11:57 am, February 11, 2011
Car Dealer Club lawyers are warning dealers of a new scam that has been brought to their attention.
The scam involves dealers being offered cars for cash which seems to be of satisfactory quality on inspection, but then serious mechanical faults are found with the car.
The car is probably booked in, the fault discovered and then is ‘patched up’ to be good enough to be sold – but little more.
Car Dealer Club lawyer, Lucy Bonham Carter, says: ‘If you are buying from the public remember you have almost no legal redress against a member of the public in the normal course of a transaction if the vehicle is found to be defective.’
In one case reported to us a BMW failed only 30 miles after sale requiring an £8k repair. ‘It is possible to add clauses which provide a clawback and we can assist Car Dealer Club members to formulate a policy to help you avoid financial loss,’ added Bonham Carter.
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