Nissan Overcharges Consumers Who Buy Vehicles After Lease Extension Expires, Class Action Says

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A proposed class action claims Nissan charges lessees who buy their vehicle at the end of a lease extension thousands more than the price both parties agreed to in the lease extension agreement.

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According to the 16-page lawsuit, Nissan’s standard lease extension agreement tells lessees that they may buy their leased vehicle at the end of their lease extension term for a fixed amount “equal to the residual value of the leased vehicle at term-end, plus applicable fees and taxes.” Although consumers reasonably expect to pay the negotiated price stipulated in their extension agreement should they choose to purchase their vehicle, Nissan fails to honor this contract and instead asks for an amount “grossly exceeding the then-present residual value of the vehicle,” the case alleges.

The filing claims the sum sought by Nissan reflects the residual value of a lessee’s expired initial lease agreement, rather than the amount decided upon in the extension agreement.

The plaintiff, a New York consumer, says that he purchased in July 2019 a 2019 Nissan Murano and entered into a 24-month lease agreement assigned to Nissan-Infiniti LT LLC and serviced by Nissan Motor Acceptance Company LLC, both defendants in the lawsuit. Per the complaint, the plaintiff entered into a 10-month extension agreement in April 2021, stating that the vehicle’s purchase price at the end of the term would be $20,428.90, plus applicable fees and taxes. 

However, when the plaintiff expressed interest in purchasing his Nissan Murano after the lease extension’s expiration, Nissan did not seek out the lease extension purchase price, the filing alleges. Instead, the case relays, Nissan asked the plaintiff to pay the residual value quoted in his initial lease agreement, plus sales tax and a purchase option fee, which totaled $24,279.96.

The lawsuit looks to cover anyone who, within the past six years, entered into a lease extension agreement with Nissan-Infiniti LT LLC, Nissan Motor Acceptance Company LLC or their affiliates for a five-month term or longer and who attempted to or did exercise their purchase option under their lease extension agreement at term-end.

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