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Battle Of The Forums: Deciding On A Venue For Arbitration

So you have sold a vehicle.  You have informed the customer that, per the Retail Installment Sales Contract, any and all disputes they may have with either the purchased vehicle or your dealership are subject to arbitration.  A dispute arises, you bring the case to our attention, and more likely than not, your case is no longer in the hands of the Superior Court with a more than likely hostile […]

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When A Vehicle’s History Report Causes A Mileage Discrepancy

Given the prevalence of vehicle history reports such as CarFax and AutoCheck, and consumers’ demand for the same when they purchase used vehicles, an issue has arisen regarding a dealership’s obligation to report a mileage discrepancy when that discrepancy is solely created by a third-party notation on a vehicle history report.  The most common situation usually arises where a dealer purchases a vehicle at auction, where the vehicle is not […]

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New Law Affecting Your Dealership

In June of 2015, on behalf of one of our dealers, our firm secured an order, by the United States District Court for the Central District of California, dismissing a complaint against our client for violations of the Americans with Disabilities Act (“ADA”). The complaint essentially alleged that our client violated the ADA by failing to install temporary vehicle hand controls for test-drives by a disabled consumer. We immediately filed […]

ML Jim Sifers

The California Supreme Court Addressed the Viability of Class Action Waivers

The California Supreme Court has again taken up the issue of an individual consumer’s ability to obtain remedies for similarly situated third parties. This change in the law may have a significant impact in the auto sales/auto finance industry. The California Supreme Court recently ruled in McGill v. Citibank, N.A. (2017) 2 Cal.5th 945, that companies cannot require individuals to waive their right to seek remedies for the public benefit, […]

James S. Sifers

Impact of a Customer’s Bankruptcy after a Vehicle is Repossessed with an Unpaid Balance Due and Negative Equity

Many of our clients have inquired as to how a licensed vehicle dealer or finance company in California should act with respect to a customer who has a financed vehicle purchase and no equity in the vehicle after the customer defaults on the purchase contract and then files for bankruptcy. For specific transactions that involve a bankruptcy by a customer with a balance due to a lender, legal advice should […]

ML Jim Sifers

Pitfalls in Advertisement

Advertising online is one of a dealer’s most valuable tools. It allows them to connect with their customers instantly. In an era where comparison-shopping can be done on a widespread scale over a specific location, dealers are taking every advantage available to them to ensure that their advertisements are noticed by a potential buyer. It is certainly no secret that consumers, by and large, are price driven in their search […]