarding the right to a written estimate for motor vehicle repairs, as required by the Automotive Repair Regulations.
"When it came to merchandise pricing, we allege that Advance Auto and Pep Boys left consumers in the dark," said Steve Lee, Acting Director of the New Jersey Division of Consumer Affairs. "These enforcement actions send a message that merchants who attempt to engage in this kind of deceptive conduct will face legal action."
The state is seeking civil penalties under both the CFA and the Weights and Measures Act, attorneys' fees and investigative costs.
Brian Zuckerman, a spokesperson for Pep Boys, issued the following statement:
"Pep Boys was made aware of the New Jersey Division Consumer Affairs pricing allegations complaint in late December 2015, which allegations stem from an investigation of five stores between January and March of 2015. The recent press release however fails to acknowledge the history of this matter and Pep Boys' timely and cooperative responses to the allegations.
In June, 2015, Pep Boys key personnel attended an Executive Meeting with New Jersey's Weights and Measures Officials and Consumer Affairs officials, and has had numerous additional conversations, where Pep Boys' business practices were explained and justified. Pep Boys has produced voluminous and comprehensive written response to the allegations. Please note that no consumer complaints for pricing issues were received by the State of New Jersey, and none were made to Pep Boys.
Several months after the Executive Meeting, the Attorney General proposed fines more than the applicable statutes maximum penalties and demanded that Pep Boys agree to institute onerous, and in some cases impossible, business procedures. Pep Boys was surprised with such a position as well as the filing of the recent complaint. Pep Boys will continue to work with the New Jersey's Weights and Measures Officials and Consumer Affairs officials on this matter."
Advance Auto Parts also issued a statement:
"Advance Auto Parts is fully committed to providing accurate pricing in all of our stores. When we were alerted to potential pricing discrepancies in seven New Jersey Advance Auto Parts stores by the New Jersey Division of Consumer Affairs, Advance took prompt action to correct any issues. We are in the process of attempting to resolve this matter with the State of New Jersey in a constructive manner."
Consumers who believe they have been cheated or scammed by a business, or suspect any other form of consumer abuse, can file an online complaint with the State Division of Consumer Affairs by visiting its website or by calling 1-800-242-5846 (toll-free within New Jersey) or 973-504- 6200.
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