Massachusetts Resident Alleges Fraud Against New York Car Dealership Over Auto Trade-In


U.S. District Court for the Eastern District of New York | Official Website

A Massachusetts resident has filed a lawsuit against a New York car dealership, accusing it of fraudulent practices that left him financially burdened. On January 26, 2026, Nicholas Grossi filed a complaint in the United States District Court for the Eastern District of New York against Power Motors Massapequa LLC. The complaint alleges that Power Motors engaged in deceptive practices during an automobile transaction involving Grossi's trade-in vehicle.

According to the complaint, on October 25, 2025, Nicholas Grossi visited Power Motors' dealership with the intention of purchasing a 2020 Ram 1500. He agreed to trade in his existing vehicle and make a $3,000 cash down payment. Power Motors assured him that the monthly payment of $784.96 would cover all financing terms, including paying off the lien on his traded-in 2019 Ram 1500. However, Grossi claims that Power Motors failed to fulfill this promise and did not pay off the outstanding loan balance on his trade-in vehicle, which amounted to $20,652.30 owed to Service Credit Union.

The plaintiff accuses Power Motors of violating several laws, including the Truth in Lending Act (TILA), New York’s General Business Law §§ 349 and §350 concerning deceptive acts and false advertising respectively, as well as committing common law fraud and breach of contract under UCC Article 2. Grossi asserts that these actions resulted in financial loss and reputational damage as he was forced to continue making payments on a vehicle he no longer possessed to protect his credit score.

Grossi is seeking various forms of relief from the court. These include actual and statutory damages under TILA, treble and punitive damages for violations of New York's General Business Law and fraud claims, rescission and restitution for amounts paid including his down payment, equitable reformation of the contract to reflect what was originally agreed upon with Power Motors, credit repair or injunctive relief to restore his credit standing where applicable by law, as well as pre- and post-judgment interest along with reasonable attorney’s fees.

The case is being handled by David Kasell from Kasell Law Firm located in Long Island City, New York. The presiding judge has yet to be named in Case ID: 2:26-cv-00444.

Source: 226cv00444_Grossi_v_Power_Motors_Massapequa_LLC_Complaint_Eastern_District_New_York.pdf

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