Michigan Dealership Back in Business After License Suspension

Well, that didn’t take long. The Michigan  car dealership that had its license suspended is already back in business.

Dealership Back in Business

LaFontaine Chevrolet Buick GMC of St. Clair, located on King Road in China Township, reached an agreement with the state that includes a $25,000 fine and an extended probationary period. The Michigan Department of State has confirmed the suspension has been lifted.

How the Suspension Happened

The dealership’s troubles began when MDOS accused them of presenting used cars as new, a serious violation under the Michigan Vehicle Code. LaFontaine says that’s not what happened. In a statement, the dealership called the issue 'purely administrative,' blaming it on confusion between automaker program rules, dealer processes, and what they described as Michigan’s outdated regulatory language.

READ MORE: Michigan Dealer Sells Used Vehicles as 'Brand New' According to Investigators 

The dealership said the suspension was lifted within a day, and operations were '100% back up and running' shortly after. The dealership said in a statement:

Our commitment to integrity, transparency, and the trust of our guests remains unwavering.

State Investigation and Ongoing Debate

The Michigan Department of State, however, maintains that its investigation found violations. Regulators claim the dealership registered new vehicles in its own name for use as customer loaners, then sold them as new once the loaner period ended: a move that state law classifies as selling used vehicles as new.

Dealership Denies Fraud

LaFontaine denies any fraud, saying automaker and lender definitions consider loaner vehicles new and that the state needs to update its standards to reflect how the auto industry actually operates.

For now, the dealership is back open for business, sales, service, and all. However, it remains under state probation while the debate over what counts as 'new' continues.