Chrysler Destination Charge Lawsuit Filed in Delaware

Owners claim Chrysler makes a profit from the delivery and destination fees on new vehicles.

Chrysler Destination Charge Lawsuit Filed in Delaware

Posted in News

— A Chrysler destination charge alleges the automaker makes a profit from the delivery fees charged to customers who purchase new vehicles from dealerships.

The class action lawsuit also asserts Chrysler charges more for destination fees than competitors.

According to the Fiat Chrysler (FCA) lawsuit:

"Plaintiffs bring this class action lawsuit on behalf of themselves other purchasers of new, model-year 2018 and later Chrysler, Jeep, Dodge, Ram, Fiat and Maserati-brand vehicles distributed for sale in the United States by FCA."

The Monroney sticker, or window label, provides potential buyers with information about the vehicle, pricing and the amount of the destination charge. But the plaintiffs claim the destination charges on the window stickers are misleadingly labeled.

Additionally, the class action says those delivery fees cannot be negotiated.

Instead of charging the true cost to deliver a vehicle to a dealership, the lawsuit alleges the automaker inflates the fee to make a profit.

The class action lawsuit references the Ram 1500 truck destination charge and how it has increased more than 50% over a seven-year period.

The destination charge class action lawsuit was filed by these owners regarding these vehicles they purchased and what they paid in FCA destination charges.

  • Perry and Wendy Beeney / Illinois / 2020 Dodge Journey Crossroad ($1,495) — 2021 Jeep Renegade Trailhawk ($1,495) — 2022 Ram 2500 Power Wagon ($1,795)
  • Nathan Benefield / Missouri / 2019 Ram 1500 Laramie ($1,695) — 2022 Ram 1500 TRX ($1,795)
  • Trevor Cole / Georgia / 2021 Dodge Charger ($1,495)
  • Robert Collingwood / Ohio / 2021 Ram 1500 Big Horn ($1,695)
  • Gary Dutkowski / Pennsylvania / 2021 Ram 2500 Power Wagon ($1,695)
  • Billy E. Rowles Jr. / Texas / 2020 Dodge Ram 1500 Big Horn ($1,695)
  • Darell Upshaw / Florida / 2018 Dodge Challenger SXT ($1,095) — 2021 Jeep Wrangler Sport ($1,495)

The Chrysler destination charge lawsuit was filed in the U.S. District Court for the District of Delaware: Beeney, et al., v. FCA US, LLC, et al.

The plaintiffs are represented by the Bifferato Firm, Handley Farah & Anderson PLLC, Gibbs Law Group LLP,  and Baron & Herskowitz.

Other Destination Charge Lawsuits

A separate Chrysler delivery fee class action lawsuit continues in court, and both Ford and General Motors faced similar lawsuits over destination charges.

In the GM class action, the automaker argued it did nothing deceptive because the destination charge was fully disclosed on the window sticker for everyone to see.

The judge dismissed the lawsuit by ruling average consumers wouldn't be surprised to learn the price of goods often includes a profit for the seller. The judge also said the words "destination charge" don't imply an absence of profit for GM.

The judge further ruled a reasonable customer wouldn't expect a destination and delivery charge to exclude a profit from the automaker.

In a Ford destination charge class action lawsuit, the automaker pointed to the arbitration clause included in the sales agreement signed by the plaintiff who sued, and the federal judge hearing the case granted Ford's motion to compel arbitration.