Owner Sues Roush and Ford Over Limited Edition Mustang
Staff Report
BlackJack Edition owner alleges misrepresentation over number of cars produced.
08-05-08:
An owner of a 2007 Roush BlackJack Mustang has filed a class action lawsuit against Ford Motor Company and Roush Performance, alleging misrepresentation on how may cars would be produced of the limited edition Mustang. The buyer alleges that Roush and Ford Motor Company stated that only 100 of the Roush BlackJack Mustangs when they went on sale in 2007. But in 2008, Roush built 100 more BlackJacks for that model year.
The case was opened by the owner of BlackJack #02 of 100, Drew Connor of Bardonia, NY, who is seeking some $12,000,000 in punitive damages in a Manhattan, NY U.S. District Court. The damages of course would be awarded to the class of 100 owners of the 2007 Roush BlackJack Mustang.
The lawsuit alleges that, “By producing the additional vehicles, the defendants dramatically reduced the value of the initial 100 that had been sold in 2007,…..The vehicles purchased by the plaintiff and the other class members were not as unique or rare as the defendants had stated them to be. Their value from scarcity and as collectors' items were and are dramatically less, therefore, than their buyers had been led to believe their value would be."
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The retail price of the 2007 Roush BlackJack Mustang was approximately $59,000 which is right in line with the price of most Roush Stage 3 and 427R supercharged Mustangs sold in 2007. While the Blackjack was unique in color and graphics combination, it was virtually mechanically identical to the many other Roush Mustangs built in 2007. While this case has a specific allegation, many Roush Mustang owners have been vocal in the past year or two about the many special editions that Roush has been offering. Many feel that the value of their cars has been diminished because they see another new special edition Roush Mustang every other month.
In this case however, Roush may be getting blamed for what the buyer interpreted as opposed to what was said by Roush Performance from the beginning. In a press release dated in January of 2007, Roush stated, “This [BlackJack] is the prototype for a limited run of 100 ROUSH Stage 3 BlackJack Mustangs to be built by ROUSH Performance in 2007, and is the most powerful Mustang ever made by the legendary tuning company. “ They clearly stated that the limited run was planned for the 2007 model year, leaving additional production runs in future model years open. They said "2007", not "forever".
When Roush built the BlackJack for 2008, they changed the car significantly from a visual standpoint. The 2008 model had unique black power-coated wheels instead of chrome ones, a new Roush billet grille that changed the look of the car, and different interior trim treatments on the dash and seats. In addition, most of the cars came with a certificate that stated the 100 car run was specific to the model year.
One of the burdens the plaintiff will have is to convince a jury of a hypothetical. That is, they allege the future collector value has been diminished because Roush built another 100 cars for the 2008 model year. It would seem they will have to prove this theory somehow which would require they can establish what the future collector value of the car would be in both scenarios.
One would have been hard pressed to project the future value of a BOSS 302 in 1969 or 1970, regardless of how many were built. There is a paradigm that makes one collector car worth $15,000 and another worth $150,000. History shows it has little to do with actual production numbers, but a collection of factors that are most often based on appeal, emotion, and trends. Sometimes it has to do with a movie in which the car appeared of all things.
Another issue with this lawsuit that falls flat is the inclusion of Ford Motor Company. They had nothing whatsoever to do with the building and marketing of the Roush BlackJack Mustangs. Roush purchases cars from Ford and then up-fits them with whatever themes, parts, and equipment they choose. Ford itself was not an active participant in the projects, their marketing or sales. We imagine that they will petition the court and should be removed from the action before it gets very far.
In any case this lawsuit may be a test for the aftermarket tuner world as it will surely set a precedent should it move forward to a jury trial and be concluded with a verdict. Automakers, tuners, and up-fitters alike have done well to build special editions of their products that are limited in number. That is part of the appeal. This case will surely delve into the definitions of what a special edition is, what defines one from another, and how much the limited production number status really means 20 years from now in the collector world.
