Yonkers Nissan sues Nissan to dam White Plains dealership


Central Avenue Nissan has accused Nissan North America and Nissan Motor Acceptance Co. of violating the New York Franchised Motor Automobile Seller Act, in a criticism filed Jan. 26 in U.S. District Courtroom, White Plains, to cease the carmaker from opening a White Plains dealership.

“Good trigger to invade Central Avenue’s market space doesn’t exist on this case,” the criticism states.

White Plains Nissan Mount Kisco

Nissan regional spokesman Steven Oldham declined to touch upon the lawsuit. However the carmaker stated in a Jan. 10 letter to Central Avenue Nissan {that a} new dealership “will improve the efficiency of its supplier community and enhance its model presence within the larger White Plains, New York market.”

Central Avenue Nissan is on Central Park Avenue in Northeast Yonkers. It was fashioned in 2003 and is owned, in line with its web site, by F. James Rourke and Mark Brennan.

Nissan notified the dealership on Jan. 10 that it meant to permit Jonathan L. Stern to open a dealership at 450-460 Tarrytown Highway, Greenburgh — 5.9 miles from Central Avenue Nissan — to switch a earlier Nissan dealership that had operated close by.

Neither the Nissan letter nor the lawsuit point out that the earlier dealership, White Plains Nissan, 500 Tarrytown Highway, closed in 2016 throughout a monetary dispute with the automaker.

The proposed supplier is warranted, in line with the Nissan letter, by “financial and advertising situations” and can “profit the general public welfare by way of larger buyer comfort and enhance the service to shoppers within the native space.”

Central Avenue Nissan says there isn’t a want for a brand new supplier. Its monitor document of success exceeds Nissan’s and prospects’ expectations, the criticism states.

The proposed dealership would additionally hurt Central Avenue Nissan as car sellers are struggling to satisfy buyer demand due to a scarcity of pc chips that has restricted the availability of latest automobiles.

“Consequently, the criticism states, “Central Avenue can not preserve an sufficient stock of automobiles to satisfy buyer demand.”

The supplier argues that Nissan should exhibit “good trigger,” underneath New York legislation, together with, for instance,  inhabitants development and insufficient competitors.

However Westchester County’s inhabitants has declined barely, in line with the criticism, and Central Avenue Nissan is “greater than adequately assembly the wants of the consuming public.”

The criticism additionally notes that three makes an attempt to open car dealerships on the proposed location have failed.

And subsequent door, Gary B. Flom, of Manhattan, had opened White Plains Nissan in 2014 and rapidly earned an “F” ranking with the Higher Enterprise Bureau. The White Plains retailer, in addition to a Mount Kisco dealership owned by Flom, had been promoting automobiles “out of belief,” in line with courtroom data.

As an alternative of repaying loans to Nissan when automobiles had been bought, the sellers had been “pocketing the sale proceeds,” in line with a federal courtroom ruling in 2018. The decide ordered Flom’s corporations to pay Nissan  $40.2.

In addition to the state franchised supplier legislation, Central Avenue Nissan accused Nissan of violating the federal Vehicle Seller’s Day in Courtroom Act for allegedly undermining its rights to function with out improper competitors; breach of contract; and breach of implied covenant of fine religion and truthful dealing.

It’s asking the courtroom to enjoin Nissan from establishing a dealership on the proposed location or every other location in its market space and to award unspecified damages.

Manhattan legal professional Michael Yellin represents Central Avenue Nissan.

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