Naples Motorsport wants another deposit and adding Dealer Fees. Is the Dealer Fee a markup?

[XavierNu]

I received an email from Naples Motorsport stating they now want an additional $7500 deposit due to other orders cancelling to protect their penalty costs from Lotus. They are also charging 999.00 dealer fee, on top of the 199.00 electronic filing fee, 99.00 third party tag fee, state sales tax, transportation fee and registration costs.

My spidey sense is going off. Am I being scammed or charged up? Initially I was told they are selling at MSRP, no markup, no additional deposit. Only sales tax, registration fees and transportation if I elected to go with their car shipping company.

Are the reputable dealership I see in this forum like Gator Motorsport doing the same? Any insight to help current and future Emira fans make an informed decision would be much appreciated.

 

[vdr]

My apologies, I have no idea as to your question, I just find the incursion of a potential “penalty fee” by Lotus to be the ultimate flex In regards to having rather large balls.

Years of delays, little to no info through corporate channels, configs due months before anticipated production, etc etc etc. It isn’t as though they’ve handled this new model rollout as clear and cohesive.

 

[Davebeats]

Lotus Orlando is charging a $799.00 Document prep fee $129.00 Electronic filing fee and estimated $200 for registration
No mention of a separate dealer fee

Initial $2500 (refundable) to join the line, $5000 additional (non-refundable) to lock in order

Hope that helps

 

[981KMAN]

I would review the written contract you have with Lotus of Naples.

I have attached a copy of the one they presented to me. I did not go with Lotus of Naples as their Pre-Order Deposit Contract (see attached) was too vague and did not clearly specify the vehicle would be "MSRP" plus their $999 Dealer Fee, which they stated verbally several times.

Plus the document states that the $2500 pre-order fee is for "Processing" and not a deposit on the vehicle. It does state that you can obtain a full refund up until the time of your "Vehicle Configuration".

I would ask them to clarify (in writing), what the $$ paid goes towards... If they are not saying you have a build slot from Lotus and asking for your Vehicle Configuration, I would hold them to the contract (assuming you signed one like I attached), which does not state anything about an additional $7500 deposit.

Then its up to you if you proceed or not.....

 

[XavierNu]

Lotus Orlando is charging a $799.00 Document prep fee $129.00 Electronic filing fee and estimated $200 for registration
No mention of a separate dealer fee

Initial $2500 (refundable) to join the line, $5000 additional (non-refundable) to lock in order

Hope that helps

Thanks for the reply and sharing. I’m not sure how I feel about this. On one hand I like the car on the other I don’t like surprises and inconsistencies during their car sales cycle. Not a good way to do business.

 

[XavierNu]

I would review the written contract you have with Lotus of Naples.

I have attached a copy of the one they presented to me. I did not go with Lotus of Naples as their Pre-Order Deposit Contract (see attached) was too vague and did not clearly specify the vehicle would be "MSRP" plus their $999 Dealer Fee, which they stated verbally several times.

Plus the document states that the $2500 pre-order fee is for "Processing" and not a deposit on the vehicle. It does state that you can obtain a full refund up until the time of your "Vehicle Configuration".

I would ask them to clarify (in writing), what the $$ paid goes towards... If they are not saying you have a build slot from Lotus and asking for your Vehicle Configuration, I would hold them to the contract (assuming you signed one like I attached), which does not state anything about an additional $7500 deposit.

Then it’s up to you if you proceed or not......

I recently received an email from Naples Motorsport, indicating that they've updated their terms and are requesting an additional $7,500 deposit, along with dealer fees and other associated costs. Apparently, they're facing penalties from Lotus due to cancellations.

I'm curious to know which dealership you ultimately chose and whether they're imposing similar deposit and dealer fees. This situation has raised some concerns for me. While I'm incredibly eager to own this car, I'm beginning to question whether it's financially wise to proceed.

The idea of adding another $7,500 on top of the initial $2,500, which is non-refundable, is quite unsettling. I'm worried that if we agree to these terms, they might continue to raise the price or introduce additional fees down the line. It feels like an additional setback after such a long wait.

My initial experience with Naples Motorsport was different from yours. They never mentioned such substantial dealer fees/additional deposit when I placed my order over two years ago. At that time, the sales representative assured me that the car would be sold at the Manufacturer's Suggested Retail Price (MSRP), with taxes, registration fees, and delivery if necessary, and a $2,500 deposit toward the overall cost.

These unexpected changes complicates this process further. Sadly, my confidence with this dealership is slipping.

 

[EspritGuy]

I received an email from Naples Motorsport stating they now want an additional $7500 deposit due to other orders cancelling to protect their penalty costs from Lotus. They are also charging 999.00 dealer fee, on top of the 199.00 electronic filing fee, 99.00 third party tag fee, state sales tax, transportation fee and registration costs.

My spidey sense is going off. Am I being scammed or charged up? Initially I was told they are selling at MSRP, no markup, no additional deposit. Only sales tax, registration fees and transportation if I elected to go with their car shipping company.

Are the reputable dealership I see in this forum like Gator Motorsport doing the same? Any insight to help current and future Emira fans make an informed decision would be much appreciated.

Hitting dealers with a cancelation penalty, if true, is incomprehensible after bollixing the launch and depositor communications.
What would they expect 'customers' to do in the absence of dealer
Information and delays? Dealer hands seem to be tied.
If a dealer ends up with unused or vacated allocations why not trade them with dealers experiencing deep wait lists? Lotus gets the same build commitment volume just via a different dealer apportionment.

 

[DerTheDer]

They are taking you for a RIDE. My dealer has ZERO of that nonsense. Although they did require an additional deposit when they sent your speck to Lotus. Just a scummy dealer trying to get more money.

 

[dgrace]

Lotus is punishing the dealers because the factory can’t deliver the cars? Whatever goodwill this brand still has, the management seems eager to destroy.

 

[GetawayDriving]

Early on, it seemed like some dealers were charging 2nd deposits at time of order and others were not. Mine charged me 10% total (which included the initial $2500 reservation) at time of order. That 10% is not refundable, and likely insulates them from a cancellation penalty and/or sitting on the inventory of my hypothetical uncollected car.

Did your dealer charge a 2nd deposit? I'm thinking dealers that didn't are now seeing cancellations from lack of patience and a changing financial landscape (big inflation, much higher rates, etc). They're realizing they're on the hook for these orders and need to protect themselves?

Still, I have to think there is a better way with waiting lists being as long as they are.

And the fees seem gouging and excessive.

 

[TomE]

Lotus is punishing the dealers because the factory can’t deliver the cars? Whatever goodwill this brand still has, the management seems eager to destroy.

This is the first time I've heard of Lotus imposing a cancellation charge on US dealers. If they did, I'd be very surprised if it's more than the non-refundable deposit post spec lock in. And given the level of demand, I'd expect most US dealers would still take the car and offer it to other customers waiting in line or use as a demo car or advertise it once it arrives.

I suspect something else is going on in this case.

 

[Maurice R]

Do not believe for one minute Lotus is doing this. What I believe is that the dealership is playing games with you.
Ask them to prove this to you in writing and a copy from Lotus showing they are asking this.
Get in touch with Lotus USA to confirm this

 

[DerTheDer]

I received an email from Naples Motorsport stating they now want an additional $7500 deposit due to other orders cancelling to protect their penalty costs from Lotus. They are also charging 999.00 dealer fee, on top of the 199.00 electronic filing fee, 99.00 third party tag fee, state sales tax, transportation fee and registration costs.

My spidey sense is going off. Am I being scammed or charged up? Initially I was told they are selling at MSRP, no markup, no additional deposit. Only sales tax, registration fees and transportation if I elected to go with their car shipping company.

Are the reputable dealership I see in this forum like Gator Motorsport doing the same? Any insight to help current and future Emira fans make an informed decision would be much appreciated.

Do not believe for one minute Lotus is doing this. What I believe is that the dealership is playing games with you.
Ask them to prove this to you in writing and a copy from Lotus showing they are asking this.
Get in touch with Lotus USA to confirm this

PM me if you want the head of Lotus sales email address.

 

[981KMAN]

Lotus of Naples can NOT change the terms of your written agreement after the fact. So politely tell them this, and remind them of the contract they signed. A phone conversation followed by email confirmation is probably in order.

The additional $7500 deposit is not unusual IF they have a build slot from Lotus for you and Naples is placing your order with Lotus. (I am unsure of your situation)... If you are simply waiting in line for a base model, then this additional $7500 is BS and they are just trying to get you "on the hook" where you can not cancel and get your $2500 back between now and placing your order with Lotus.

I went with Lotus of Atlanta (Motorcars of Atlanta) since their contract is much clearer, and then I confirmed in writing (email) with their representative the basic terms of MSRP (window sticker) + $899 total Dealer Fees. The Government taxes, registration will be depended on where you live and register the vehicle (no additional dealer registration fees since I will do all of this myself as I am out of state (SC vs. GA)).

I can believe that some dealers are trying to "lock folks in" way in advance of the actual order with Lotus, given the initial quality issues and delays. Plus, some folks are canceling and going a different route given the Price Increase from Lotus and the higher Interest rates. Yet all of that does not matter if you have a Deposit Contract with them.

Depending on your place in Line, you might be better canceling your deposit, getting a full refund and moving your order to another dealer. I suspect that Naples might change their tune if you suggest that option. So call around, talk with GATOR or a Dealer closer to your home and see what they say.

 

[XavierNu]

This is the first time I've heard of Lotus imposing a cancellation charge on US dealers. If they did, I'd be very surprised if it's more than the non-refundable deposit post spec lock in. And given the level of demand, I'd expect most US dealers would still take the car and offer it to other customers waiting in line or use as a demo car or advertise it once it arrives.

I suspect something else is going on in this case.

I share your suspicion, especially after reading a comment on an Emira Facebook group from a Naples Motorsport employee. He mentioned that while there were cancellations, even more new deposits kept coming in, which doesn't align with the idea of them being stuck with unsellable Emiras.

Moreover, it's puzzling why Lotus would impose a $999.00 dealer fee, a hefty $7,500 additional non refundable deposit when they originally stated no further deposits would be required beyond the initial $2,500. Would Lotus really penalize them for a customer’s cancellation amounting to a 10k deposit?! This raises a big red flag for me. If this was stated from the start and I agreed, then I would have no problem.

At this point, I'm in an awkward position with two main hopes: A. That Naples Motorsport reconsiders their markup and additional fees, or B. That they refund my deposit, even though I ordered in the first wave. While option B would be disappointing and unlikely, I firmly believe in sticking to principles and self-respect. If the original agreement's terms change dramatically with added fees, it feels like an unexpected and unfair shift. I would have to share this on my all my social media outlets with the large audience from experiencing the same potential customer trap. This situation has certainly dampened my enthusiasm for the Emira and the Lotus brand.

 

[Aero]

Its only Naples charging you the dealer fee and Lotus is not getting that money or dictating it. Dealer fees are pretty much a rip off anyway and they claim it covers their overhead. Probably can't negotiate that out in this market.
Great suggestion above making them prove they are being charged the 7500. If they wont or can't prove it threaten to walk completely and it'll magically disappear. A call to Lotuscars USA a good suggestion too.
My dealer was similar to Gator. 2500 refundable at deposit...that same $ becomes non refundable at official order submission. Think there is a $600-800 total dealer and paperwork fees due at pickup. Thats it other than taxes.

 

[981KMAN]

Folks, its obvious, at least to me, that this is all Naples and not Lotus USA.

The OP stated that he is in the "First Wave", so it's common for some dealer to stipulate an increased deposit of $7500 for an approximate 10% of the vehicle cost. This will be applied to the cost of the vehicle so its not a FEE, just an increased deposit amount to cover Lotus of Naples if the buyer walks at the last minute when the vehicle arrives. (I agree that given the wait line its not required, yet may be normal policy for low volume brands). Yet if it's not in the written contract to pay an increased deposit at time of order, I would push back....

The $999 Dealer Fee is also common for these vehicles and many dealers charge some type of "Dealer/Prep/Processing Fee", (let me know of a Dealer that is not?), and I guess it might have been stated upfront, and just forgotten about by the OP during the long wait, as this dealer fee was stated to me when I spoke to Lotus of Naples long ago.

So nothing nefarious going on here with Lotus USA. Just Lotus of Naples asking for an increased deposit at time of build order with Lotus and restating their Dealer Fee.

 

[Nymare]

Folks, its obvious, at least to me, that this is all Naples and not Lotus USA.

The OP stated that he is in the "First Wave", so it's common for some dealer to stipulate an increased deposit of $7500 for an approximate 10% of the vehicle cost. This will be applied to the cost of the vehicle so its not a FEE, just an increased deposit amount to cover Lotus of Naples if the buyer walks at the last minute when the vehicle arrives. (I agree that given the wait line its not required, yet may be normal policy for low volume brands). Yet if it's not in the written contract to pay an increased deposit at time of order, I would push back....

The $999 Dealer Fee is also common for these vehicles and many dealers charge some type of "Dealer/Prep/Processing Fee", (let me know of a Dealer that is not?), and I guess it might have been stated upfront, and just forgotten about by the OP during the long wait, as this dealer fee was stated to me when I spoke to Lotus of Naples long ago.

So nothing nefarious going on here with Lotus USA. Just Lotus of Naples asking for an increased deposit at time of build order with Lotus and restating their Dealer Fee.

I received an email from Naples Motorsport stating they now want an additional $7500 deposit due to other orders cancelling to protect their penalty costs from Lotus. They are also charging 999.00 dealer fee, on top of the 199.00 electronic filing fee, 99.00 third party tag fee, state sales tax, transportation fee and registration costs.

My spidey sense is going off. Am I being scammed or charged up? Initially I was told they are selling at MSRP, no markup, no additional deposit. Only sales tax, registration fees and transportation if I elected to go with their car shipping company.

Are the reputable dealership I see in this forum like Gator Motorsport doing the same? Any insight to help current and future Emira fans make an informed decision would be much appreciated.

Hello, I can put in my two cents.

My Emira order is with Boardwalk In California.

I was asked to put in an initial $2500 deposit.

I had to put in my final specification order choices for the FE 2.0 in September or August….do not remember exactly . At that time, I was not asked for any more $.

Also verbally, re confirmed that car is still going for MRSP.

As an aside, was told by the dealer that the FE 2.0‘s are coming with some ppf already installed prior to delivery. The dealer would offer “additional“ ppf that would be installed at dealership but an “option“ and not required.

 

[MPD]

some type of "Dealer/Prep/Processing Fee", (let me know of a Dealer that is not?)

My last three vehicle purchases did not include a dealer processing fee or another fees, MSRP + destination only ... so there are some dealers that don't charge the slush fee. Gator doesn't charge either so that will be my 4th. Although my state 'allows it', it isn't mandated and can be negotiated off.

From the OP the dealer fee, electronic filing fee, and third party tag fee seems a bit much. Two vendors I bought a car from used an electronic system to file but no charge as it makes it easier on them. Seems like a money grab but only speculation without talking personally with dealer. Good luck