Legal Question in Consumer Law in Michigan

hello, on oct 28th I traded in a 07 Cadillac and leased a new Dodge Charger. I did not know the exact amount of the amount owed on the Cadillac. The dealership said they called the bank and got a pay off. They quoted an amount of 4208 as the pay off. They failed to call the bank or get any pay off info on the trade in car. We were contacted Dec 3 by the bank that holds the lein on the Cadillac stating that 10,433 more dollars were owed on the car. we tried for 3 weeks trying to resolve the issue and they insist they called and also got the pay off online. Huntington Bank holds the lien on the car. They do not show that the dealer ever contacted them for a pay off. Now the bank wants us to pay the difference and the dealership has already sold the Cadillac at auction. What are our legal rights and what is the dealer responsible for? They also forged my signature on an odometer statement after we traded the car in(have a copy of it)


Asked on 12/28/16, 2:41 pm

1 Answer from Attorneys
Andrew Campbell Andrew L Attorney at Law

The Michigan Vehicle Code, Uniform Commercial Code and Secretary of State regulations deal with this issue. A dealer in this situation is responsible and this could constitute conversion or stealing. Conversion can allow a court of arbitrator to award up to three times actual damages plus costs and attorneys fees. You are entitled to hold the dealer liable for this act. A dealer is supposed to show you the front and back of the title prior to selling a vehicle to you and have you sign an odometer statement as well. Many times a dealer does not have the title in their possession at the time of the transfer and will forge a persons name on the back of the title to appear as if it was done on the same day. You should order a title history of the 07 Cadillac and one for the new Dodge Charger as well.

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Answered on 12/28/16, 2:53 pm


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