
Under the Unlawful Trade Practices Act (UTPA) in Oregon, a
business is engaged in an unlawful act when it delivers a good or service and
fails to disclose any known material defect or material nonconformity. So, what does that mean? Basically, as the Department of Justice has
interpreted the law, the car dealer is in a better position to know and
understand the condition of a car than you are and they are in violation of the
law if they sell you a faulty car.
If you think about it, it makes sense. The car dealer
purchases the car through one of many available channels. After receiving the
car, their mechanic looks the car over and will perform general maintenance and
any necessary repairs. At that point, the dealer puts a price on the car and
starts advertising. Every situation is different, but the dealer will have
spent several days with the car, maybe even weeks. The buyer, on the other
hand, only looks at the car for part of a day. Even with a test drive, there is
only so much that you can uncover before making the decision to buy.
So what happens if the car starts having problems after you
buy it? It was sold “as-is”, right? While it is correct that an as-is sale
wipes out some of your warranty rights, it does not destroy them all. Statements made in the advertisement are
known as express warranties and they cannot be disclaimed with as-is language.
The same goes for spoken guarantees when you are on the lot, but they are more
difficult to prove. This advertisement that you have tucked away will give you
a warranty claim and will also help support a claim that the dealer violated
the UTPA.
If you buy a car that turns out to be a lemon, even if it’s
a used lemon, you should see a consumer lawyer. Most of these cases are handled
on contingency, so it will be cheap or free to hire the attorney. So remember,
save your advertisement, and if your car gives you problems, call a lawyer!
Great article, thanks for the enlightenment. Dan W
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