Illinois car dealership to pay $10 million to settle 'illegal junk fees' case

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Illinois car dealership to pay $10 million to settle 'illegal junk fees' case
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The Federal Trade Commission filed a deceptive practices complaint against Napleton Automotive Group of Oakbrook Terrace, Illinois, last month.

A multistate chain of car dealerships based in Illinois will pay $10 million to settle a lawsuit accusing the company of illegally charging customers hundreds of dollars in extra fees without their consent.against Napleton Automotive Group of Oakbrook Terrace, Illinois, last month. In the complaint, federal officials accuse Napleton of adding products and services such as GAP insurance, or paint protection to customers' car purchase, oftentimes without their knowledge or consent.

Samuel Levine, the FTC's consumer protection director, said the $10 million will hold Napleton accountable for"sneaking junk fees onto people's bills.", dealerships that cheat their customers can expect to hear from us," Levine said in a statement Friday. Napleton's $10 million settlement marks the highest amount a car dealership has paid in fines to the FTC, the agency . Most of that money — $9.9 million — will help"provide monetary relief to consumers," the FTC said.

Napleton Automotive agreed to pay the $10 million in order"to avoid the disruption of an ongoing dispute," and has denied any wrongdoing, a spokesman for the dealership told a Chicago-area newspaper.

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