blank contract = dealer fraud?

[Guest]

My husband and I recently bought a car from a dealership that was listed online for $4,988 + taxes, tags, fees, and reconditioning. During financing, I asked to see total cost/amortization and the dealer agreed but then changed the subject. I foolishly kept moving along with the deal. A little later, while doing the financing paperwork, their agent has us sign a blank sales contract. I protested weakly, but again foolishly and trustingly went along. Afterward, the finance guy ran our contract through the printer, folded it up, and put it in an envelope. When we finally received it (along with the car) a week later, the base price was $1900 more than was advertised/expected. I immediately called the dealer and he said $495 was the reconditioning and $1495 was a "MD inspection fee" that included the work necessary to get the car up to snuff to pass inspection. However, the car was advertised as certified MD inspected with NO mention or disclaimer of any other fee. Now the dealership is saying "this is what we agreed to" even though this fee was sneakily slipped past us. I spoke to a lawyer on the phone who said this constitutes fraud on the dealer's part, as they can't have us sign a blank contract and not disclose whatever fees they're charging us.

At first the dealership basically offered me a few free oil changes for my unhappiness and said there was no way they'd give me any money back. I filed a complaint with the BBB last week and today I heard from the dealer offering us $250. I said that that's a far cry from the $1500 that I'm disputing. The lawyer that I talked to said if I took this to court they'd cancel our contract on the grounds of fraud. I'm trying to find a solution where we keep this car and get that $1500 back. Thoughts? I think my next step is a strongly worded certified letter, but I'm having trouble finding specific applicable commercial laws to cite... Thoughts?

 

[Michael Wechsler]

The BBB can do nothing for you except to try to mediate the issue between both the auto dealer and consumer. A vendor's incentive for agreeing to mediation is to prevent having complaints lodged against them online such as yours. Unfortunately, the auto dealer can say no. You may want to write your state's attorney general. In addition, small claims court is an option and the auto dealer would have a challenging time explaining in court why they had you sign a blank contract that didn't disclose the fees. The challenge you face is that, even if you win, enforcement of an order of judgment in small claims is your problem. But at least it gets you part of the way there and it may be your best remedy. Good luck.

 

[disagreeable]

The online price is usually only available through a specif process. You should have confirmed the paperwork you signed. I did a dealer match on an advertised price and even though they guaranteed over the phone I had to raise sin with the Ops Mgr to adjust it when I showed up to buy. I walked out with a $17k discount.