Penalty Amount
$3,100,000
The FTC and Maryland Attorney General announced a settlement with Lindsay Automotive Group resolving allegations of deceptive pricing practices, including advertising falsely low car prices and charging unwanted add-ons, costing consumers over $75 million. Lindsay will provide over $75 million in refunds to eligible consumers and pay a $3.1 million civil penalty to Maryland. The settlement also prohibits deceptive advertising practices and requires clear disclosure of total vehicle prices and express consumer consent for charges.
Lindsay will pay a $3.1 million civil penalty to the Maryland Attorney General’s office and provide over $75 million in refunds to eligible consumers who were charged between April 1, 2020, and December 31, 2025. The settlement order prohibits Lindsay from making deceptive misrepresentations about vehicle pricing, availability, and financing requirements, requires clear and conspicuous disclosure of total vehicle prices (excluding required government charges), and mandates express, informed consumer consent for all charges, including add-ons.
In-house legal teams should review customer sales, lease, and financing agreements to ensure total vehicle pricing (excluding only required government charges) is clearly and conspicuously disclosed, with express, informed consent clauses included for all optional add-ons, fees, and charges to prevent unauthorized charges. Vendor agreements with advertising agencies, financing providers, and third-party add-on suppliers must be updated to include accurate pricing warranties, prohibitions on misleading financing or rebate representations, and indemnification provisions for civil penalties or consumer refunds resulting from deceptive practices. Additionally, employee commission and training agreements should be reviewed to remove incentives for hiding fees or misrepresenting pricing, with compliance clauses mandating adherence to federal and state consumer protection requirements.
Entity
Lindsay Automotive Group
Industry
AutomotiveOfficial Press Release
https://www.ftc.gov/news-events/news/press-releases/2026/04/ftc-maryland-attorney-general-secure-full-refunds-additional-penalties-against-lindsay-auto-group
LindsayAuto Order
https://www.ftc.gov/system/files/ftc_gov/pdf/LindsayAuto-Order.pdf
x250021 lindsay automotive grp chairmans statement
https://www.ftc.gov/system/files/ftc_gov/pdf/x250021-lindsay-automotive-grp-chairmans-statement.pdf
Federal Trade Commission Enforcement Page
https://www.ftc.gov/enforcement
"Lindsay Automotive Group and its executives will return money to resolve allegations that they deceived consumers for years with falsely advertised low prices and unwanted add-ons that led to buyers paying thousands of dollars more for their vehicles."
"Lindsay will pay a $3.1 million civil penalty to the Maryland Attorney General’s office."
"The Federal Trade Commission and Maryland Attorney General today announced Lindsay Automotive Group and its executives will return money to resolve allegations that they deceived consumers for years with falsely advertised low prices and unwanted add-ons that led to buyers paying thousands of dollars more for their vehicles."
"the agencies’ joint complaint, filed in December 2024, charged Lindsay with systematically deceiving and overcharging car-buying consumers for years, costing them millions of dollars."
"the proposed order settling the agencies’ complaint also requires Lindsay to provide the total price of the car, including all mandatory fees, to consumers looking to buy or lease a vehicle."
"the order also requires Lindsay to clearly and conspicuously disclose the total amount a consumer must pay for the car, excluding only required government charges. Lindsay must also obtain consumers’ express, informed consent before charging them, including for any vehicle-related fees."
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$1.9M
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