BLOOMINGTON, MINNESOTA -- Whatever you do DO NOT buy a vehicle from K2 Auto group in Bloomington, MN.
Here is my story why. Please read the entire review to fully understand the type of people you are dealing with. I purchased a vehicle with an extended warranty from K2 in 2008. The warranty was a pivotal point in my decision to purchase the vehicle as had it not qualified for the warranty I would not have bought it. The warranty was displayed by nice marketing materials on the sales man Jeff Hallada’s desk. It was through a company called warrant-ease. When I spoke with the salesman about it he said it was a good warranty program and they had been doing business with warrant ease for years. It was expensive so I asked Jeff if they (K2) made any money on the sale of the warranty and he said yes we make some but most of the money goes to warrant-ease. I figured that made sense and decided to proceed. The warranty I chose was $3,200 and required a $90 inspection by a mechanic to make sure the vehicle qualified prior to purchase. Which it did so I completed my transaction with an additional $3,400 roughly after tax added onto my vehicle purchase price and a 75,000 mile very good warranty.
About 10 months later I was having a routine oil change done and was told by my mechanic that I had a torn cv boot and they could replace it if I liked. I said yes and told them to contact the warranty company with the info I was provided as it would be covered under the warranty. When my mechanic tried to contact the company warrant–ease none of the phone numbers worked. The website emails were returned and it became obvious this was a bogus company. I tried contacting them to no avail for any number or email I could find in my information (warranty packet) or online. When I was unable to make any contact I called K2 and told them of my situation. I was told that this was not their problem as warrant-ease was a separate company and they had nothing to do with the servicing of the warranty. They made no offer to help and simply said I would have to find out what happened. I could not believe it but figured technically they could say it was not their problem as they only acted as the selling agent of the warranty and legally it was another company that provided the actual warranty itself.
I contacted the MN Secretary of State and the MN Department of Commerce in an attempt to get some help as a consumer who was just sold $3,400 worth of nothing. After an investigation by the dept. of Commerce they learned that the company warrant-ease never legally existed in the state of Minnesota. They were not licensed, bonded or insured to do business legally in this state. It was simply an individual pretending to be a legal business who was having dealerships sell their “product”. K2 was selling the warranties from every desk in their dealership. The state issued a cease and desist order against warrant-ease (Google it) and I filed a small claims court case (file number 27-CO-10-3652) against K2 Auto Group of Bloomington, MN. The owner is Dale Langer. I filed my case based on the fact they did no due diligence (negligence) to ensure the products they were selling were legitimate (a simple request for a business license and a copy of their bond is all it would take) and they were the sales agent for warrant-ease. I never met with anyone from warrant-ease, after all it never legally existed, it was just some guy. I wrote one check for everything payable to K2 Auto Group and they admittedly profited from the sale of a non existent product.
August 3rd, 2010 I won my small claims court case against K2 Auto Group and a judgment of $3,292.50. Needless to say I was happy and finally felt relief to put all this behind me. I wish that had been it….K2 has obtained an attorney, Paul Rambow and has filed an appeal to take the case to district court. District court in Hennepin County has a $330 filing fee, 10% of the amount that was awarded to me, just to go to court again. At least I won’t have to pay for that. During this entire process I have not put out one bad word online or to any media outlet, as I am a new father, and frankly I have better things to do with my time. Yet, after fighting this long and hard and winning in court once already only to have K2 obtain an attorney and pay 10% of the judgment in filing fees alone in an effort to not make things right, I am sick to my stomach.
Any business that will go this far out of their way to repeatedly screw over a customer/consumer is an absolute joke. These people are proving themselves to not only be inept business people who will represent anything that will make them a dollar, whether it actually exists or not, but also 1st class jerks. They would rather pay an attorney than pay me the money they took from me. They tried to justify themselves in court the first time by simply claiming ignorance. What they just can’t seem to understand is that they are trying to place the blame on another company, and hide behind the law that would separate them from liability. When in fact there never was another company involved, just one, K2 Auto Group, as warrant-ease was never a legal business in the first place, EVER, just some scam artist. Yet they still profited from scamming me, seem fair? This is why businesses have Errors and Omissions insurance and why any decent business would do some homework before selling a product of this price. This business embodies what so many large and small companies have over the last few years. A complete unwillingness to be held accountable for their actions, or lack thereof. I really hope that this reaches anyone who is considering a purchase from these people. They are truly undeserving of a dime of your hard earned money.
Golden Valley, MN