GM ‘Destination Charge’ Not Deceptive, Ninth Circuit Affirms

General Motors LLC held onto a win in a proposed class suit alleging it misled car buyers by failing to disclose that a “destination charge” on vehicle sales included profit.

Robert Romoff and Joe Siciliano alleged that vehicle price stickers made customers think the destination charge—paid by the dealers to the automaker—reflected just the actual cost to GM of transporting a vehicle to a dealership, not transport expense plus profit.

The US District Court for the Southern District of California said the term doesn’t imply a lack of profit and the US Court of Appeals for the Ninth Circuit affirmed …