New York Attorney General Letitia James today announced that the Nissan Motor Assurance Company (NMAC) will provide refunds for all New Yorkers who were unfairly overcharged for their leased vehicles. An investigation by the Office of the Attorney General (OAG) found that 15 Nissan dealerships added junk fees or falsified the price of leased vehicles that customers wanted to buy when their lease ended, forcing them to pay higher costs. As a result of OAG’s investigation, those 15 dealerships have already paid $1 million in penalties for overcharging on end-of-lease buyouts and refunded more than $4.5 million to over 3,100 consumers who paid more for their vehicles than they were promised. Following Attorney General James’ continued efforts, this new agreement with NMAC will provide refunds for even more New Yorkers, ensuring that anyone overcharged at any of the 45 New York Nissan dealerships that were not part of the initial settlements will also receive full restitution for any overcharges.
“Buying a car is a major financial decision, and New Yorkers should not have to worry about dealers using illegal junk fees to drive up the price,” said Attorney General James. “Nissan dealers across New York misled their customers with junk fees and other costs to cheat them out of their hard-earned money. After securing refunds for customers of 15 Nissan dealerships, my office is now making sure that every New Yorker who was defrauded by any Nissan dealership gets their money back. We will always take action to stop illegal schemes that deceive consumers.”
The OAG opened an investigation into Nissan dealerships after consumers reported they were being overcharged and given inaccurate receipts for end-of-lease buyouts during the COVID-19 pandemic. The investigation found that the consumers leased their Nissan cars under an agreement that gave them the option to purchase the vehicle for a set amount after the lease term ended. However, when they returned to the dealerships to buy their cars after their leases were up, the dealerships substantially overcharged them. The dealers added miscellaneous “dealership fees” or “administrative fees,” or inflated the vehicle’s price on the invoice given to the consumer.
Attorney General James previously secured settlements with 15 different Nissan dealerships for cheating customers with these illegal fees and inflated prices. The new settlement with NMAC will deliver restitution to all New Yorkers who were cheated by these lease overcharge schemes at all remaining Nissan dealerships in New York. In addition, consumers who took out loans financed by NMAC to buy their leased car at the wrongfully inflated price will be refunded the additional loan interest they paid. The settlement also requires NMAC to make changes to its lease terms and business processes to prevent these overcharges from occurring in the future.
New Yorkers entitled to restitution do not need to take any action to receive the payment. NMAC will pay restitution through mailed checks in the full amount of the overcharge on a rolling basis throughout 2026 as it audits all dealerships statewide.
Attorney General James’ previous settlements with Nissan dealerships have delivered more than $4.5 million in restitution to consumers and $1 million in penalties. In May 2025, Attorney General James secured more than $3.2 million from eight additional dealerships in New York City and Long Island. In June 2024, Attorney General James secured $350,000 from two Nissan dealers on Long Island. In March 2024, Attorney General James secured over $1.9 million from five Nissan dealers in New York City and Long Island.
Attorney General James asks any consumers who may have been affected by deceptive or fraudulent lease buyout practices to file a consumer complaint online.
This matter was handled by Assistant Attorney General Alec Webley of the Consumer Frauds and Protection Bureau, under the supervision of Bureau Chief Jane M. Azia and Deputy Bureau Chief Laura J. Levine. The Consumer Frauds and Protection Bureau is a part of the Division of Economic Justice, which is led by Chief Deputy Attorney General Chris D’Angelo and overseen by First Deputy Attorney General Jennifer Levy.
