Truth in Lending Act
Whenever you sign off on a loan, be it from the bank or for a car with in-house financing, you’d want to know every single detail, or at least you should do your due diligence to get the information in front of you. Likewise, dealers and lenders are supposed to show you how much you will eventually pay before signing. Both parties are supposed to be transparent, though that might not be the case in this story, Automotive News reports.
So what’s happening with this Atlantic Kia dealership in New York and its customer? According to the plaintiff, Jean Garcia, the used vehicle they bought is priced “grossly-inflated” and “packed with costly hidden charges.” According to the dealer, they extended a gesture in good faith. According to the client, forged documents were involved. The plot thickens.
It Started with a Carnival
This auto loan circus is nothing new, nor is the 2023 Kia Carnival that the customer and plaintiff bought secondhand from Atlantic Kia in West Islip, New York, in December 2025. According to him, Garcia was the victim of “a variety of sharp and deceptive sales practices.”
Garcia negotiated the price of the car down to $33,325 from $34,150 that the dealer was selling it for. He then made a $5,891 down payment and digitally signed the documents. One issue was that the included retail installment sales contract was in the documents that Garcia signed, which was not explained to him – allegedly. It was only after he reviewed the sales contract that Garcia realized the price had been inflated by $8,175, leaving him with a total of $41,500, according to the lawsuit.
Lawyer’s Reactions
Garcia’s lawyer, Robert Nahoum of Pearl River, N.Y., stated that his client’s “attempts to resolve the matter were met with persistent and continuing deception and obfuscation [by the dealer].” On the other hand, Kia New York’s defense said that Garcia returned to the establishment to complain about the car’s price after the deal.
Graciously, Kia New York offered a “full refund” or a refund of $1,971 of Garcia’s purchase price. Presented with these two options, Garcia declined both. Since Kia offered these two options, it has made an effort in good faith to smooth out the situation. Lawyer John Gentile, general counsel to the Atlantic Auto Group, stated that “the dealership did nothing wrong.”
However, Garcia contends that when he returned and asked the dealership about the discrepancy, he was shown an unsigned purchase order listing the higher price and obtained the sales documents from the lender. In doing so, he saw a purchase order with a forged signature, according to the suit.
John Beltz Snyder
Hidden Charges and Damages
Other than the inflated price, the dealer also included some “hidden charges” in Garcia’s purchase, which included a $695 “acquisition” fee, a $2,995 “inland freight charge“, and a $1,895 “recondition” fee. None of the fees were included in any of the documents that Garcia signed and left unsigned.
The plaintiff, Garcia, is seeking damages for the violation of New York’s consumer protection and motor vehicle laws, false advertising, and fraud. The defendant is the lender, being the assignee of the sales contract.
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