Maryland Honda Dealer Charged for Deceptive Sales Practices

Maryland Honda Dealer Charged for Deceptive Sales Practices

BALTIMORE, MDAttorney General Anthony G. Brown announced charges against DARCARS of Bowie, Inc. d/b/a DARCARS Honda, its parent company Mariam, Inc., and owners John Rahmangholi Darvish and Jamshyd Darvish. The charges allege violations of the Maryland Consumer Protection Act through unfair or deceptive trade practices in vehicle sales at their Bowie dealership.

The Statement of Charges outlines multiple violations, including deceptively charging consumers a fee labeled as a “sales commission,” which is not a commission and is presented as optional without informing consumers of their right to decline it. Consumers were also charged more than the advertised vehicle price, with significant charges for pre-installed equipment and dealer markup.

“Over the last two years, Honda of Bowie has cooperated fully with the Maryland Attorney General to respond to its request for information and address its concerns. This is an instance where the premise of the case is not supported by the record or the facts,” a Honda of Bowie Spokesperson said in response to the allegations. “We feel confident about our level of disclosure on this matter and proactively sought to partner with the Attorney General to establish new industry best practices that could benefit all Maryland consumers. We are prepared to defend our company and our lawful practices in court against these baseless claims, while continuing to provide our customers with the industry’s best service in every market we serve.”

Additionally, the dealership allegedly financed the sale of added products like “DARCARS Assurance” and “DARCARS Protection Plan” unlawfully. Consumers were misled into purchasing unwanted equipment and products, and the dealership failed to disclose and itemize all goods and services included in the vehicle purchase, as required by Maryland law.

The Consumer Protection Division is seeking an injunction to stop these practices, along with restitution, economic damages, penalties, and costs. A hearing on the charges is scheduled for October 16 through October 25, at the Office of Administrative Hearings in Hunt Valley, MD.

For further information, consumers can contact the Consumer Protection hotline at (410) 528-8662 or toll-free at (888) 743-0023.