Leased vehicle came with a accident. dealer or broker never disclosed

not the same situation. Dealer failed to disclose an accident thats required by law, and like I stated i would have negotiated for lower payments, or even a scenario where i wouldn’t have even wanted this car.

1 Like

This happened to me as well with a Grand Cherokee that came from security dodge. I found out when I was selling. NY has a rule that if it’s under 5% of msrp the dealer does not have to disclose. I was able to pull police reports the car was hit in the rear while being backed off the trailer upon delivery.
I got absolutely nowhere and took the hit (I still ended up with 2100 in positive equity)

4 Likes

Last year there was a topic similar to this one from some one in north east region. If I remember correctly there was a talk about some settlement through an attorney but it was decently while ago for me to remember all details. Will try to dig out that thread.

1 Like

This is the tread I was looking for

Dealership sold me a damaged vehicle as brand new

It’s too much to re-read for me (one time was more than enough) but you may find some useful info there.

1 Like

They and you are assuming the Carfax is correct, which it may not be.

1 Like

This car was purchased post-lease. It’s a different situation. That said, this is something that should be brought to the dealer’s attention.

3 Likes

Thanks for reminding. I really didn’t want to get into the deep of that thread again.

1 Like

The 5% rule in essence protects manufacturers/dealers from lawsuits like BMW faced when it failed to disclose minor paint damage/repairs. BMW was sued, and the buyer was awarded $4000 in lost value, plus $4 million in punitive damages. The case was appealed all the way to the US Supreme Court, which ruled that the punitive damages were grossly excessive.

4 Likes

A similar situation happened to me with a vehicle I leased through a broker. Car I leased was involved in a rear fender bender and wasn’t disclosed to me. I only found out because when it was delivered there was a receipt showing the body work mixed in with other papers. Broker had absolutely no idea and contacted the dealer right away. The dealer was very apologetic and remedied the situation with what I believed was a fair solution. All in all, I got a great deal on the car and even though I wish I had known about the accident upfront, they made it right.

3 Likes

This was a really interesting read, thanks for sharing

I’ll actually out myself on this one - this one was a real head scratcher.

I’ve sold plenty of new and loaner units with damage that have been repaired - if its over $500 (which is basically nothing in the car world) I always have the customer sign off on the body shop estimate so there are no gotchas.

Your deal was especially odd as that store micromanages their inventory for stuff like that - they don’t like touch up work not being disclosed let alone a blend or repair/replace.

While it was fixed and OEM spec it’s never okay to not disclose that.

The car business is a people business - if you treat people well and work to solve any problems, you often can come to an understanding. If you treat them like an ATM, well, we’re seeing that in another thread right now.

At the end of the day we sold you something with damage and it was important we made it right.

16 Likes

Not to derail OPs thread, but it sounds like you have a pretty good outlook on this. The store should be open to a resolution, whatever that is.

3 Likes

Ouch damn id feel horrible

If you bought it brand new and their was damage like u stated and not disclosed like others have said reach out to the dealership first if they tell you to F0ck off get a attorney.

Just talk to the dealer as the broker said. There may be a way for them to make it right. Give them the chance before going nuclear with attorneys.

1 Like

Thank you to everyone for their personal experience/ advice/ posting a past court case I definitely will double check with carfax to assure it is correct and then i will contact the dealership and update you all. Thanks again i couldnt have asked for a better community.

i’ll throw my short story into this thread as a couple of years ago I leased a car that was damaged while in loaner service. I had already agreed to take the car but this dealership was very proactive in informing me that the last person who used it as a loaner damaged it. I told themI would take it anyway. I think they were kind of stunned but the deal was so right that the reported Carfax wasn’t going to make any difference to me. (This was part of the 2019 BMW 4 series frenzy…)

That said, fast forward nearly 2 years later… while shopping this particular car through online buyers to possibly obtain some positive equity before turn in… all the offers on it were coming in $5000 or more below the absolutely identical car that my parents leased at the same time from the same dealership that had no damage on it.

Now, fast forward a few months past this and both of these same cars are at my local dealership here in Florida for sale as CPO cars…guess which one sold first? Mine did with the carfax disclosure on it :slight_smile: :-). They were asking something like $5000 over the my lease end RV for it.

Gather your lease contract, carfax report, and find a lawyer ASAP. Any consumer protection attorney will take this on and it will cost you nothing. Lastly but most importantly do not listen to ANYONE here that will tell you to do otherwise.

1 Like

That includes your post.

Start with the dealer, if not made whole, THEN go to state attorney.

Why complicate things? Just to stick it to the dealer? To feel like the big man?

5 Likes

We were very appreciative of how you helped handle a situation that wasn’t your fault at all. We felt the dealership acted in good faith to provide a fair and quick resolution. At the end of the day, we got a great deal and barely had to lift a finger.

OP, I would just reach out to the dealership, and maybe have broker contact them too, I’m sure they’ll want to rectify any oversights on their end. Enjoy the new car!

2 Likes