An Orange County judge barred Kars4Kids advertisements from airing in California after ruling the charity violated false advertising and unfair competition laws by failing to clearly disclose its religious affiliation and where donated funds were directed. The order followed a lawsuit filed by a California donor who said he believed his vehicle donation supported local children.
The case began in 2021 after donor Bruce Puterbaugh discovered that proceeds from his donated vehicle were routed to Orthodox Jewish youth programs operated through Oorah in New York and New Jersey rather than to programs serving underprivileged children in California. Court findings stated that although roughly 25% of Kars4Kids revenue comes from California, the organization operated no substantial in-state charitable programs beyond a backpack drive described during testimony as a “branding exercise.”
During testimony, Kars4Kids Chief Operating Officer Esti Landau identified funding Oorah as the organization’s “primary function.” Court records also stated that $16.5 million was used to purchase a building in Israel in 2022, while another $437,000 funded “Middle East outreach.” Judge Gassia Apkarian ruled the advertisements were “misleading by omission” because the charity’s religious and geographic focus was not clearly disclosed to donors.
The ruling drew widespread attention as court filings connected one of the country’s most recognizable charity jingles to allegations that donors were misled about where millions in vehicle donations were ultimately spent.
Public reacts to banned Kars4Kids advertising
“Religious extremism sponsored by your old car!” one observer noted. “Good. Tired of all these scammers and grifters in the city,” another person stated.
One commenter described the organization’s practices by saying, “You’re basically donating your car to pay for birthright trips to Israel”. “I’m glad the scam finally got brought to light,” a resident claimed.
“You should probably do some digging into the organization you donate to, especially if it’s something as valuable as a vehicle,” one user remarked. “Anybody know a good alternative for vehicle donations?” a participant asked while others shared positive experiences with public radio and local colleges.
The permanent injunction remains in effect until the organization provides an “express, audible disclosure” regarding its religious affiliation and the geographical destination of donated funds.
