What constitutes fraud in the sale of a wrecked vehicle?
Motor vehicle dealerships know that under the law they must disclose material damage to a buyer and must disclose any previous accident damage to a buyer. If you ask an automobile dealership whether a vehicle has been in a prior accident and the dealership lies or if a dealership fails to disclose material damage, even if previously “repaired,” these acts are considered fraudulent.
Few things are more aggravating in the purchase of a vehicle than to find out that it has sustained prior material accident damage. It is illegal to sell a new vehicle with any unrepaired damage, any structural damage or even if repairs were made costing more than 3% of the vehicle’s value. Vehicles sold as Certified Pre-Owned vehicles, meanwhile, must live up to the dealership’s advertised certification standards. It is always illegal to sell an unsafe vehicle, and if you asked specific questions about a vehicle, new or used, the dealer is obligated to provide truthful responses (to the best of his knowledge).