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Subaru suing CA dealership for alleged false customer surveys

Whenever you buy a new car from a dealer these days or sometimes even go in for service, you can expect to fill out a customer satisfaction survey at some point down the road. The responses are actually quite important to showrooms because automakers require the businesses to keep things at a certain level or face penalties. However, a Subaru dealer allegedly found a way to game that system, at least briefly, and now the Subaru of America has filed a lawsuit in US District Court for breach of contract. South Coast Subaru in Costa Mesa, CA, reportedly falsified 224 customer satisfaction questionnaires in 2014, according to Automotive News. The scheme wasn't that hard to figure out, though. All of the faked surveys were allegedly submitted through the IP address of an Acura showroom managed by the same dealer. Under normal circumstances when someone buys a Subaru, the dealer is supposed to collect the customer's email address and submit it to the automaker. However, South Coast allegedly presented false addresses, and then managers had employees fill the forms out during lunch. Subaru claimed in the suit that by doing this the dealer harmed the company's product reputation and its goodwill among customers. "Defendants prevented Subaru from discovering the actual customer satisfaction level of Subaru retail customers at South Coast Subaru by providing sham customer surveys to [Subaru]," the complaint said, according to Automotive News. Related Video:

2015 Subaru Legacy prototype caught testing in Michigan

The current Subaru Legacy is only three years old, but compared to rival midsize sedans like the Mazda6 and Ford Fusion, which have recently received thorough redesigns, it might as well be a million. In other words, a reworking is in order. Caught in these spy shots, the 2015 Subaru Legacy appears to be about the same size as the current model, but it appears that Subaru is looking to push the sedan a little more upmarket in terms of styling and luxury.
Despite the heavy camouflage, some elements of the new Legacy's design are still visible. The new headlights still have a scalloped shape but are much narrower, and we can also see the deep body creases that run the full length of the sedan. At the rear of the new Legacy, the taillights should get some added depth with a C-shaped brake light design similar to what we saw on the WRX Concept earlier in the year.
Showing that Subaru is aiming a little bit higher for this Legacy, this car is being benchmarked against all-wheel-drive luxury vehicles like the current Infiniti G37 and the Audi Allroad - the latter is likely for comparison with the Legacy's wagon version, the Outback. Following the XV Crosstrek Hybrid, we expect the 2015 Legacy to be the next Subaru product to get a gasoline-electric hybrid powertrain, which we hear will be paired with a turbocharged four-cylinder engine, a CVT and, of course, all-wheel drive.

Subaru puts China production on hold amidst slowing growth

Subaru's 2015 sales and production forecast estimates the Japanese brand to sell about 60,000 vehicles in China this year, a 10 percent rise. However, a recent decision not to build a factory there might make future growth more difficult. Given the changing state of the market, the automaker doesn't seem concerned by the potentially lost sales. According to Bloomberg, even if the Chinese government gave permission for Subaru to build its planned joint venture factory with Chery, the Japanese brand would not take advantage of it. "Since the profits are split with your partner, you would have to double the sales to maintain the profits you earn by exporting from Japan," said Akira Mabuchi, the company's executive in charge of China, according to Bloomberg. Subaru is in the odd position of being the only major Japanese automaker without a joint venture partner to build cars in China, but the massive year-over-year growth there seems to be slowing. Auto sales in China were up 6.9 percent in 2014, according to Bloomberg, compared to 14 percent in 2013. Also, Chinese consumers have been famously averse to buying Japanese vehicles with only half of the consumers there even willing to purchase one. Instead, the company is focusing on the US market, according to Bloomberg. The decision makes sense. While Subie's sales in China shrunk 2 percent in 2014 to about 55,000 vehicles, the company grew 21 percent in the US to 514,000 units. The automaker already has plans to add capacity to its factory in Indiana. News Source: BloombergImage Credit: Jae C. Hong / AP Photo Plants/Manufacturing Subaru