State Auto Dealer Settles Deceptive Advertising Claim

On April 20, 2015, the Tennessee Attorney General announced that it and the Tennessee Division of Consumer Affairs reached a settlement with a state auto dealer over allegations that the auto dealer violated the Tennessee Consumer Protection Act by mailing two false advertisements to consumers. The allegedly false advertisements purported to represent a non-existent lender called “CreditAble Auto Funding,” a “by military, for military” service offering loans to military servicemembers. As part of the settlement approved by a Tennessee state court, the auto dealer agreed to change its advertising practices, develop internal advertising policies and review processes, and pay a $50,000 civil penalty to the State of Tennessee.