121.  R.N. Motors, Inc., Docket No. C-3947 (April 2000)

122.  Simmons Rockwell Ford Mercury, Inc., Docket No. C-3950 (April 2000)

Respondents: R.N. Motors, Inc., Red Noland Cadillac, Inc., and Nelson B. Noland; Simmons Rockwell Ford Mercury, Inc.; Simmons Rockwell Autoplaza, Inc.; Don Simmons, Inc.; Donald M. Simmons, II., and Richard L. Rockwell

Respondents advertised auto leasing costs on their Internet Web sites. According to the FTC, the ads either failed to reveal the true lease costs, including costs due at lease inception, or buried key cost information in inconspicuous or unreadable fine print. The FTC charged that such practices violated the Consumer Leasing Act (CLA) and were misleading, in violation of the FTC Act. In addition, respondent Simmons Rockwell et al.'s online credit ads failed to disclose or failed to disclose clearly and conspicuously required credit terms, in violation of the Truth in Lending Act (TILA).

Under a settlement finalized on June 6, 2000, respondents are barred from misrepresenting the costs or terms of vehicle leasing, including the amount due at lease inception. Various advertising restrictions apply to the respondents, including a prohibitions on disseminating lease promotions that state payment amounts, or state that any or no initial payment is required at lease signing or delivery, unless the ads also clearly and conspicuously disclose other key lease information, such as the total amount due at lease inception. All respondents agree to remain in compliance with the CLA and Simmons Rockwell et al. agree to remain in compliance with the TILA.

Final orders were issued against RN Motors et al. and Simmons Rockwell et al. in June 2000.