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Honda has been fined $6 million for misleading customers by sending false messages about dealership closures that prevented people from making an informed choice about servicing their cars.
The company sent Melbourne customers emails, texts and made phone calls to say that "the dealerships would close or had closed and would no longer service Honda vehicles", the Australian Consumer and Competition Commission (ACCC) said.
The information was given to Astoria, Tynan and Burswood customers between January 2021 and June 2021, which the ACCC said was false.
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The communications were made during a restructuring of franchisee agreements.
"We took this case because we believed Honda Australia's conduct harmed the dealerships and their customers," ACCC Commissioner Liza Carver said.
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"Honda Australia deprived consumers of the opportunity to make an informed choice about their options for servicing their vehicle.
"It also caused likely financial loss to the dealerships by the false claim they were closing or had closed."
She said the substantial penalty was to send a message to other businesses about making misleading statements to consumers.
