Legal Question in Consumer Law in Michigan

Used vehicle disclosures

I recently traded in my used vehicle (2001 BMW) to a Dealer. Three months later the Dealer has called me and states that the vehicle I traded in, no longer has a manufacturer warranty, because of a prior accident. I was the second owner of this vehicle and the first owner (private) had the vehicle repaired and then sold it to me. I then sold it to the Dealer (trade-in).The title is not a salvage title, it is a clean title. The Dealer is basically telling me that he is going to take a $10,000 loss on the vehicle because of it no longer having a Warranty.(threatening legal action)I am not a Dealer and the person I purchased it from is not a dealer. Do I (as a private person)have to disclose the prior accident? Also, I was never asked anything about the car at the time of trade in. The vehicle is near mint and no mechanical problems. Thanks in advance.


Asked on 1/20/03, 1:32 pm

1 Answer from Attorneys
Don Darnell Darnell & Lulgjuraj, P.C.

Re: Used vehicle disclosures

Unless you gave the dealer a warranty that you did not mention, I don't think you have a problem. In a trade situation the dealer is the expert and they inspect your car and purchase it from you for a price that you agree upon (the trade allowance). You would have had to have made some misrpresentation to the dealership for them to have viable claim against you.

Read more
Answered on 1/20/03, 2:33 pm


Related Questions & Answers

More Consumer Law questions and answers in Michigan