Michigan suspended LaFontaine Hyundai's dealer license in suburban Detroit after the dealership failed to meet state requirements
In 2024, the Michigan Department of Secretary of State's office suspended the dealer license for LaFontaine Hyundai, a dealership located in the Detroit suburbs. A license suspension means the dealership cannot legally sell vehicles in Michigan until the state lifts the suspension. The suspension came after the dealership did not comply with state regulations that all car dealers must follow.
This type of action is not uncommon — states suspend or revoke dealer licenses when dealerships violate consumer protection laws, fail to maintain required bonding, or do not follow record-keeping rules. If you were considering buying from this dealership or had a pending transaction, understanding what a suspension means and what your options are matters for your wallet and your legal standing as a buyer.
Key Takeaways
- A license suspension prevents a dealership from legally selling vehicles in Michigan, though the dealership may still operate for service or other purposes.
- Suspensions typically result from violations of state dealer regulations, such as bonding requirements, consumer protection laws, or record-keeping failures.
- If you purchased a vehicle from the dealership before the suspension, your purchase remains valid and your warranty obligations are unchanged.
- If you had a pending purchase when the suspension took effect, you should contact the dealership in writing and explore your state consumer protection options.
- The Michigan Secretary of State's office maintains a public record of all license actions, which you can search to verify a dealership's current status.
What a dealer license suspension actually means
A dealer license suspension is a formal action by the state that prohibits a business from selling motor vehicles. The dealership cannot legally transfer title to a buyer or complete a sale while the suspension is in effect. However, a suspension is not the same as a permanent revocation — it is typically temporary, though the length varies depending on the violation and the dealership's response.
During a suspension, the dealership may still operate a service department, sell parts, or handle other business that does not involve selling vehicles. Some dealerships continue to operate in limited capacity while working to resolve the issues that led to the suspension. The state may lift the suspension once the dealership corrects the violation and meets any other conditions the state imposes.
Why Michigan suspended this dealership's license
The specific reason for LaFontaine Hyundai's suspension relates to violations of Michigan's dealer regulations. Common reasons for suspensions include failure to maintain a surety bond (a financial may provide required by the state), violations of the Michigan Consumer Protection Act, failure to properly handle customer deposits, or inadequate record-keeping of vehicle transactions and titles.
Without access to the formal complaint or order from the Secretary of State, the exact violation cannot be stated here. However, you can view the official record by visiting the Michigan Secretary of State's website and searching the dealer license database. That record will show the violation cited and any conditions the dealership must meet to have the license reinstated.
What to do if you bought a vehicle from this dealership
If you purchased a vehicle from LaFontaine Hyundai before the suspension took effect, your purchase is legally valid. The suspension does not void your title, your warranty, or your ownership of the vehicle. You own the car regardless of the dealership's license status, and you can sell it, trade it, or service it normally.
Hyundai's manufacturer warranty remains in effect as well. You can take your vehicle to any Hyundai dealership for warranty service, and the manufacturer's obligations to you do not change because of the selling dealership's license suspension. Keep your purchase paperwork and title in a safe place as proof of ownership.
What to do if you had a pending purchase when the suspension happened
If you had agreed to buy a vehicle from LaFontaine Hyundai but had not yet completed the transaction when the suspension took effect, you cannot complete that purchase through the dealership. The dealership cannot legally sell you the vehicle while suspended. You have several options: you can ask the dealership to return any deposit you made, you can request that the dealership help you transfer the deal to another Hyundai dealer, or you can walk away and look for the same vehicle elsewhere.
Put your request in writing — email or a letter — so you have a record. If the dealership does not return your deposit within a reasonable time, you can file a complaint with the Michigan Attorney General's Consumer Protection Division or pursue the matter in small claims court if the amount is within that court's limit in your county.
How to check a dealership's license status in Michigan
You can verify whether any dealership in Michigan currently holds a valid license by visiting the Michigan Secretary of State's website and using the dealer license search tool. Enter the dealership name or location, and the database will show whether the license is active, suspended, or revoked. This same tool shows the license history, so you can see if a dealership has had previous violations.
Before buying from any dealership in Michigan, running this check takes two minutes and protects you. If a dealership's license is suspended or revoked, do not buy from them — it is illegal for them to sell vehicles, and you may have difficulty enforcing your rights if something goes wrong with the purchase.
Your rights as a consumer under Michigan law
Michigan's Consumer Protection Act covers vehicle purchases and gives you the right to sue a dealership for violations. If a dealership breaks the law — for example, by selling you a vehicle while suspended, misrepresenting the vehicle's condition, or failing to disclose known defects — you can file a complaint with the Michigan Attorney General or pursue damages in court.
You also have the right to a written purchase agreement that clearly states the vehicle's condition, any warranties, and the total price. If the dealership did not provide this or misled you about the vehicle, document everything and contact the Attorney General's office. Many consumer complaints are resolved through mediation or result in the dealership being ordered to refund your money or repair the vehicle.
Frequently Asked Questions
Can I still get my vehicle serviced at LaFontaine Hyundai if they have a suspended license?
A suspended sales license does not necessarily prevent the service department from operating. However, you may want to take your vehicle to another Hyundai dealership to avoid any complications. Call ahead to confirm whether the service department is still open before you visit.
Does a license suspension affect my Hyundai warranty?
No. Your Hyundai manufacturer warranty is backed by Hyundai Motor Company, not by the dealership. You can take your vehicle to any authorized Hyundai dealership for warranty service, regardless of where you bought it or the selling dealership's license status.
What happens if I already financed my vehicle through the dealership?
Your loan agreement and financing remain valid. The suspension does not affect your obligation to pay the loan or the lender's rights. Continue making payments as agreed. If you have questions about your loan, contact your lender directly — they are separate from the dealership's license status.
How long does a license suspension usually last?
The length varies depending on the violation and how quickly the dealership corrects it. Some suspensions last weeks; others last months. The state's order should specify the conditions for reinstatement. You can check the Secretary of State's website periodically to see if the suspension has been lifted.
Can I sue the dealership for selling me a vehicle while suspended?
If the dealership sold you a vehicle after the suspension took effect, that sale was illegal. You would have strong grounds to pursue a refund or damages under Michigan's Consumer Protection Act. Document the sale date and the suspension date, then contact the Michigan Attorney General's Consumer Protection Division or consult a consumer attorney.