SWAMPSCOTT — The Select Board took no action Thursday night on a violation notice that the town has issued to a Humphrey Street used car dealer.
Following nearly two hours of testimony, the board voted to continue the “show cause hearing” for Four Seasons Motor Group until Feb. 26 at 6 p.m.
The hearing will determine whether the auto dealer has violated its Class II Used Car Dealer’s License, which expired in January 2019 and is up for renewal.
The license limits Four Seasons to having six cars for sale on its property at 460 Humphrey St., but the town’s building commissioner, Max Kasper, and detectives from the Swampscott and Marblehead Police Departments said they observed a vast number of cars on the site during past inspections.
The majority of Thursday night’s hearing centered around two separate police reports prepared by Swampscott Police Detective Ted Delano and Marblehead Police Sgt. Sean Brady, who assisted the Swampscott Police with its compliance check for the license renewal process.
Delano testified that of the 12 cars parked in the front of the property in November, six were marked for sale, but six others had “lemon law” stickers inside the front windshield, which is required for cars that were for sale.
In addition, he said there are about 40 cars that are listed for sale on the company’s website. About 58 cars were observed on the property in November, which included others parked in the rear and inside garages, he said, noting that it was his opinion that there was a violation.
On Nov. 26, Brady and Marblehead Police Detective Theresa Gay identified themselves as prospective car buyers and according to the report, left with the “understanding that any vehicle on the Four Seasons Motor Group’s property was for sale.”
But an attorney for Four Seasons’ Thomas Beatrice argued that lemon law stickers are put on cars that need to be sent out for repairs and took issue with the town’s extensive investigation into the auto dealer, which included what he called a “sting investigation” by the Marblehead Police.
Four Seasons owner Simon Terechin testified that lemon law stickers are required by state law. He said the company never has more than six cars for sale. Cars advertised as being for sale online include a disclaimer, which directs people to call or email for vehicle availability, and that they may not be available for immediate showing.
In addition, he said when customers inquire about vehicles, those cars may be taken from the back and swapped with the six listed as being for sale out front. Terechin said that keeps only six as being listed for sale on the property, but the company sells about 20 to 25 cars a month.
But Select Board Chair Peter Spellios, who said he’s also been on the website, seemed to not take much stock in that argument.
“How is that different from having 46 cars for sale?” said Spellios. “If you’re just rotating once or 20 times and swapping a car from the back, aren’t you functionally offering 46 cars for sale?”
But Terechin said his efforts to adhere to the license’s restrictions have not been easy.
“If I (could) have 46 cars for sale, all marked up, that would make life a lot easier,” said Terechin. “The great length that we go to, it’s a lot of work. We don’t sell a lot of vehicles. A lot of cars we sell are luxury and we don’t sell a lot of them.”
Kasper has recommended that the Select Board take steps to formally request the violation be corrected, and warn Four Seasons ownership that failure to comply may result in its license being suspended or revoked.
Spellios asked town staff to prepare recommendations for the board by their next meeting and that Brady appear as a witness when the hearing resumes.
