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

BLOOMFIELD HILLS, MI (FOX 2) – A Bloomfield Hills Mercedes-Benz dealership is facing accusations of unethical pricing practices after allegedly attempting to add a substantial markup to a custom-ordered vehicle. The dealership, Mercedes-Benz of Bloomfield Hills, is being called out for reportedly trying to charge a customer an extra $120,000 above the manufacturer’s suggested retail price (MSRP) on a Mercedes G63.

According to attorney Azzam Elder, his client, a long-time customer of Mercedes-Benz of Bloomfield Hills, had ordered a Mercedes G63 with a sticker price of $184,000 back in 2019. The vehicle, custom-made with a unique olive green mango exterior and red and black interior, was finally delivered last week. However, upon delivery, the dealership allegedly presented the customer with a price tag that was a staggering $120,000 higher than the original sticker price.

Elder argues that this markup is “unacceptable” and represents an attempt to take advantage of consumers, especially given the client’s long history with the dealership. “For 25 years, my client and his family bought 11 cars from them,” Elder stated, highlighting the established relationship and expected fair dealing. He suggests that in a fluctuating market, customers should be able to expect dealerships to honor agreed-upon prices, especially on custom orders.

Mercedes-Benz USA, in a statement, acknowledged that the MSRP is a “suggested price” and that final sale prices are negotiated between dealers and customers. While they stated they do not encourage markups on high-demand models, their statement implies a degree of acceptance for dealer discretion in pricing.

However, automotive industry expert John McElroy strongly criticized such practices, labeling them as “price gouging” and unethical. McElroy pointed out that while such markups might not be illegal, they are certainly unethical and damaging to customer trust. He noted that major automakers like GM and Ford have recently sent warnings to their dealerships to cease such practices, indicating a growing industry concern about price gouging.

The Michigan Attorney General’s office has also taken note of the allegations against Mercedes-Benz of Bloomfield Hills. They have confirmed their corporate oversight division is aware of the situation and intends to examine the matter, suggesting potential regulatory scrutiny of the dealership’s pricing practices.

When questioned about the dealership’s integrity, attorney Elder stopped short of condemning all Mercedes dealerships but stated, “Based on the reviews, in this case, I believe they are being crooks.” The article concludes by noting that the olive green Mercedes G63 was indeed going to be sold, but the dealership declined to disclose the final price, leaving the extent of the markup unclear. The situation remains unresolved, raising questions about ethical pricing and customer treatment at luxury car dealerships like Mercedes-Benz of Bloomfield Hills.

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