TOPEKA, Kan. - Call For Action obtained documents showing Chad Franklin Suzuki settled with the State of Kansas on at least one count in the state's August 2008 lawsuit. Franklin and the State asked the Court to enter a judgment for $350,000.
It's a deal so fresh, the state doesn't have the details worked out leaving consumers with questions.
"I'm glad there was a settlement," Nathan Schrock said.
Call for action broke details about the settlement right here at
www.nbcactionnews.com sparking emails and comments like "Congrats to Call For Action for being on their toes."
"Just knowing he's going to pay the price for what he did that's going to help," Schrock said.
It helps Schrock shift his focus to the road, after focusing on his finances for more than a year. The agreement settles allegations that the ads were deceptive and concealed or omitted facts of the promotion.
When the lawsuit was filed in August 2008, Count II alleged Chad Franklin Suzuki aired advertisements that "concealed, omitted, or misrepresented a material fact of the advertised promotion, specifically that the promotion would last for a duration of time, when in truth, the terms of the promotion would end before that specified duration." It is this count that will be settled with this $350,000 payout.
Like hundreds of others, Schrock's payments jumped from $49 a month to more than $500.
"They didn't hold up their end of the bargain. Now, I'm actually paying a lot more for the vehicle than what they said I was going to pay," Schrock said.
The settlement awards the State $350,000 for restitution, costs, and expenses. The Attorney General's Office says Chad Franklin, Chad Franklin Suzuki, CFS Enterprises, and Legend Suzuki are also barred from doing business in Kansas. This includes but is not limited to, the sale of new and/or used motor vehicles to consumers.
This settlement also ends the Kansas lawsuit. However, details have not been worked out on how many consumers will receive restitution and how much they will get. The Attorney General also says it's still evaluating where the $350,000 will come from, and if Chad Franklin Suzuki has the financial means to pay that amount. Throughout our investigation, there have been discussions about insurance possibly paying some of these projected settlements.
It has many viewers concerned. Justin emailed, "The amount settled for is a little concerning."
"I don't know if it's enough," Schrock said.
While 650 customers allegedly took part in the deal, everyone won't qualify for the settlement. If you filed your own lawsuit or joined a class action suit, you can't take part in the Kansas deal.
Schrock says any money will help. Plus, he's glad the state said Chad Franklin can't sell cars in Kansas.
"I would like to see him barred from Missouri as well," Schrock said.
The state of Missouri's lawsuit is still proceeding through Federal Court.
Kansas officials expect to have details on their deal in a few weeks.
Chad Franklin's attorney did not return our calls for comment.
Call For Action's investigations into Chad Franklin's businesses came several months before the Attorneys General took action. To see the coverage from the beginning go to
http://www.nbcactionnews.com/chadfranklin
