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Discussion Starter #1 (Edited)
Came across this and sharing it because Subaru is specifically called out by the California Attorney General in conjunction with 11 other states. Hoping that the NJ AG gets on board with this as well. Plus, I know for a fact other manufacturers have stopped taking lease returns along with other issues that can or cannot be chalked up to "fog of war." There are additional claims of consumers being harmed from February to current due to COVID. Here is the link; Attorney General Becerra Calls on Auto Manufacturers to Ensure Consumers Timely Vehicle Lease Returns During the COVID-19 Pandemic

In the letter, the coalition urges car dealerships to:

  • Examine their lease-return procedures, including those of their affiliated dealerships, to confirm that policies and procedures comply with the terms of lease agreements and applicable law;
  • Assist consumers with prompt and convenient lease returns by providing alternative arrangements, such as home pickup or return facilitated by a third party;
  • Provide consumers with a clear point of contact to assist with concerns regarding the return of their leased vehicle or with issues concerning their lease;
  • Provide consumers who have already been harmed by these leasing practices with a process to return their vehicle; and
  • Refund harmed consumers any additional monthly payments incurred beyond the original leasing term and reimburse for incidental costs resulting from refused lease returns.
 

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2020 Outback Touring XT
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Sadly I have not leased since the 80’s so I’m out of the loop as to how this really works.
 

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Discussion Starter #3
Sadly I have not leased since the 80’s so I’m out of the loop as to how this really works.
Without going into too many details, this topic has been a complete disaster but I am making progress. Glad to see Subaru being called out but there are other manufacturers guilty.
 

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2020 Outback Touring XT
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The funny part is when I went to order and pay for this Outback, they never once mentioned a lease option lol.
 

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2008 OB Limited 2.5i, Portland OR USA
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Interesting article; thanks for the link.

The funny part is when I went to order and pay for this Outback, they never once mentioned a lease option lol.
Leasing requires that some third party pay the dealer for the purchase, and in return accept the monthly cash flow for the term of the lease, and then (possibly) take back the vehicle at the end of the term at an agreed upon price, usually with some adjustments for mileage and condition. At the moment, this would appear to be a rather uncertain endeavor. Their concerns would be:
  • what's their cost of capital, given the uncertainty of interest rates?
  • will the purchaser remain employed and be able / willing to make payments?
  • will governments require them to forego monthly payment requirements if a buyer is financially stressed?
  • at the end of the term, will the residual price be supported by the market conditions?
  • what will be the mileage, given people are driving a lot less?
  • will there be more / fewer returns because of this, and how will that affect their secondary market?
 

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Never had leasing issues esp with Subaru. I would just extend the lease an extra month or two if that was the dealers issues with being closed and not taking in cars. Then again I have been blessed enough not to be harmed by an extra payment or two to use the car further. Just another frivolous lawsuit in our legal happy society IMO. People need to take responsibility to their signing a contract and life doesn't alway balance the books. The only issue I see is that the lease company or dealer wouldn't accept car at lease end. As stated above seems the lease company takes all the risk but then again they make the money. They want government money next, LOL. It never ends.
 

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Discussion Starter #7
@cerbomark - As you said, this is the crux of the issue, “The only issue I see is that the lease company or dealer wouldn't accept car at lease end.” Some dealerships are not accepting lease turn ins without the purchase of another vehicle which is against the law because it goes against the contract in place. The other unethical approach is inspection services that come inspect the vehicle before turn in are not taking appointments. This leaves the consumer open to risk as a third party did not inspect the vehicle. I have personally seen both already. Non-Subaru dealership manager shared they are not accepting lease returns without a new purchase during casual conversation and the latter with respect to my own Subaru lease unable to get a AutoVIN inspection.

This has nothing to do about a frivolous lawsuit though. The letter sent from the 12 Attorney Generals was a warning shot for manufacturers and dealers to stop the unethical approaches. I am hoping NJ and other states get on board too. Started this thread and shared that link because consumers have the right to make informed decisions. Collaboration, education, and knowing ones rights are the best approach in uncertain times.
 

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yes, I think we agree. The dealer /lease company violated the contract under the "return or lease end". Not the customers fault if they can t complete the lease end agreement. What I meant about frivolous lawsuits is lease companies looking for government cash to the cover costs stated 3 post above. That s not what is said but I was just playing devils advocate because I can see that next.
The link you posted is good. I don t understand why they can take the car back off lease if you lease another and not if you decide not to. That is unethical.
As I stated I d drive it past the lease agreement for a monthly fee if it were me. That happens all the time and some people even request an extension. Or park it in the dealer lot (every dealer I know has key drops somewhere ) take photos , notify lease company that you followed agreement by dropping car off at dealer at lease end. They would then have to sue you if it went bad I guess.
I have dropped Porsches off at lease end and the dealer stated we don t check the cars, just leave the keys, LOL. Pictures, pictures, pictures. Never an issue.
 

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2008 OB Limited 2.5i, Portland OR USA
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I don t understand why they can take the car back off lease if you lease another and not if you decide not to. That is unethical.
They do this because they think they can get away with it.

I have no personal knowledge of the car leasing situation that this lawsuit is attempting to address, but I tend to believe the link that @njoutbacknj posted is not at all frivolous and it's a 100% genuine complaint, based in real situations happening. The reason for this is that since this crisis began, I've had two instances of companies not delivering a product or service, and then hiding behind the excuse that I need to call them to deal with it (these were online orders). They of course have short staffed their phone lines and taken away any other means to get an online refund. When you finally do reach them, the person on that end has only been authorized to issue a credit for future purchases, not a refund.

Everyone knows exactly what is going on here, and it's apparently just their business plan - hang on to working capital and count on a certain percentage of customers who will just give up and go away.

As I said, they do this because they think they can get away with it. Maybe they will. But not with me, fortunately it was done through a credit card, and when I hit a stone wall, I simply call the credit card company and have them reverse the charge. It takes effort on their part to fight it, and they don't have a case or the staffing to address it, so they just let it happen.
 
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