Liability for Vehicle Misrepresentation and Fraud when Selling a Vehicle

vehicle misrepresentation

A vehicle seller should be held liable for misrepresentation and fraud during selling a vehicle. Liability for misrepresentation will work if the seller has sold a vehicle with a known defect or fault without proper disclosure. There may be cases of fraud and negligent misrepresentation when selling a vehicle.

Dealer fraud otherwise known as fraudulent vehicle misrepresentation is the case when the dealer intentionally tells a lie. The lie mainly concerns the quality of the product. The dealer may use various statements to urge the buyer to purchase that certain vehicle or service.

A representation involves both answers to the customer’s questions and declarative statements concerning the product. If the auto dealer cheats about the quality and the characteristics of the product, then it is a case of dealer fraud or fraudulent misrepresentation. For example, if the dealer says that the vehicle is quite new, when in fact, it has been bought back due to being a Lemon. ”Lemon law buyback” vehicles should be sold with proper disclosure. Otherwise, the buyer may sue the dealer for fraudulent misrepresentation.

Another example of vehicle fraud is when a dealer tells the potential buyer that the vehicle has not been in any accident. In reality, there have been several cases of collisions and accidents. A dealer may conceal such material facts from the potential buyer so that to sell the vehicle at a higher price, making more profit out of the deal.

Another case when liability for misrepresentation may work for you is the negligent misrepresentation. If there is no evidence that the dealer has cheated you, you may claim that they have made negligent misrepresentations. This is the case when the seller tells the buyer something without actually knowing whether it is true or not. For example, if the dealer tells you that the vehicle has the best seatbelts available in the market. They should have tested that, otherwise these are just words. If it turns out that the seatbelts are old and not worth using, you may sue the dealer for negligent misrepresentation.

Legal Help

If you think you bought a vehicle due to dealer misrepresentation, you should contact an auto dealer fraud lawyer . They will give you useful advice concerning your case. Contact The Margarian Law Firm for more information at 818-553-1000.