Won ebay auction at 60K for E90 M3, BMW of Lincoln refusing to honor

[jzcrna]

another one in suspense here! If he is getting the deal, he has to be feeling pretty terrible in the dealership right now. Only because you know they are not going to be very hospitable, etc. No friendly.."coffee is over here...This is Manuel, Tom, Dick, or Harry from the service department.. Get yourself some coffee and relax while enjoying some television..I am sure this is not the best experience to have at the dealership...

However, He is going to feel pretty damn good when he drives off of that lot!!!


Another thing, I hope that there are other places that he can have decent service done around there.

Good luck Ken!

[0.02eurocents]

Originally Posted by mkoesel

But we are not talking about Husker in this sub-discussion. We are talking about BMWNA, and what they could do to fix this situation. An M3 at $60k will not be a loss for BMWNA or BMW AG, even with the ED trip thrown in.

That is because of the ridiculous european prices. I read somewhere that BMW USA has revenue of 5 or 6 percent. Revenue around here is probably more like 15-20%.

What is the ED thing you guys keep mentioning.

[BritBoy]

Originally Posted by 0.02eurocents

Well, I am not trying to troll, but I cannot see why they would be trying to get involved. It is pretty clear to most people that there are good, reliable brands of cars (like BMW, MB, etc.) and that there cheap, shady ones (like, is the Geo Metro still on the market in the US). And just as such there are good and bad dealers. There good and bad cops. I don't really see how anyone that has decided on getting BMW would jump shit now because some dealer is rampage. Someone also pointed out that BMW-NA has pretty much no way to control how a dealer conducts his business or any sort of legal recourse.

If they were really bent on taking their "brand" and "corporate" protection to such levels, they also would have to require every BMW purchaser to sign an agreement to never go over the posted speed limit, park illegally, drive recklessly. They require you to keep any aftermarket parts off the car to not ruin their careful design, check the tire pressure every 4 weeks so you don't burn more fuel than it is necessary, etc. etc. pp.

But they can't. I see it like this - once I pick up the car it is mine, and the manufacturer or the dealer has nothing to tell me about how I use it. And I think once BMW-NA deliveer to the Hustler of Lincoln they have no more control about that car themselves.

And I don't know about the culture/jobs position filling in BMWNA, but I might there are a few germans in important position. Car coporations, especially here in Germany have a mantra when the shit hits the fan. "This too shall pass." Customer has been a word that was unheard in these places until recently. Maybe a german department manager in BMW-NA has infused the same attitude in his employees. I don't know if you have noticed the desaster BMW had a while ago with theiranti lock braking system on their bikes or if that was a thing local to Germany, BUT they handled the situation and the complaints and even the article in a magazine of the ADAC (AAA like organization, publication has like 4 million circulation) with dead silence at first and then by ridiculing the complaining person ("Maybe the gentleman should learn tu use the brakes properly on his bike" to a seasoned motorcycle rider) and only after authorities became aware that there is indeed a problem that is not an isolated case and started to look into it, BMW became active and issued a recall. And we are talking about a freaking brake system that was bound to fail here, not just some customer who was mistreated by his dealership.

So, yeah. Don't hold your breath for corporate invention. They might contact the people involved direclty at most, that would be Husker, Ken, the lawyers and Van Tuy or whathisname. But the BMW CEO is not going to take and the wife out for dinner in Munich with the corporate jet. It is not common german practice to go out of your way to rectify a problem like that, sad as it sounds.

Don't buy german cars if you live in Germany.

Oh my word- you mean inaction, denial and aloofness are par for the course?

Now we know where the dealer got it from!

[26.2]

Originally Posted by jzcrna

Another thing, I hope that there are other places that he can have decent service done around there.

Good luck Ken!

He's from California---the dealer is out of state.

[Bimmer777]

Originally Posted by 0.02eurocents

What is the ED thing you guys keep mentioning.

European Delivery

[AML]

Originally Posted by 0.02eurocents

That is because of the ridiculous european prices. I read somewhere that BMW USA has revenue of 5 or 6 percent. Revenue around here is probably more like 15-20%.

What is the ED thing you guys keep mentioning.

ED = European Delivery. You have the option of picking your car up in Germany, get to drive it around and have fun with it, etc. and ship it back here.

http://www.bmwusa.com/Standard/Conte...y/Default.aspx

[JannainOttawa]

[AYF82M4]

Ok, here is where we are. My lawyer has been working on my behalf.


He got the dealership to remove two conditions Fil Catania tried to impose on the deal on Monday. The first condition was that I agree not to sell the car for 2 years. They agreed (through their corporate counsel in Arizona) to drop that one. The second condition was that I agree to confidentiality and that I do something to stop the press from contacting the dealership and say something nice about the dealership. We got that one dropped, too.



I was told to arrange to make the deposit with Fil Catania at the dealership today (and was given a 4 hour deadline). To my dismay, Fil Cataniam, the GM, used my call as an opportunity to berate me, telling me CSNBC, etc.,. etc., were calling the dealership again. In my call to him, he also refused to take my credit card! In essence, he has rejected the deal corporate counsel for the parent company had worked out with my lawyer last night.



So I am ceasing communication with the dealer for now. My lawyer drafted the letter that appears below (he has dealt with Mr. Herbert Klein, general counsel for BMW NA in the past), which he faxed earlier today to BMW NA..



Also, other dealerships have been calling me, offering not only support, but greart deals on M3s! As much as I would love to take one of them, I don't know tif they are real offers or not, and I simply want BMW of Lincoln to live up to its obligations to me.



I would ask that no one call the dealership or BMW NA about this, but just wait and see what happens next. I know my lawyer is preparing a lawsuit, and if we have to file it, I will post further information here. It will also be interesting to see if BMW NA, now that it has been "officially" notified, does anything about this. This will be a good object lesson for all of us about how a car company stands up for its customers, don't you think?



LAW OFFICES OF

GARFIELD & TEPPER

A PARTNERSHIP OF PROFESSIONAL CORPORATIONS

1801 CENTURY PARK EAST, SUITE 2300

LOS ANGELES, CALIFORNIA 90067-2325

TELEPHONE: (310) 277-1981

FAX: (310) 277-1980





March 26, 2008




Herbert L. Klein, Corporate Counsel

BMW of North America

300 Chestnut Ridge Road

Woodcliff, New Jersey 07677-7731



Herb:



I represent Ken Tanisaka in connection with his dealings with BMW of Lincoln.

No doubt you have heard of the controversy that became viral on the Web this weekend.

Ken and I had worked out a “no preconditions” deal in which BMW of Lincoln

was going to treat him as any other customer and sell him the M3 sedan at the winning

bid made by Ken on eBay. ($60,000 plus a $399 title or document fee.) Mike Maledon,

counsel for the parent company that owns BMW of Lincoln, instructed me to have Ken

call Fil Catania, the general manager of that BMW store, to provide credit card

information and place the deposit. Mike had told me that Ken had 24 hours (from last

night) in which to make the deposit.



When Ken called Mr. Catania, Ken was subjected to an abusive lecture and told

it was his (Ken’s) responsibility to make the press go away. Mr. Catania refused to take

a deposit from Ken, effectively reneging on the deal that was reached yesterday, in which

BMW of Lincoln, through Mike Maledon, had agreed not to impose an impossible

condition that Ken “control the press.”



Can you help us? As you may be aware from the blogosphere, thousands of

BMW afficionados are asking “What is BMW NA doing about this?” I think that’s a fair

question. And, once we get this straightened out, perhaps BMWFS can also step up to

the plate



Sincerely yours,



/s/

SCOTT J. TEPPER

SJT:vrs

cc: Ken Tanisaka

[jzcrna]

Originally Posted by 26.2

He's from California---the dealer is out of state.

duh, sorry my mistake..

[stylinred]

hi there member from revscene.net here just wanted to say we're rooting for you

if i were you id be all over the press, and their ebay feedback score, about them being shady or at least threaten to escalate the situation unless all conditions within the ebay auction are met and nothing more

[Michael-Dallas]

1- BMW of Lincoln is not owned by BMWNA, therefore, BMWNA will not shoot in this gunfight; the most they will probably do is aim their guns and shout at BMW of Lincoln to behave.
If this was a different dealer for a used BMW, like "Joe's Used Cars", then do you think BMWNA should intervene if Joe is potentially bringing down the brand image w/ a sour situation on a BMW?

Think of it as a multilevel marketing business where the salesforce are completely independent from the corporation. The salesforce represents and sells the product, but they are not employed by the corporation so very little corporate rights and benefits. The second the corporation does something for the an independent sales consultant, then that gives that sales consultant rights as an employee of the corporation; that door would be open wider than a $2 whore. In this situation, the corporation is BMWNA and the sales consultant is BMW of Lincoln.

* I am not an attorney and this is just my speculation

2- I'm sure that if Dooma won the auction at $10k over MSRP and changed his mind, then BMW of Lincoln would be the 800lb gorilla breathing down his neck.

3- I really feel for car salesmen as it's a very stressful profession -- alot of work for very little. However, trying too hard and lying to seal a deal is not the way to win customers for life or future customers.

Futhermore, my pity diminishes rather quickly as we go up the dealer food chain. Only a few take the majority of the money and it's up the food chain.

4- The difference between invoice and MSRP for a BMW can be greater than $10k. The number increases w/ the popularity of the model line and quantity. Dealers don't make much off the 3-series, but they sell in large quantities -- it is the bread and butter of the brand. Dealers don't sell as many 5-series, but they make a little more per car than the 3-series. The biggest difference (at least from a few years ago) was in the 7-series, specifically 760Li. You don't want to know how much the difference between invoice and MSRP is on one of those.

///Michael

[hakaida442]

FUsker bmw is in the same category as eisenfraud as far I'm concerned.

[toddy33]

Oh, my God.

In spite of previous evidence to the contrary, I just can't believe these asshats could be this stupid.

Sigh.

I know that Ken is asking us not to contact them...and I certainly won't..but I have a feeling that BMW of Lincoln is in for a very, very rough time.

[LilRedGXP]

Originally Posted by dooma350

Ok, here is where we are. My lawyer has been working on my behalf.


He got the dealership to remove two conditions Fil Catania tried to impose on the deal on Monday. The first condition was that I agree not to sell the car for 2 years. They agreed (through their corporate counsel in Arizona) to drop that one. The second condition was that I agree to confidentiality and that I do something to stop the press from contacting the dealership and say something nice about the dealership. We got that one dropped, too.



I was told to arrange to make the deposit with Fil Catania at the dealership today (and was given a 4 hour deadline). To my dismay, Fil Cataniam, the GM, used my call as an opportunity to berate me, telling me CSNBC, etc.,. etc., were calling the dealership again. In my call to him, he also refused to take my credit card! In essence, he has rejected the deal corporate counsel for the parent company had worked out with my lawyer last night.



So I am ceasing communication with the dealer for now. My lawyer drafted the letter that appears below (he has dealt with Mr. Herbert Klein, general counsel for BMW NA in the past), which he faxed earlier today to BMW NA..



Also, other dealerships have been calling me, offering not only support, but greart deals on M3s! As much as I would love to take one of them, I don't know tif they are real offers or not, and I simply want BMW of Lincoln to live up to its obligations to me.



I would ask that no one call the dealership or BMW NA about this, but just wait and see what happens next. I know my lawyer is preparing a lawsuit, and if we have to file it, I will post further information here. It will also be interesting to see if BMW NA, now that it has been "officially" notified, does anything about this. This will be a good object lesson for all of us about how a car company stands up for its customers, don't you think?

Woohoo, atta boy Scott/Ken. Stick it to them the bastards.

BMW NA and/or FS should have stepped in way before now (legal route). As Ken says, the way Corporate treats, or in this case doesn't treat, it's customers speaks volume about their sincerity about treating the customer right.

Keep us posted and we're all rooting for ya.

LilRedGXP

[BritBoy]

Dooma, what can I say?

Thanks for the update you must be dumbfounded!

I am left speechless by these guys, you couldn't make it up!

'Reneging on the deal' seems to be Husker's catchphrase.

It may be their epitaph!

[AML]

Keep at it Ken! Glad they were willing to drop the confidentiality condition.

[Bokke]

Ken - best of luck! I have been following this from your first post!

BMW of Lincoln's actions continue to amaze me.

Plus, who goes by "Fil?" And that's coming from a Philip!

[kart339]

Long time lurker on m3post.com......

Just registered to say this.....

Has Fil Catania lost it??!!!

After HIS corporate lawyers have sealed the deal, what does he think he is doing?!

[ersin]

This has got to be "Thread of the Year" so far. Good luck dooma!

[D_o_S]

Wow, what a story, now its all over the Internet...

dooma350, you have my full support, go and get your M3!

As for BMW of Lincoln, you guys screwed up pretty bad, but hey, it could have been worse. Time to learn from your mistakes. When posting the auction, I'm sure you thought there was some risk involved, and took it into account. You took the risk - VOLUNTARILY - and your "plan" failed. Time to accept what has happened, and give the guy his car!!!

[par4bmw]

They are fools. How can BMW of Lincoln be that stupid. Every minute this goes on is more of a chance that they lose more money. Being the only dealer in a wide area, not doing business with them probably means not buying a Bimmer. BMW NA should step up. It only will take a couple less cars sold and they lose. Plus, this is just not right.

Stick it to them Ken!

[TestSubjekt]

Originally Posted by dooma350

Ok, here is where we are. My lawyer has been working on my behalf.

He got the dealership to remove two conditions Fil Catania tried to impose on the deal on Monday. The first condition was that I agree not to sell the car for 2 years. They agreed (through their corporate counsel in Arizona) to drop that one. The second condition was that I agree to confidentiality and that I do something to stop the press from contacting the dealership and say something nice about the dealership. We got that one dropped, too.

I was told to arrange to make the deposit with Fil Catania at the dealership today (and was given a 4 hour deadline). To my dismay, Fil Cataniam, the GM, used my call as an opportunity to berate me, telling me CSNBC, etc.,. etc., were calling the dealership again. In my call to him, he also refused to take my credit card! In essence, he has rejected the deal corporate counsel for the parent company had worked out with my lawyer last night.

Un-frickin-believable! That's twice they've backed out of a deal. Nice letter your lawyer drafted up. I especially liked that last part mentioning that lots of people are wondering what BMW NA are going to do about this.

Not listening to BMW corporate counsel has me thinking (or is that hoping?) that Fil won't be employed with BMW much longer.