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Dealers raising the price right before delivery on Broncos

UberGadgetFreak

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This has come up numerous times on the B6G Forums, even some noting which dealerships are doing this.

1. ADMs are common on limited production vehicles (LPVs). LPV is not the same as Limited Availability Vehicles. What distinguishes the two is that LPVs are produced in limited numbers like 1 of 500. LAVs are just a result of production supply versus market demand. LAV models can experience a flood of production and price drops.

2. ADMs on LAVs are OPTIONAL. As such, a little shopping around can net you vehicles being sold without them, or even below MSRP.

3. Some dealerships are adding them last-minute to dissuade buyers so they can keep it to add an even bigger markup to recover losses due to months of not having vehicles to sell. This is why it's in your best interest to get a pricing agreement at the time of the order. Usually, this involves the dealership printing the DORA and having you sign it, then giving you a copy. If they add an ADM, they have to write it on the DORA first. And talking to a friend of mine who works with the NC SAG, this *is* a legal agreement on the price at purchase. The ONLY things that can be added are: Fees disclosed publicly (Doc fees, e-file fees) usually on their website, State-regulated fees (taxes, title, tag, etc.), and optional items added at the time of purchase (service plans, accessories, etc.). Note: this is only a PRICE agreement, not a PURCHASE agreement. This means IF you buy it, that's the price they agreed to charge you, but you can still walk away, too.

4. A lot of people are already upset over this. Some are taking it to social media, local news, online review sites, and a few other outlets. Sadly, the reality is that it's completely legal unless there's a signed price agreement (i.e. signed DORA). There are sites out there popping up listing dealerships, make, model, MSRP, and ADM popping up to help people AVOID those places doing this. It's not just Ford Dealerships, but it seems to be more common in certain areas.

This is why I repeat what my lawyer friend said to me: file a complaint with your State Attorney General's office and your state legislators if they do this to you. Unless and until the laws change to limit this or at least require a pricing agreement to be signed for all 'custom orders' at the time of order/deposit, they will continue to avoid guaranteeing a price to you so they can 'adjust' later.

And also per his advice, I am now in the practice of demanding the signed price agreement before they get a single penny. No price agreement? No deposit and no purchase. This will be SOP for all purchases going forward for me. I suggest the same to all of you.

Shop around. Dealerships like Granger, Stevens, Long-McArthur and many others are on the forums, they are offering great deals, and are some of the highest-rated for their fair and honest practices.

I am reminded of a saying here: "Laws do not guarantee ethical behavior. Laws only limit unethical behavior. If there is no law against it, the only thing you can do is to change the law to fix it."
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It wouldn't be a canceled order if they don't sell it to whomever placed the order. If they walk away the dealer will just put it on the lot with a markup and it'll be gone in about 10 minutes.
Yes, it would be.
The order itself wouldn't be cancelled, but the order to that customer would be cancelled. The scenario you outline is EXACTLY what Ford frowns upon.
 

ReddWulf

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Especially on a vehicle with a prime selling point as affordable low-cost truck for the masses, not a specialty niche vehicle. My dealer said no markup and no dealer installed requirements. That's why I went with them.

Ford appears to be wanting to go to order-build-sale type model in the future and if Ford doesn't curtail these shady bait and switch tactics they are going to lose customers. If I walk away from the Maverick, do you think I'll be looking at another Ford (EVER)?? Hello, Toyota, how have you been? These kinds of things are going to undermine any trust the public has in ordering from Ford. Especially after waiting months for your build to arrive at it's expected cost. We'll see, I'm prepared to involve Ford even if it does no good. Even though they are "independent" dealers, it is the Ford company they are trashing.

Let's hope that like the production delays, this turns out to be a bit of worry over nothing.
 

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Sounds like a PR disaster for Ford, I'd report the dealer to Ford as those shenanigans should definitely bother them and Ford doesn't benefit at all. I know on the Hyundai forums there was a dealer that put some crazy markup on a Santa Cruz around $10K over MSRP and it made the news and Hyundai got pissed and threatened them and they have the legal right under "manufacturer imposed requirements" and can otherwise cut them off. Voila, price was lowered.
I wish they would even talk to dealers with a lower BS addendum like my local has a $3000 addendum....bunch of BS but the good part is..It kept me in the Maverick Camp when I should not have even looked at the Hyundai Cruz in the first place
 

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Ran across an article in my news feed from road and track indicating that some dealers are adding thousands of dollars to the cost of Broncos that people had ordered from Ford, right before delivery,. Hoping this doesn't start happening with Mavericks as well. They made it sound like the dealers don't care if the people walk away because they can obviously sell them for more than the original orderer would have originally paid. Not sure how locked down the cost of my truck is on the order paperwork I signed or the xplan price they have wrote on it, but I hope it doesn't change.
I didn't order until a few weeks ago, so I don't expect the Maverick before next year. If my dealer doesn't honor the x-plan pricing I'm prepared to walk.
 

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CASD57

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I didn't order until a few weeks ago, so I don't expect the Maverick before next year. If my dealer doesn't honor the x-plan pricing I'm prepared to walk.
My build date is 10/25 I don't think I can squeeze in 90 days before delivery so the X plan wont be in effect :( But maybe on the Lariat when it gets scheduled
 

Jasperw229

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my local small town dealer (the ONLY Ford dealer in town) told me there will be no markup above MSRP on Maverick as it's not the way they do business. They DO have a notice posted everywhere there is a non-negotiable $399.00 dealer fee added to every vehicle to cover some misc common expenses they incur. Likely BS and pure profit for them, but I'm still coming in under what I previously budgeted for a new small truck and buying it with windfall profits from selling an old house, so not sweating it.
I think an upfront relatively small $399 fee is acceptable. They are telling everyone ahead of time that this is the cost of buying from them.
You always have the option to find a different dealership to buy from if they increase that fee to something truly ridiculous.
 

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Yes, it would be.
The order itself wouldn't be cancelled, but the order to that customer would be cancelled. The scenario you outline is EXACTLY what Ford frowns upon.
I guess I'm not understanding why this would matter to Ford, it's still a sale no matter who buys it.
 

atomguy245

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If this happens to you you can either pay the surprise markup, cancel and walk away or fight. How to fight? You can contact a lawyer and get them to send notice of intent to sue. You can go to your local news station's "problem solver" team, and/or blow up the dealer on social media. It's one thing to know about and agree to a dealer markup in advance, but to slam people with it at the last minute is truly scummy. I just ordered my Maverick yesterday from my local dealer, and there was zero indication of paying over MSRP for the truck. I guess I will see in 6 months when it comes in.
 

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I guess I'm not understanding why this would matter to Ford, it's still a sale no matter who buys it.
You can't understand why Ford would get upset at dealerships pulling bait and switch moves on folks buying Ford products? Seems pretty obvious that it's a bad look for the Ford brand.

Regardless of whether they SHOULD be bothered by it though, they most certainly are. My understanding is that the only reason we're required to provide our driver's license when ordering is because of how many dealers "worked the system" with Broncos by placing fake orders so they can stick it on their lot.

A dealer pulling a fast one on a customer order is way worse than that.
 
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UberGadgetFreak

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If this happens to you you can either pay the surprise markup, cancel and walk away or fight. How to fight? You can contact a lawyer and get them to send notice of intent to sue. You can go to your local news station's "problem solver" team, and/or blow up the dealer on social media. It's one thing to know about and agree to a dealer markup in advance, but to slam people with it at the last minute is truly scummy. I just ordered my Maverick yesterday from my local dealer, and there was zero indication of paying over MSRP for the truck. I guess I will see in 6 months when it comes in.

My Maverick order thing was fun.
First, they asked me to sign a BLANK purchase agreement. I know better than that. Never sign a purchase agreement without a price first. They claim that was 'in error' and offered to fix it.
When I went in to fix it, they knew I was less than happy. But after some talking, they put a price on it and wrote "No ADM will be applied" before I signed it and they gave me a copy.

But yeah, make noise. Talk to contract law attorneys, file complaints with the state AG office, too. I know a few on the Bronco forums got bit, but the ones I got a response from got burned because they didn't get the price agreed to in writing first, which left them wide open.
 

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You can't understand why Ford would get upset at dealerships pulling bait and switch moves on folks buying Ford products? Seems pretty obvious that it's a bad look for the Ford brand.

Regardless of whether they SHOULD be bothered by it though, they most certainly are. My understanding is that the only reason we're required to provide our driver's license when ordering is because of how many dealers "worked the system" with Broncos by placing fake orders so they can stick it on their lot.

A dealer pulling a fast one on a customer order is way worse than that.
I agree it's wrong for them to do that to someone who ordered a vehicle and intends to go through with the purchase. But if they pass on it and it ends up on the lot I don't see the big deal. Dealers don't make much selling vehicles at MSRP or below, they have to make money some how. While a lot of people do research to get the best deals, some people are ok with paying markups to get a vehicle sooner with the way things are right now. I'm not saying it's right, but at the end of the day a sale is a sale which is what Ford wants.
 

atomguy245

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My Maverick order thing was fun.
First, they asked me to sign a BLANK purchase agreement. I know better than that. Never sign a purchase agreement without a price first. They claim that was 'in error' and offered to fix it.
When I went in to fix it, they knew I was less than happy. But after some talking, they put a price on it and wrote "No ADM will be applied" before I signed it and they gave me a copy.

But yeah, make noise. Talk to contract law attorneys, file complaints with the state AG office, too. I know a few on the Bronco forums got bit, but the ones I got a response from got burned because they didn't get the price agreed to in writing first, which left them wide open.
In all honesty I didn't sign a purchase order. I signed the build sheet with the MSRP at the bottom. I ordered mine from a small town local dealer, the type of dealer where you can tell every guy in there has worked there for 20 years. None of the new cars in there had an ADM sticker on them.
 

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I agree it's wrong for them to do that to someone who ordered a vehicle and intends to go through with the purchase. But if they pass on it and it ends up on the lot I don't see the big deal. Dealers don't make much selling vehicles at MSRP or below, they have to make money some how. While a lot of people do research to get the best deals, some people are ok with paying markups to get a vehicle sooner with the way things are right now. I'm not saying it's right, but at the end of the day a sale is a sale which is what Ford wants.
Your first sentence is the only one really applicable to the topic though, which is dealers raising prices right before delivery.

As for the rest of your post, of course dealers can charge whatever they want, and should. It's on the buyer to confirm pricing at time of order with the dealer, who needs to stand by that pricing. As long as dealer sticks to that, no harm, no foul. But that's not at all the same thing as raising the price right before delivery. :unsure:
 

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Your first sentence is the only one really applicable to the topic though, which is dealers raising prices right before delivery.

As for the rest of your post, of course dealers can charge whatever they want, and should. It's on the buyer to confirm pricing at time of order with the dealer, who needs to stand by that pricing. As long as dealer sticks to that, no harm, no foul. But that's not at all the same thing as raising the price right before delivery. :unsure:
I originally commented because you said canceled orders as in someone ordered it and then canceled. I think there's some confusion on what you're implying by canceled because canceled and price gauging are two different things. Anyways it doesn't matter, have a good day.
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