Suit targets Dave Gould Ford in Ellsworth

ELLSWORTH – A local car dealership reportedly in financial trouble now faces legal action from a credit company representing one of the nation’s largest automobile manufacturers.

Dave Gould Ford, between the triangle of U.S. Route 1 and Route 3 in downtown Ellsworth, is named as the defendant in a civil lawsuit filed recently in Ellsworth District Court.

The plaintiff is Ford Motor Credit Co., which alleges that the local dealership owes the parent company more than $2 million.

According to court documents, “The dealer was in fault of its agreements with [Ford Motor Credit] in that, among other things, it had sold several vehicles whose acquisition by the dealer had been financed by FMCC, but had not paid FMCC the amounts owed.”

District Court Judge Bernard Staples issued a temporary restraining order on Sept. 14 that requires Dave Gould to stop selling vehicles that belong to Ford until the matter is resolved. A court document lists 95 vehicles that are prohibited from sale.

A hearing is scheduled for today in Ellsworth District Court.

Nathan Dane, a lawyer representing Dave Gould, stated in a court document that the restraining order would cripple the business. He also wrote that Dave Gould was working to repay money owed. A letter from Gould himself indicated that he had paid back that money.

However, Paul Izzi, territory sales manager for FMCC, wrote that Dave Gould’s financial condition is precarious.

Another affidavit, written by a dealer account manager for FMCC, detailed an angry response from the dealer’s owner, Dave Gould, when he learned of the court complaint.

On Aug. 29, representatives from FMCC went to the Ellsworth business to seize keys and titles to several vehicles it owned.

“When Mr. Gould noticed what we were doing, he ran out of his office, rushed and pushed past me, pushed a customer into the counter, and grabbed the two blue bins containing keys,” wrote Angela Story. “He then ran into his office with those keys and refused to give them back.”

When Dave Gould opened in Ellsworth in 1998, it signed an automotive wholesale agreement with Ford Motor Credit Co., court documents state. The agreement, among other things, allowed Dave Gould to finance some of its purchases and allowed FMCC to provide advances when necessary.

The civil complaint alleges that Dave Gould has failed to pay back several of those advances, including accrued interest.

The court documents also states that Gould spent proceeds that were supposed to be held in trust for FMCC.

All told, FMCC is looking to recoup $2.4 million.

What effect the civil complaint will have on business at Dave Gould Ford remains to be seen.

A receptionist at the business on Monday referred all questions to Dane, who could not be reached for comment.

The Maine Office of Consumer Credit Regulation, however, has received at least five complaints regarding Dave Gould Ford within the last few weeks.

Most involve customers who traded in vehicles at Dave Gould but who still owe money on those vehicles.

The Ellsworth Police Department also has received complaints.