This complaint comes after several attempts to resolve this matter personally with Reed Nissan. They will not return my phone calls or produce any of the documentation that I've requested to ensure their business practices.
In December 2015, I purchased a 2011 Jeep Wrangler from Reed Nissan. I had been doing my research on this vehicle for over a year in preparation to purchase a Wrangler; therefore, the purchase price of the vehicle appeared to be in market value range with similar vehicles I had been pricing. Immediately after purchasing the vehicle it began having mechanical problems. I took the vehicle to my local Jeep dealership for service and this is when I first learned that the vehicle was a Canadian import (grey market import) - when the Jeep dealership ran the VIN to pull the vehicle's service history, they advised me of this and also stated that the vehicle would likely continue to have mechanical issues as the entire engine/suspension/under carriage was covered in rust (due to either the weather conditions in Canada i.e. snow/salt on the roadways or due to flood damage - which is often the case with Canadian imports). A few weeks later, I was back at another Jeep dealership for a problem with the Jeep's steering. The mechanic at this dealership told me that the drivetrain warranty would cover this repair; however, since the vehicle was a Canadian import, the warranty was void, as the manufacturer's warranty doesn't transfer across country borders. After researching grey market vehicles, I now know that auto-makers refuse to honor warranties on grey market vehicles sold across borders due to the fact that grey market vehicles are supposed to meet safety and pollution standards in the U.S. but the vehicles represent a safety hazard to the motoring public due to modifications, completed by after market companies, not the factory, that are frequently incomplete or unsafe. This renders consumer's helpless when they purchase a vehicle that is (unbeknownst to them) a grey market vehicle because they are left responsible for all repairs that they assume are covered under warranty but the manufacturer's warranty protections are void because of modifications made by grey marketers. For example, Chrysler won't stand behind vehicles that are brought into the U.S. from Canada - but how is a consumer supposed to know a vehicle is from Canada if that information is not disclosed to them by the dealership/seller? I would like to know if Reed Nissan is even making sure these vehicles meet EPA emission standards and Department of Transportation safety regulations. Additionally, some GAP policies may not afford coverage to these vehicles, but again, the consumer wouldn't know that until there was an issue that their GAP policy wouldn't cover. Beyond those issues, many grey market vehicles are stolen, given salvage titles, have flood damage, or have liens on them in Canada. Due to the warranty issues/insurance/and other listed problems, grey market vehicles have lower trade-in values - also something that I would have closely considered before purchasing a car had been privy to the fact that it was from Canada. Despite the fact that Reed Nissan purchased the vehicle at auction for the grey market price based on the difference in the Canadian/American exchange rates, the price I paid did not reflect the monetary benefits produced by grey market trading. Reed Nissan has failed to fulfill my repeated request for the purchase price they paid for the vehicle at auction prior to selling it to me, but from the information I can gather, they charged me twice as much for the vehicle. I consider this to be price gouging. Even though similar American vehicles are valued at similar prices, the stipulations involved in grey market vehicles render them much less valuable at the consumer's expense. Following my third trip to the mechanic within six months of owning the vehicle, my husband and I decided that we should trade-in the Jeep because the continual repairs were much more than we anticipated paying. This is when we really realized the consumer effects of grey market vehicles. Two separate, independent car dealers offered me $17,000 for the Jeep (which I paid $32,000 for). That was much, much lower than expected, as Jeep Wranglers are known to hold their value. When we questioned the trade-in value, both dealerships told us it was because the Jeep was from Canada and was a grey market vehicle; however, I did not receive the grey market purchase price (caused by the favorable exchange rate between the American and Canadian dollars) and was now extremely upside down on the vehicle - again, ALL things that I would have considered before purchase had I been given the information needed to make a smart and sound decision. Also, since the Jeep was originally from Canada, the odometer was manufactured to display mileage in kilometers. When I took ownership of the Jeep, the mileage had already been converted to miles. At no point during the time of purchase was it revealed to me by Reed Nissan that the vehicle's odometer was replaced, which is a felony in Florida. This is a material fact that was not disclosed to me as a buyer. Since Reed Nissan does not disclose their grey market vehicles to buyers, I would further be interested to see if they are disclosing this information to their finance companies/banks. Financial institutions should also be aware of the challenges and differences in grey market vehicles to protect their investments, as should insurance companies who may be responsible for faulty equipment in vehicle crashes or who may be charged higher prices for parts that have to be imported. Reed Nissan disclosed to me that they frequently engage in selling Canadian imported vehicles and that they aren't legally compelled to disclose this information to their unsuspecting buyers. The business practices at Reed Nissan represent large scale consumer fraud, have negative implications for financial institutions and insurance agencies, could potentially affect pollution standards, and present serious concerns regarding the safety of these imports on uninformed buyers. Essentially, Reed Nissan knowingly sold me a vehicle for well over what it was worth in the U.S., that was riddled with mechanical problems either due to weather conditions, flooding, or after market modifications in an attempt to comply with U.S. emission and safety standards that were not covered by warranty, and left me completely helpless in trading in the vehicle for anything near what I paid for it due to the grey market conditions.
I Recommend This Dealer:
Did you find this review helpful?