Nissan sues NJ dealership over failing to pay $3.4 million for vehicles
An Infiniti dealership in New Jersey is facing a massive crackdown. Nissan North America is done playing. It’s dropping the hammer by suing over the failure to pay $3.4 million for vehicles. Plus, it wants to repossess every unsold vehicle that hasn’t been surrendered.
Nissan sues New Jersey dealership over $3.4 million worth of unpaid vehicles
The Infiniti dealership in Englewood, New Jersey, messed around and is about to find out. Allegedly, Infiniti of Englewood never paid Nissan roughly $3.4 million for vehicles it sold.
Nissan North America wants to get paid for about 64 vehicles that were delivered last fall. . According to Jalopnik, the lawsuit claims that the dealership failed to use the sales proceeds to repay Nissan.
The lawsuit claims that three months before the vehicle delivery, Infinity of Englewood represented in writing that it was financially sound and adequately capitalized. This included maintaining sufficient net working capital, net worth, and satisfactory floor plan financing arrangements.
It also alleges that the dealership failed to pay the delinquency charges assessed for the lack of payment. This is a breach of contract and unjust enrichment. Plus, the automaker would like to repossess all unsold cars that the dealership hasn’t surrendered yet.
Along with the dealership, the codefendant, Keystone Auto Lending is being targeted. Reportedly, it’s contractually liable for not paying the automaker.
Infiniti of Englewood and Keystone Lending are conveniently owned by Charles Caronia. He is the sole principal of the lender. He’s under fire for funding the dealership and causing the breaches by the dealerships and Keystone.