According to the automaker, the dealer is one of the most efficient exhibition halls in New York State
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by Brad Anderson
March 5, 2025 at 5:13 PM
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- VW claims that prestige imports have always managed to achieve the sales goals for more than a decade.
- Since 2011, the concessionaire would have reached a little more than half of its required sales volume.
- VW initially sent a deficiency letter to the New York dealer in October 2010 and again in 2024.
If you’ve already wondered what’s going on when a dealer cannot achieve her goals for more than a decade, here is a juicy example. Volkswagen d’Amérique is trying to terminate its dealer agreement with prestige imports in Pleasantville, New York, saying that the sub-Performing dealer for over ten years. In order to reduce the cord, VW brought the mail to the concessionaire, accusing them of rape his contract by not selling enough cars.
The concessionaire concluded a VW contract in 1998, agreeing to comply with the company’s operating standards and annual sales objectives. According to a trial brought by the American district court of the South District of New York, Prestige Imports has not achieved its sales objectives. In fact, the concessionaire has managed to reach only more than half of his sales expected since 2011.
Read: VW dealers are furious, Scout does not care
In his complaint, says VW, “Prestige has not effectively represented the Volkswagen brand effectively and has no valid excuse for its poor performance”, adding that the patience of the company “is rightly so at the end”.
Prestige Imports also operates a Subaru franchise. VW declares that he first sent a deficiency letter to the concessionaire in October 2010, followed by a default notice in August 2011 due to his underperformance in progress. Despite these warnings, VW continued to offer extensions. In 2024, they published another default notice, fixing a deadline of April 1 for prestige to “correct the violations of its sales performance obligations”.
Although this deadline has been extended until September 30, 2024, VW says that Prestige has not implemented the measures necessary to recover on the right track. According to the trial, Prestige is one of the least powerful dealers of VW in New York State and in the surrounding region.
“Despite the supported efforts of VWOA in many years, Prestige continued not to reach a satisfactory level of sales performance and remained among the least powerful dealers in New York State and in the region,” said VW. “Prestige has failed to implement VWOA’s suggestions to create an effective sales service process, an improved online presence and a concerted digital marketing campaign. Indeed, Prestige declared zero dollar spent on advertising initiatives for sales of new Volkswagen vehicles in 2024. ”
The trial also indicates that customers living near prestige choose to buy VW products from other nearby dealers, indicating that the dealer “cannot attract effectively and retain customers”, ” Automobile news Reports.
