Bloomfield Hills Mercedes-Benz Dealership Under Fire for Alleged Price Gouging

Mercedes-Benz of Bloomfield Hills is facing accusations of unethical pricing practices after allegedly attempting to charge a customer significantly above the manufacturer’s suggested retail price (MSRP) for a custom-ordered vehicle. This incident has sparked outrage and drawn scrutiny from consumer protection advocates and industry experts, raising questions about dealership ethics and transparency, particularly at Mercedes-Benz of Bloomfield Hills.

According to reports, a customer who had a long-standing relationship with Mercedes-Benz of Bloomfield Hills, having purchased 11 vehicles over 25 years, custom-ordered a Mercedes G63 with a sticker price of $184,000. However, upon delivery of the specially configured olive green mango exterior with a red and black interior G63, the dealership allegedly demanded an additional $120,000 on top of the agreed-upon sticker price. This sudden price hike, totaling a staggering $304,000, was presented without prior notification or a written contract amendment, leaving the customer feeling exploited.

Attorney Azzam Elder, representing the disgruntled customer, voiced strong criticism against Mercedes-Benz of Bloomfield Hills’ actions, labeling them as “unacceptable” and exploitative of consumers. Elder highlighted the long-term loyalty of his client to the dealership, emphasizing the betrayal of trust in this transaction. The customer’s perspective suggests that they believed purchasing a vehicle, even a custom order, from a reputable dealership like Mercedes-Benz of Bloomfield Hills should be a straightforward process respecting the MSRP, especially given the pre-existing relationship.

Mercedes-Benz USA issued a statement acknowledging that the MSRP is merely a “suggested price” and that final sale prices are negotiated between dealers and customers. While they stated they “do not encourage markups for specific, high-demand models,” this statement seemingly falls short of condemning the alleged actions of Mercedes-Benz of Bloomfield Hills. This response has fueled further debate about the extent to which manufacturers should control or intervene in dealership pricing, especially concerning dealerships like Mercedes-Benz of Bloomfield Hills.

Automotive industry expert John McElroy weighed in on the controversy, characterizing such markups as “price gouging,” which he deems unethical, even if potentially legal. McElroy pointed out that major automakers like GM and Ford have recently cautioned their dealerships against similar practices, indicating a growing industry concern regarding dealership price inflation. The fact that other manufacturers are actively discouraging such behavior puts further negative spotlight on Mercedes-Benz of Bloomfield Hills and their alleged practices.

The Michigan Attorney General’s office has confirmed awareness of the allegations against Mercedes-Benz of Bloomfield Hills and stated their corporate oversight division intends to investigate the matter. This signifies potential legal and regulatory repercussions for Mercedes-Benz of Bloomfield Hills if found in violation of consumer protection laws. The involvement of the Attorney General’s office underscores the seriousness of the accusations and the potential impact on the reputation of Mercedes-Benz of Bloomfield Hills.

This incident serves as a stark reminder for consumers to remain vigilant and informed when purchasing vehicles, particularly in a fluctuating market. While luxury vehicles, like those from Mercedes-Benz of Bloomfield Hills, can hold their value, unexpected and substantial markups can negate any perceived investment benefits. Prospective buyers are advised to secure written contracts, clarify all pricing details upfront, and be prepared to negotiate firmly to avoid potential price gouging at dealerships like Mercedes-Benz of Bloomfield Hills. Checking online reviews and seeking transparency from Mercedes-Benz of Bloomfield Hills specifically before engaging in a purchase is also advisable.

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