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Dealerships may resell a lemon after buying it back from someone

On Behalf of | Mar 27, 2023 | Dealer Fraud

Lemon laws in Pennsylvania protect those who buy new vehicles from unintentionally purchasing a bad car. If a dealership cannot repair issues with a vehicle in a timely manner, then the buyer can request a buyback or a replacement vehicle. This system is great for those who wanted a decent vehicle but ended up with a lemon.

However, it also means that dealerships typically have a few vehicles on hand that don’t meet the standards applied to particular makes and models. Unfortunately, there are plenty of salespeople who try to pass lemons off to unsuspecting members of the public as used vehicles. Doing so is a form of dealership fraud that can lead to claims against the dealership.

Salespeople have to disclose certain defects and details

Consumer protection laws require that those selling motor vehicles provide honest information about certain factors. One of the issues they have to disclose is the historical use of the vehicle as it may pertain to the value of the vehicle.

A vehicle bought back from a consumer because it was not in good condition is something that every future buyer deserves to know. Often, details about a lemon law buyback will make it onto a vehicle history report, but that isn’t necessarily always the case if it is a voluntary buyback initiated by the dealership. It may only be after reaching out to the former owner of the vehicle that someone uncovers the truth.

Those who discover through a conversation with another person or a vehicle history report that they purchased a lemon may have experienced auto dealer fraud.

Those lied to by a salesperson have rights

Consumers cannot make informed and intelligent decisions when the professionals facilitating their purchases do not give them honest information. Even when a dealership makes major repairs to a vehicle previously returned as a lemon, the potential exists for the buyer to have major repair expenses in the future because of the underlying issues with the vehicle.

Salespeople who do not disclose a vehicle’s full history may commit fraud in their effort to close a sale. Those who have been harmed by auto dealer fraud often have the option of making a claim against the business. Learning more about different forms of auto dealer fraud can help consumers recognize when someone may have taken advantage of them and when they may have reason to seek legal guidance in pursuit of justice.

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