Mazda Settles Lawsuits Over Lease Ads

Mazda Motor Corp. of America agreed to settle suits by attorneys general in 21 states over allegedly deceptive lease advertisements that promised “zero down” and “penny down” terms. The suits claimed Mazda’s ads led consumers to believe they would get a new car for next to nothing, when the leases in fact cost about $900 in upfront fees and payments. Under the settlement, the Irvine-based auto maker agreed to pay $857,000 to the states involved to reimburse attorneys’ fees and other administrative costs. The company also agreed that the terms described in the ads would apply to the vehicles shown, California Atty. Gen. Dan Lungren said in a statement. Mazda admitted no wrongdoing. The states involved in the settlement include California, New York, Florida, New Jersey and Ohio.