Get Familiar with a Real Dealer Fraud Case

Get Familiar with a Real Dealer Fraud Case

We’ve written dozens of articles on how you should avoid dealer fraud cases, but today I’ve decided to bring a real dealer fraud case sample. You may have already happened to be involved in a dealer fraud and you just wonder what you can do or what you should do and what outcome you can expect.

How did it start?

On or about June 2, 2010, our client visited IMAX Auto Group with the intent to purchase a vehicle for personal and family use.  The car dealership’s personnel showed her the subject vehicle assuring her that it was in excellent mechanical condition, had never been involved in any accidents and had no damages or defects. She bought it.


Not long ago our client discovered that the subject vehicle had previously been involved in an accident on or about June 4, 2009 and had sustained frame damage. Upon further investigation, my client also discovered that at the Pacific Southwest Region Auto Auction held on or about May 1, 2010, the subject vehicle had been announced as having frame damage.

Dealership’s arguments

IMAX Auto Group denied that they had known about it before selling the car.

Our client’s arguments

Since our client purchased the subject vehicle on June 2, 2010, only one month after the auto auction, we have reason to believe that IMAX Auto Group purchased the subject vehicle at the auto auction on or about May 1, 2010 and as such was well aware of the frame damage of the subject vehicle. Moreover, since IMAX Auto Group is in the business of vehicle acquisition and sales, we presume on good grounds and in good faith that it has an established practice and custom of inspecting vehicles and checking their vehicle history reports prior to acquiring them.  As such, it is indisputable that the subject vehicle was purchased by IMAX Auto Group with full knowledge of the frame damage.


The salesman at IMAX Auto Group proceeded to retail the subject vehicle with full knowledge of the damages and lied to our client at the time of sale.  In fact, the fraud was compounded not only by the willful omission of this material information, but also by the deliberate failure to give our client a printed copy of the vehicle history report.


As our client has been a victim of car dealer fraud and has suffered greatly financially and emotionally due to the reckless and wanton conduct of personnel at IMAX Auto Group, we have charged cash recovery in an amount equivalent to a refund of client’s down payment, all monthly payments and legal fees and expenses incurred.

If you happen to be involved in a case like this never doubt to contact our aggressive and diligent lawyers, who will give the best solution to your full satisfaction.