The Maryland Attorney General’s Office, in collaboration with the Federal Trade Commission (FTC), has initiated legal action against Lindsay Management Company and three affiliated dealerships over allegations of deceptive practices that misrepresented vehicle prices and unfairly increased consumer costs. The complaint, filed in the U.S. District Court for the Eastern District of Virginia, names Lindsay Ford, LLC, located in Wheaton, Maryland, and two Virginia-based dealerships, Lindsay Motors, LLC, and Lindsay Chevrolet, LLC, along with individual defendants Michael Lindsay, John Smallwood, and Paul Smyth.
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The lawsuit accuses the defendants of advertising vehicles at lower prices than consumers ultimately had to pay due to hidden fees or misleading discount claims. Additionally, the defendants allegedly imposed extra charges on buyers who did not finance their purchases through lenders that provided financial incentives to the dealerships. The complaint also states that consumers were billed for add-on products or services such as service contracts, Guaranteed Asset Protection (GAP) coverage, and extended warranties, either without their consent or under deceptive pretenses.
Attorney General Anthony G. Brown emphasized the importance of transparency in major financial transactions, stating that Maryland consumers deserve clear and honest pricing information when purchasing vehicles. The FTC has also reaffirmed its commitment to holding auto dealerships accountable for unlawful practices that exploit buyers through misleading advertising and unauthorized charges.
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The legal action seeks restitution for affected consumers, along with financial penalties, litigation costs, and an injunction to prevent further violations of the Maryland Consumer Protection Act and Federal Trade Commission Act. Maryland residents who believe they may have been impacted by Lindsay Ford’s practices are encouraged to contact the Consumer Protection Division for assistance.
Article by multiple RFHC contributors.
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