Dealer Must Properly Disclose Deferred Downpayments

Our client was thrilled when she purchased her 2007 Lexus ES 350 from Abe’s Motorsports, located in Sacramento, California. An advertisement said that all qualified vehicles come with a 3-month/3,000-mile warranty, and that the vehicle was in “excellent condition.” Our client asked about the vehicle’s history and mechanical condition and was told the vehicle was in good condition and had no accidents. Based on this, our client purchased the vehicle.

When they drafted the contract for the purchase of the vehicle, Abe’s Motorsports asked our client for $2,000 for a downpayment. The contract indicated that $1,500 would be paid immediately and $500 would be paid later. However, Abe’s Motorsports did not collect that amount of money from our client on the date of purchase, and scheduled payments for the downpayment many months beyond the dates on the contract. The contract must clearly and accurately disclose the downpayment schedule in the proper amounts.

The vehicle began smoking from the engine two days after purchase. The dealer allegedly repaired the issue, but the vehicle shut down shortly after. The vehicle is currently inoperable, and Abe’s Motorsports refuses to the repair the vehicle.

Our client reached out to Rosner, Barry & Babbitt, LLP, and now she can count on experienced attorneys to handle her case


If you bought a car and you think the dealer violated the law, contact Rosner, Barry & Babbitt’s Auto Fraud Legal Center will provide you with a FREE evaluation of your rights.