LA City Cars Lawsuit: TCPA Class Action and California Claims

The LA City Cars lawsuit landscape includes a federal class action filed in March 2025 under the Telephone Consumer Protection Act, several active cases in Los Angeles County Superior Court, and dozens of unresolved consumer complaints alleging fraud and deceptive sales practices at the dealership’s Inglewood and La Puente locations. The business operates under the legal name Philly Auto, Inc. doing business as LA City Cars, and that is the name that appears on most court filings.1UniCourt. Shawn Powell vs Philly Auto, Inc. et al

The Federal TCPA Class Action

On March 30, 2025, plaintiff Xiao Chen filed a class action against LA City Cars LLC in the U.S. District Court for the Central District of California. The case, Xiao Chen v. LA City Cars LLC et al, Case No. 2:25-cv-02769, was assigned to Judge Dolly M. Gee. Plaintiff’s counsel is the KJC Law Group.2Law360. Xiao Chen v. LA City Cars LLC et al

The suit was filed under the Telephone Consumer Protection Act, the federal statute at 47 U.S.C. ยง 227 that restricts unsolicited telemarketing calls, prerecorded messages, and text messages sent without a consumer’s prior consent.3UniCourt. Xiao Chen v. LA City Cars LLC et al4United States Courts. Nature of Suit Code Descriptions The detailed allegations in the complaint are not available in the reviewed sources. If you received unsolicited calls or texts from LA City Cars, you may be a potential class member.

Other Active Lawsuits

Court records in Los Angeles County show several additional cases against Philly Auto, Inc. and LA City Cars:

The Carfax case is worth flagging. Several consumer complaints allege the dealership did not disclose accident histories and defects that would normally appear on a vehicle history report, which is the kind of information Carfax supplies to its dealer customers.

What Consumers Are Alleging

The Better Business Bureau has recorded 49 complaints against LA City Cars over the preceding three years, with 36 going entirely unanswered by the business. The BBB gives the dealership a “D-” rating specifically for its failure to respond.7Better Business Bureau. La City Cars BBB Business Profile The La Puente location holds a 1.92-out-of-5 dealer rating on CarGurus across 36 reviews.8CarGurus. LA City Cars – La Puente

The allegations fall into a few recurring patterns.

Undisclosed Vehicle Defects

Buyers reported purchasing cars with hidden mechanical problems, including bad engines, radiator failures, and cracked drivetrain components allegedly concealed with products like Flex Seal. Some vehicles broke down within days of purchase despite being described as “fully inspected and reconditioned.”7Better Business Bureau. La City Cars BBB Business Profile9Better Business Bureau. La City Cars BBB Complaints

Financing Irregularities

Consumers alleged that the dealership ran their credit multiple times without consent, approved loans they could not afford, and pressured them to sign documents quickly without review. Some reported being told after purchase that a “financing issue” required them to return the vehicle, often with their deposits reduced or withheld.9Better Business Bureau. La City Cars BBB Complaints

Contract Manipulation

A buyer at the La Puente location alleged that the vehicle price on the contract was changed from the negotiated $16,000 to $20,000, that the sale date was falsified, and that the dealership refused to provide a receipt for a cash down payment or a copy of the contract. The buyer said they only learned the actual terms after the finance company emailed them a copy.10Cars.com. LA City Cars Reviews

Non-Delivery of Vehicles

One consumer said they paid a $60,000 down payment and financed $75,000 for a Mercedes-AMG GT, then waited more than two months without delivery while the dealership cited a failed smog test. Loan payments continued to accrue during that time.9Better Business Bureau. La City Cars BBB Complaints

Warranty Denials

Buyers said extended warranties they purchased were later denied because the dealership had failed to perform required manufacturer reconditioning or maintenance before the sale.9Better Business Bureau. La City Cars BBB Complaints

Being Shut Out After the Sale

Customers described having their phone numbers blocked, or being transferred and disconnected when calling. One reviewer on DealerRater said they called more than 50 times and visited the dealership five times before hiring a lawyer.11DealerRater. LA City Cars Dealer Reviews

Where California Law Comes In

Several of these allegations touch areas governed by state regulation of used car dealers. California law requires dealers to submit the registration transfer and certificate of ownership to the DMV within 30 days of a sale, with extensions permitted only if the DMV returns the application for missing information.12Los Angeles County District Attorney’s Office. California AutoNation Dealerships Settle Consumer Protection Lawsuit The complaints about delayed delivery and withheld documentation suggest possible tension with that requirement, though no state enforcement action against LA City Cars specifically has surfaced in the available records.

If you believe you were defrauded or sold a defective vehicle by LA City Cars, your options include filing a complaint with the California DMV’s Investigations Division, filing with the BBB, pursuing a civil claim, or consulting a consumer protection attorney. If you received unsolicited telemarketing calls or texts from the dealership, the pending TCPA class action may be relevant to your situation.