by Paul MankinOvercharged Vehicle License Fees in California: What Dealers Don’t Want You to Know
Why did my registration cost so much?
You just bought a car. You’re thrilled—until you look at your contract. Something doesn’t add up. Why did your vehicle license fee seem so high? You do the math and realize you’ve been charged hundreds more than you should have. The excitement of your new purchase starts to fade, replaced by a sinking feeling of being taken advantage of.
This scenario plays out every day across California. Auto dealers add small, hidden overcharges in places most people never think to look—like the Vehicle License Fee. Sometimes it’s only $20, other times it’s $500 or more. While the amounts may vary, the practice is deliberate. Dealers know most buyers won’t notice—or won’t bother to challenge it.
But the truth is clear: this isn’t a harmless mistake. It’s an intentional, illegal way to boost profits.
Customers Ripped Off by ‘Fees’
California consumer bought a certified pre-owned SUV with confidence, thinking the dealership’s reputation meant he was in good hands. During the financing process, he was told, These are standard DMV fees. Everyone pays them. But months later, while researching his annual registration, the client decided to cross-check his original Vehicle License Fee with the DMV calculator. What they found shocked them: they had been overcharged $438.
Another consumer purchased a car for $25,000 and was charged nearly $700 in VLF. But when they later calculated it, they discovered the fee should have been around $162.50. When asking the dealership, they said that’s just what the DMV charges. They made it sound official, like there was nothing the client could do.
Overcharges like these don’t just hurt your wallet—they leave you feeling manipulated and helpless. And with each untold story, dealerships pocket more unearned profits.
What Is the Vehicle License Fee and How It’s Supposed to Work
The Vehicle License Fee (VLF) in California is a state-mandated fee used to fund public services. It’s simple to calculate: it’s 0.65% of the vehicle’s cash purchase price. That’s not an estimate, a suggestion, or a range. It’s a fixed rate, clearly defined by state law.
For example:
- $20,000 car = $130 VLF
- $30,000 car = $195 VLF
- $40,000 car = $260 VLF
The DMV provides a free, online fee calculator for anyone to use. Dealers have access to the same tool and often use it internally. This means they know exactly what the charge should be at the time of sale. There is no excuse for overcharging.
When you buy a car, the dealership is supposed to act as a go-between. They collect the appropriate DMV fees and send them to the state on your behalf. They’re not allowed to mark up those fees or guess the amount. Any overcharge doesn’t go to Sacramento—it goes into the dealer’s pocket.
Why Dealers Overcharge: Small Numbers, Big Profits
To the average car buyer, $40 or $100 might not seem worth pursuing. Dealers know this. They count on consumers to overlook these charges amidst the excitement of a new car and the pile of paperwork.
Now imagine a dealership sells 150 cars per month and overcharges just $100 on each one. That’s $15,000 a month—or $180,000 a year—of unauthorized profit. That money isn’t earned through service or product—it’s siphoned from customers through inflated government fees.
These fees are usually buried in the fine print, bundled under vague headings like “taxes and license,” or “government fees.” The total looks plausible, so buyers sign without questioning it. Dealers may even train their staff to say, “That’s just what the DMV charges,” knowing full well it’s false.
This tactic is strategic, not accidental. It’s theft disguised as bureaucracy.
Why It’s Theft, Not a Mistake
Dealers might argue it was a one-time error, a misprint, or a misunderstanding. But when the pattern repeats—and it always favors the dealer—there’s no room for doubt. This is not negligence. It’s a scheme.
Overcharging the Vehicle License Fee is the same as charging you for taxes that weren’t owed, then pocketing the extra. It’s fraudulent and illegal. The DMV doesn’t authorize any dealership to estimate, adjust, or inflate this fee. They’re merely collectors.
Let’s be clear: when a business takes money under false pretenses, that’s not an accident. That’s a crime especially when they don’t return the money after they “realize” you were overcharged.
In some cases, consumers have learned the overcharge wasn’t even forwarded to the DMV. It was treated as dealer revenue. This goes beyond unethical—it’s theft. And under California law, you can sue to get that money back.
California Laws That Protect You
When it comes to deceptive car dealership practices, California law is uncommonly strong in protecting consumer rights. Overcharging a government-mandated fee, like the Vehicle License Fee (VLF), falls under multiple legal statutes that empower you to seek justice.
First is the Consumer Legal Remedies Act (CLRA) under Civil Code §1770. This law prohibits a range of deceptive business practices, including the misrepresentation of the source or amount of fees in a transaction. If a dealer falsely claims a fee is fixed by the government—or inflates it without explanation—that’s a violation. The CLRA doesn’t just allow you to demand a refund. You can sue for damages, have your attorney’s fees paid, and even pursue punitive damages if the conduct was willful.
Then there’s Vehicle Code §11713(i), which directly governs car dealers. This section makes it illegal to make any untrue or misleading statements in connection with the sale or financing of a vehicle. That includes implying a fee is required by law when it’s not, or charging a higher amount than the DMV stipulates. This provision targets exactly the kind of behavior many dealers engage in when padding VLF charges.
Also at your disposal is Business and Professions Code §17200, known as the Unfair Competition Law (UCL). It prohibits “unlawful, unfair, or fraudulent business acts or practices.” This law is especially useful in cases involving widespread or systemic overcharges, because it allows both individual and class action lawsuits. If the practice has affected a large number of people, your case could be part of something bigger.
Together, these laws offer multiple avenues for recovery. Not only can you get your money back, but you can also help hold the dealership publicly accountable. If enough people come forward, it can even result in changes to how that dealership does business statewide.
What You’ll Need to Prove It
While California law is powerful, the strength of your case depends on your documentation. To prove a VLF overcharge, you need to show what you were charged versus what the DMV actually requires. That means pulling together several key documents:
- Start with your purchase contract. This should list all fees charged, including registration and licensing. You’re looking for a line item that states how much you paid for the Vehicle License Fee.
- Next, visit the DMV’s website and use their VLF calculator. Input your car’s purchase price to determine the correct fee, which should be 0.65% of that amount. Save or print a screenshot for your records.
- Then, find your official registration from the DMV. This shows what the dealership actually submitted to the state. In some cases, you’ll find the dealer only submitted the correct amount—keeping the rest.
- Don’t forget emails, texts, or printed documents from the dealer that refer to “standard” or “mandatory” fees. Any statements that falsely represent the fee as set in stone are important.
- If your vehicle purchase involved financing, include loan documents as well. If you financed the overcharged amount, you’ve likely paid interest on that money—and you deserve compensation for that too.
You don’t need to have everything perfect. A knowledgeable attorney can help fill in the gaps. But the more organized and complete your evidence is, the stronger your claim becomes.
What This Can Cost You: Financial and Legal Harm
You might be thinking, “It’s just a hundred bucks—why bother?” But the real cost runs much deeper.
Let’s start with the numbers. If your dealer overcharged you $200 and rolled it into your car loan at a 7% interest rate over 60 months, you could end up paying more than $235 just for that one overcharge. Multiply that by other hidden fees you didn’t catch, and the costs start to balloon.
Beyond financial harm, there’s the principle of it all. You trusted a licensed dealer. You thought you were paying official DMV fees. Instead, you were misled. That kind of breach isn’t just frustrating—it’s infuriating. And under California law, emotional distress caused by deceptive practices can also factor into damages.
There’s also reputational harm. If you decide to sell your vehicle or trade it in, discrepancies in paperwork or registration fees might raise red flags with other buyers or dealerships. You could even find yourself having to explain documentation inconsistencies you didn’t create.
Finally, there’s the broader social cost. When dealers engage in this kind of misconduct routinely, it damages trust in the entire industry. Holding them accountable isn’t just about your case—it’s about making the system fairer for everyone.
What You Can Do Right Now
If you suspect you’ve been overcharged for your Vehicle License Fee, there’s no time like the present to act. The steps are straightforward:
- Do the math. Pull your purchase agreement and locate the line item for the Vehicle License Fee. Then visit the California DMV’s VLF calculator. Enter your car’s purchase price and compare the result to what you were charged.
- Check your registration. Compare what the dealership reported to the DMV with what they charged you. If there’s a difference, that’s a red flag.
- Document everything. Take screenshots of the DMV calculator. Highlight relevant parts of your contract. Keep all communications with the dealer.
- Consult an attorney. An experienced consumer protection lawyer can tell you within minutes whether you have a viable case. Many offer free consultations and work on contingency—meaning you don’t pay unless you win.
- Spread awareness. If you discover you’ve been scammed, consider leaving reviews or notifying the DMV’s investigations unit. One complaint may not change much—but dozens can bring about serious reform.
The key is not to wait. California has statutes of limitations that may restrict how long you have to take action. But the sooner you act, the more powerful your position.
We Help Californians Recover What They’re Owed
At our firm, we don’t just dabble in consumer protection—we live it. We’ve helped countless Californians reclaim money stolen through overcharges, junk fees, and outright fraud. We’ve gone up against both small-town dealers and major chains. And we’ve won.
Our legal team understands the laws that protect you. We know how to read contracts, gather the right documents, and build a compelling case. We also understand what it feels like to be lied to by a company you trusted. That’s why we combine fierce legal advocacy with personal support.
If you’ve been overcharged for Vehicle License Fees, we want to hear from you. No overcharge is too small. It’s not about the number—it’s about holding wrongdoers accountable.
Let us help you take back what’s yours—and send a message that California consumers won’t be cheated without a fight.
by Paul MankinCalifornia Car Dealers Must Honor Advertised Prices — No Exceptions
“They said the price was $21,999 online. At the dealership, it became $25,500 — plus add-ons I never agreed to. Is this even legal?”
A Common (and Costly) Scenario for California Car Buyers
Imagine this: You’re browsing for a used car online. You find a 2019 Honda Civic advertised on a dealership’s website for $21,999. The photos look good, the mileage is reasonable, and the listing clearly states the price and features.
Excited, you visit the dealership the next day. But when it’s time to sign the paperwork, the price has mysteriously jumped to $25,500. The salesperson shrugs and says the online price was “a mistake” or “only applies with dealer financing.” You feel pressured, confused, and unsure of your rights — and you end up signing the deal.
Sound familiar? You’re not alone. And yes — in California, this is likely illegal.
Stories like this happen every day across California. Many consumers later find themselves burdened with high payments, inflated loan terms, and contracts that don’t match what was advertised. And for those with limited English proficiency or first-time buyers, the damage can be even worse.
A San Diego couple reported that they were lured by a $17,500 price listed online, only to leave the dealership with a $24,000 invoice that included several undocumented fees. They didn’t know they could fight back — until a consumer attorney stepped in and voided the deal.
On Reddit, a customer found a used vehicle listed for sale on a dealership’s website at an advertised price of $24,998. After visiting the dealership and test driving the vehicle, the customer informed the salesperson of their intention to pay in cash. At that point, the dealership refused to sell the vehicle at the advertised price. The salesperson explained that the dealership had purchased the vehicle at auction for $31,000 (Reddit.com, 2024).
Online reviews on popular websites such as Yelp and consumer threads on Quora and AVVO are filled with similar complaints. These first-hand accounts serve as warnings — and motivators — for consumers to do their homework and speak up.
Why Dealers Do This (And How They Get Away With It)
Car dealers are in the business of maximizing profit on every sale. Many know that if they can get a customer in the door with a low price, their chances of closing the deal — even at a higher price — go up significantly. This is called the “foot-in-the-door” technique.
Once a buyer is emotionally invested, has test-driven the vehicle, spent hours at the dealership, and visualized themselves in the car, they become more vulnerable to manipulation. Dealers take advantage of this by slowly adding fees, upselling packages, and backtracking on the advertised price.
They may use confusing paperwork, pressure tactics like “this deal is only good today,” or say a manager must approve the sale. By the time the buyer realizes what’s happened, they’re often too exhausted or embarrassed to back out.
Dealers also manipulate the finance and insurance (F&I) stage of the transaction. During this phase, buyers are often hit with surprise “mandatory” fees, aftermarket products, or extended service contracts — which significantly increase the total purchase price without proper disclosure.
One former dealership finance manager, speaking anonymously, revealed in a consumer interview: “We were trained to treat the advertised price as bait. Once someone was inside, the real sale began. Add-ons were not optional unless the buyer fought back hard”.
Worse yet, many consumers don’t know their rights. Dealers rely on this ignorance and the complexity of contract language. Even those who feel uncomfortable often sign anyway because they fear losing the vehicle or feel they won’t be taken seriously if they complain.
Real-Life Examples and Public Complaints
- AVVO: One user posted, they were quoted $19,500 online. After they signed the paperwork and left with the car they reviewed the documents to find the dealer processed the car for $72,000 and the trade in was also marked up to $28,000 (Avvo.com, 2018).
- Quora: A thread titled Is it legal for a dealership to advertise one price and charge another? has dozens of responses from buyers who faced bait-and-switch tactics (Quora.com, 2020).
- Class Action Suit: In 2019, a major dealership group in California settled a class-action lawsuit alleging it had engaged in deceptive advertising practices. Plaintiffs claimed the dealership routinely posted fake prices online to lure in buyers, then used high-pressure tactics to upsell. (Bob Bonta Attorney General, 2019).
These aren’t just anecdotes — they’re patterns. And they point to an industry that too often puts profit over fairness.
Additional Consumer Reviews That Reveal the Pattern
- One user on Edmund’s forums shared: I showed them the online ad, and the finance manager said, that’s just to get you in the door, the real price includes dealer prep and doc fees (Edmunds.com, 2011).
- On the Better Business Bureau site, a customer wrote: The dealership wouldn’t honor the TrueCar certificate. They claimed their website hadn’t updated yet, even though it was their listing (Better Business Bureau, 2025).
- A Facebook Marketplace buyer said: I brought the ad with me and they told me the price ‘was a typo.’ They tried to upsell me into a car $6,000 more. I walked out.
These recurring stories show the problem is not isolated — it’s industry-wide.
When Dealers Claim “Error Disclaimers”
Some dealerships will argue that the advertised price was a “mistake” and point to a disclaimer — usually buried in fine print — stating that they are not responsible for errors in pricing.
While disclaimers can offer some legal protection in very narrow circumstances, California law still prohibits bait-and-switch tactics. If the advertised price was prominently displayed without any clear and conspicuous condition that it only applies under certain terms, that price must be honored.
California courts have ruled that general disclaimers cannot shield dealers from liability for intentionally misleading advertising. The key question is: Was the price displayed in a way that would mislead a reasonable consumer?
If so, the disclaimer won’t save the dealer from a complaint or lawsuit. Always keep a copy of the full ad, including any small print, to evaluate whether the terms were clearly and lawfully disclosed.
How Online Tools and Algorithms Make It Worse
Many dealerships use dynamic pricing tools that adjust vehicle prices based on demand, inventory levels, or online shopper behavior. These tools can lead to rapid changes in online ads — and confusion for consumers who try to lock in a price they saw hours or days earlier.
Some dealerships intentionally use these tools to show lower prices on third-party sites like CarGurus or TrueCar, only to increase the price once a buyer clicks through or contacts them. This practice blurs the lines between legitimate inventory management and deceptive advertising.
Furthermore, some dealers employ “clickbait pricing” — listing below-market prices that include fine-print requirements like dealer financing, trade-ins, or large down payments. If those conditions weren’t made obvious, the pricing may still be illegal.
This is why checking the ad before and after your purchase — and saving it — is essential. If you later learn the ad was changed or removed, you still have proof of what was offered.
How to Protect Yourself — Before and After the Sale
1. Always Save the Advertisement
Take screenshots of the price, vehicle description, VIN, website URL, and date/time from the dealer’s website or any third-party listing. Ads can change or disappear — your screenshot is your proof.
2. Confirm the Price in Writing
Before heading to the dealership, get an emailed or texted price quote. Ask that the VIN be included in the message.
3. Bring a Witness or Record Your Visit
California requires both parties to consent to recording. If possible, ask permission and record the pricing discussion — or bring a trusted friend or relative.
4. Double-Check the Final Paperwork
Compare every line item and make sure no surprise packages or fees were added. Decline anything you didn’t agree to in writing.
5. Re-check Ads After the Purchase
Even post-sale, you should revisit the dealership’s website and third-party listings. Use tools like the Wayback Machine or Google Cache if the ad has been removed. This step is critical — many consumers discover they were charged more than advertised only after finding the same listing again.
Legal Remedies and Enforcement Options
Under California Vehicle Code Section 11713.1(e), it is illegal for a dealer to advertise one price and then refuse to sell at that price without lawful justification.
The California Business and Professions Code outlaws misleading or false advertising. The Consumer Legal Remedies Act also bans unfair or deceptive pricing.
Violations may entitle consumers to:
- Full contract rescission (cancellation)
- Monetary compensation
- Attorney fees and court costs
- Statutory damages
Consumers can file complaints with:
- California DMV Investigations Division
- California Attorney General’s Office
- Better Business Bureau
- Federal Trade Commission (FTC)
Frequently Asked Questions (FAQs)
Can a dealer legally raise the price after I agree to the ad?
No. Once you agree to purchase at the advertised price — especially if no conditions were clearly disclosed — the dealer must honor it. Raising the price violates California consumer protection laws.
What if the dealer says it was a pricing error?
Unless the error was obvious (like a $40,000 car listed for $4,000), they still have a legal obligation to honor the listed price. Generic disclaimers are not a defense for deceptive advertising.
Can I cancel the deal if I was misled?
Yes. If you can show that you were charged more than the advertised price without your consent or proper disclosure, you may be entitled to cancel the contract and recover your money.
Do I need a lawyer to fight this?
Not always, but it helps. Some consumers file DMV complaints or small claims actions successfully. However, a consumer protection attorney can evaluate your case and increase your chances of success — often without upfront fees.
What evidence do I need to prove the dealer sold a vehicle for more than the advertised price?
There are several documents that are needed but here are two key documents. (1) You need the purchase contract. The purchase contract will show the price you paid for the vehicle and (2) a copy of the advertisement showings the lower price will be helpful. Oftentimes, we are able to find the advertisement but its better if you can provide us with one.
Conclusion
Car dealers in California are required by law to honor the advertised price — no matter what excuse they offer. Don’t fall for pressure tactics, fake add-ons, or “error disclaimers.”
If you were charged more than what was advertised, you may be entitled to cancel the deal and recover damages. Document everything, act quickly, and speak with a consumer attorney. We help Californians fight back against illegal dealer practices. Call us, The Law Office of Paul Mankin, APC, now for a free consultation/evaluation. 1-800-219-3577.
Disclaimer: This article provides general information and does not constitute legal advice. For personalized guidance, consult a licensed California attorney.
by Paul MankinWhat Is Auto Dealer Fraud? Understanding the Basics
Not every sale is honest. Some dealerships mislead buyers with hidden fees, rolled-back odometers, or deceptive financing terms. Others sell vehicles with undisclosed damage or altered histories. These business practices can leave buyers paying more than expected—or stuck with a defective vehicle.
In this guide, you’ll learn how auto dealer fraud happens, common schemes, and what legal options exist if you’ve been misled.
10 Types of Auto Dealer Fraud Cases and What You Can Do About Them
Buying a vehicle should be simple. However, some automotive dealerships use misleading tactics to squeeze more money out of new car buyers. Here are the most common scams, how they work, and what you can do to protect yourself.
1. Odometer Rollback
Lower mileage means a higher price. Some sellers tamper with odometers to make a motor vehicle seem newer than it is. Digital odometers are not immune—fraudsters use software to alter readings.
How to spot it:
Compare the mileage on the title, vehicle history report, and service records. Look for inconsistent numbers. A low-mileage vehicle with worn seats faded buttons, or new pedal covers is suspicious. Check the odometer sticker on the oil change records.
2. Bait-and-Switch Pricing
You see an ad for a great deal, but when you arrive, the car is “already sold.” The salesperson pushes a more expensive option or adds surprise fees. This is intentional—it gets buyers in the door.
How to avoid it:
Call ahead to confirm the vehicle is available. Get an email quote before visiting. If the deal changes when you arrive, walk away.
3. Hidden Fees in the Sales Contract
Some contracts include extra charges for things you never agreed to, such as extended warranties, service plans, or “dealer prep” fees. These fees can add thousands to the final purchase price.
How to protect yourself:
Read every line before signing. Ask for a detailed breakdown of all charges. If a fee sounds vague, question it. Common junk fees include “VIN etching,” “advertising fees,” or “protection packages.”
4. Selling a Lemon Without Disclosure
Some vehicles have major defects that dealers fail to mention. A car with a history of repeated repairs may qualify as a lemon, but that doesn’t stop some used car dealers from offloading it to unsuspecting buyers.
How to verify:
Request a vehicle history report. Look for multiple repair entries for the same issue. If possible, take the vehicle to an independent mechanic before buying. Check your state’s lemon law to see if you have legal protection.
5. Financing Scams and Yo-Yo Sales
A dealer tells you your financing is approved. You sign the paperwork, drive off, and think the deal is done. Days later, they call back—your loan “fell through.” Now, they demand you sign a new contract with worse terms.
How to avoid it:
Never leave the lot without full loan approval in writing. Secure financing through a bank or credit union before stepping into a dealership. If they call you back with new terms, refuse.
6. Tampering with Vehicle History
Not every accident or repair shows up on a history report. Some sellers avoid reporting wrecks or title issues, making a damaged vehicle seem clean.
How to check:
Don’t rely on a single vehicle history report. Use multiple sources like AutoCheck and the DMV. Request service records from the seller. A trusted repair shop can also look for hidden damage.
7. False Certified Pre-Owned Vehicle Claims
Certified pre-owned (CPO) vehicles should meet manufacturer standards. Some dealerships slap a CPO label on cars without actually performing inspections.
How to confirm:
Ask for documentation. A real CPO vehicle comes with a manufacturer-backed inspection report. Look for missing service records or signs of unaddressed damage.
8. Low Trade-In Offers
Dealers make money on trade-ins. The lower the offer, the more they profit when reselling. Some will downplay your vehicle’s value to increase their margins.
How to negotiate:
Know your trade-in’s value before visiting. Use Kelley Blue Book and Edmunds for estimates. Get quotes from multiple dealers before accepting an offer.
9. Extended Warranty Pressure
Extended warranties can be useful, but they are never required. Some dealerships claim they are mandatory or sneak into contracts without permission.
How to decline:
Check your service contract. If a warranty appears without your approval, ask for it to be removed. If a salesperson insists it’s required, they are misleading you.
10. Deceptive Advertising
“Zero percent interest!” “Lifetime warranty!” “No money down!” These deals sound great—until you read the fine print. Some promotions come with hidden conditions that make them nearly impossible to qualify for.
How to avoid falling for it:
Read the terms carefully. If an offer sounds too good to be true, it probably is. Always ask for clarification before signing anything.
Know Your Protections: State and Federal Consumer Laws
Laws exist to hold dealerships accountable for deceptive practices. Knowing these protections can help if you run into a fraudulent sale.
State Laws and Lemon Laws
Each state has consumer protection laws that regulate car sales. Lemon laws, for example, require dealers to refund or replace defective vehicles under certain conditions. Some states have strict rules on as-is sales, making it harder for dealers to avoid responsibility for hidden defects.
What to do:
Research your state’s lemon law and used vehicle protections. If a dealership refuses to fix a serious issue, check if your vehicle purchase qualifies for legal action.
Federal Laws Against Auto Dealer Fraud
The Federal Trade Commission (FTC) enforces rules to prevent deceptive advertising, odometer tampering, and misrepresentation. The Truth in Lending Act requires dealers to disclose loan terms clearly. The Magnuson-Moss Warranty Act ensures that warranties are honored as promised.
How this helps you:
If a dealership hides fees, misrepresents a vehicle’s condition, or pressures you into a bad loan, you may have legal grounds for a complaint.
What Are Your Legal Rights Under Car Dealership Laws?
You have the right to fair treatment when buying a vehicle. If a dealership misled you, added fake fees, or sold you a defective vehicle, the law is on your side.
- Protect Yourself: Keep all documents—sales contracts, emails, repair records, and ads. These are key to filing a complaint or taking legal action.
- Take Action: Report consumer fraud to the FTC, Better Business Bureau, or your state’s attorney general. If the issue isn’t resolved, consider other legal options.
Need Help? If a dealership violated consumer rights, speak with an auto fraud attorney. Contact Paul Mankin Law for a case review and guidance on your next steps.
by Paul MankinCan You Trust Carfax Reports? Accuracy, Reliability, and Red Flags
A vehicle history report can be valuable when buying a used vehicle. It offers details on past owners, accidents, and maintenance records. But like any tool, it has limits. Not every repair shop reports to Carfax. Not all accidents make it into the database. And sometimes, key details get missed.
In this guide, you’ll learn how these reports work, what they might miss, and how to cross-check information before making a car purchase.
How Accurate Are Carfax Reports? Understanding Their Reliability
A vehicle history report is only as good as its data. Carfax pulls from thousands of sources— DMV records, insurance companies, police reports, and repair shops. If an accident gets filed with an insurer, it’s likely to appear. If a body shop reports frame damage, that detail gets logged. But not every used car incident leaves a paper trail.
Some repairs never make it to the system. A previous owner might have skipped insurance to avoid premium hikes. A small repair shop might not report to databases. Even a dealership trade-in could pass through with undisclosed issues. That’s why a “clean Carfax” record doesn’t always mean a problem-free vehicle.
This doesn’t mean the tool isn’t useful. It’s an important checkpoint—but not the only one. A test drive, an independent inspection, and cross-checking with services like AutoCheck can help fill the gaps.
Can a Carfax Report Be Faked? How to Spot a Fake Carfax
Most history reports are reliable, but that doesn’t stop bad actors from trying to manipulate them. Here’s how fraud happens and what to watch for.
Altered PDFs
A real report can be downloaded and edited. Dishonest sellers might remove accident reports, change ownership history, or adjust mileage.
Fake Websites
Some scammers create imitation sites that look like official sources. A fake report may use an altered domain name, low-quality logos, or incorrect formatting.
Mismatched VINs
Every vehicle has a unique identification number (VIN). If the VIN on the history report doesn’t match the one on the dashboard or door frame, something is wrong. A small difference—one incorrect digit—could mean the report belongs to a different vehicle.
Incorrect Mileage
Mileage should always increase over time. Someone may have rolled it back if a report shows a lower reading than what’s on the odometer. This is a red flag for potential tampering. Compare the history record with service documents and state inspection reports.
Unusual Formatting
A legitimate report follows a consistent structure. It could be fake if a document has blurry text, missing sections, or fonts that don’t match the original source. Look for watermarks and verification features from the report provider.
No Service or Repair History
A well-maintained vehicle should have service records—oil changes, inspections, or warranty repairs. If a report is completely blank in this section, it doesn’t mean the vehicle has never been serviced. It could mean the records weren’t reported or were intentionally removed.
Cross-Check with Trusted Sources
Don’t rely on a single report. Use AutoCheck, check records with the DMV, and ask for service history from a car dealership. A pre-purchase inspection at a repair shop can also reveal hidden damage or past repairs not listed in the history.
Legal Options If a Dealership Lied About a Vehicle’s History
Some sellers leave out key details. Here’s how to tell if you have a legal case and what steps to take.
When Misleading Information Becomes Fraud
- Odometer Rollbacks: If the mileage was changed to make a vehicle seem newer, that’s fraud. The federal government has strict laws against odometer tampering.
- Undisclosed Accidents: If a seller hides major wrecks, flood damage, or structural repairs, they may be breaking the law. A car dealer is responsible for known defects even if the damage doesn’t appear on a car history report.
- Branded Titles Not Disclosed: Some vehicles have titles marked “salvage” or “rebuilt” due to prior damage. If a seller presents the vehicle as having a “clean” vehicle title but doesn’t disclose past issues, that could be considered deceptive.
- Bait and Switch: Some buyers sign paperwork only to realize later that the vehicle has different terms than promised. You may have a case if a seller changes the contract without clear disclosure.
Buyer Protection Laws That Apply
- Federal Trade Commission (FTC) Rules: Dealers must provide truthful information. False claims about a vehicle’s history violate federal laws.
- State Lemon Laws: A misrepresentation vehicle may sometimes qualify under state lemon laws. This depends on defects, repair history, and warranties.
- Odometer Fraud Protection Act: This federal law protects buyers from mileage tampering.
- Consumer Protection Laws: Many states have laws against deceptive trade practices. These protect buyers from unfair business tactics.
How to File a Legal Complaint
- Gather Proof: Keep sales contracts, history reports, and written communication. If possible, get a mechanic’s inspection to confirm hidden defects.
- Contact the Seller: Some issues may be resolved without legal action. Ask the dealer for an explanation and request a written confirmation of any claims.
- File a Complaint With the DMV: Many state DMV offices investigate vehicle fraud or scams. They can check title histories and verify reported mileage.
- Report to the Better Business Bureau (BBB): While the BBB can’t enforce laws, a complaint may pressure the dealership to resolve your claim.
- Submit a Complaint to the FTC: The Federal Trade Commission investigates fraud and deceptive practices. You can file a report online.
- Consult a Lawyer: If the dealership refuses to take responsibility, an attorney can help. Legal action may result in compensation or even a contract cancellation.
What to Do If You Don’t Trust a Carfax Report
A history report can be helpful, but it’s not perfect. Some details may be missing, and mistakes may happen. If something doesn’t add up, take action.
- Inspect the Vehicle in Person: Look for mismatched paint, uneven panel gaps, or signs of major repairs.
- Get a Pre-Purchase Inspection: A mechanic can find hidden damage that reports might miss.
- Verify the Title: Ask for a copy of the title and compare the information with the DMV’s records.
Get Legal Help If Needed
If a seller knowingly provided false information, you may have legal options. An auto fraud attorney can help recover losses, negotiate a refund, or take further action.
Car buying should be a fair deal. If you suspect deception, don’t ignore it. Speak with a legal professional today.
by Paul MankinSuing a Car Dealership for Fraud: How to Protect Your Rights and Win Your Case
Some deals sound too good to be true—and sometimes, they are. Hidden fees, misleading contracts, and undisclosed vehicle issues can turn a simple car purchase into a costly mistake.
Legal options exist if a seller misrepresents details, charges for services never agreed to or fails to disclose major defects.
Laws protect new car buyers from deceptive practices. Holding a business accountable takes preparation—clear documentation, knowledge of consumer protections, and, often, legal support.
This guide teaches you how to identify dishonest practices, what to do if you’ve been misled, and what legal actions may be available.
Reasons to Sue a Car Dealership
Not every bad deal is illegal. But some are. Legal action becomes an option when a seller crosses the line from a mistake to deception.
Misrepresentation of a Vehicle’s Condition
A buyer purchases a used vehicle advertised as accident-free. Later, a mechanic discovers frame damage. If a seller knowingly hid this detail or altered records, that’s a misrepresentation. Mileage tampering, falsified repair history, and undisclosed recalls also fall under this category.
Bait-and-Switch Tactics
You negotiate a deal for a specific model at a set price. When you arrive to sign, the offer is suddenly unavailable. The only options are a higher price or a different vehicle. If a business lures customers with false promises, it’s dishonest and may violate consumer protection laws.
Hidden Fees and Unauthorized Add-Ons
A final contract lists charges never discussed: extended warranties and service plans. If these extras were added without clear consent, that’s a potential breach of contract.
Selling a Lemon Without Disclosure
Some used cars are legally classified as lemons due to repeated mechanical failures. Sellers must disclose this status. Buyers may have grounds for legal action under lemon laws if they don’t.
Breach of Contract
If a business agrees to specific terms—like trade-in value, warranty coverage, or financing rate—and fails to honor them, that’s a breach. Any written agreement should be followed exactly as signed.
Laws exist to protect consumers from dishonest practices. If a seller misled you, the next step is to seek legal advice.
Can You Sue for Deception or Misrepresentation? Your Legal Consumer Rights
If a seller misled you about financing, added hidden fees, or misrepresented a vehicle’s history, legal action from a reputable law firm may be an option.
When a Lawsuit Is Justified
A lawsuit isn’t for every dispute. Cases that often hold up in court as consumer fraud include:
- Odometer Fraud: Rolling back mileage to increase value
- Undisclosed Damage: Selling a wrecked vehicle as clean
- Title Issues: Claiming a car has no liens when it does
- Hidden Fees: Charging for extras never agreed to
- False Advertising: Bait-and-switch tactics or misleading promotions by a salesperson
If a business knowingly deceived you, legal claims may be stronger than simple complaints.
Next Steps: Complaint or Lawsuit?
Before starting a case, start with a formal complaint to consumer protection agencies. The Better Business Bureau, the Federal Trade Commission, and the California Attorney General all handle disputes. If they can’t resolve it, an experienced attorney can help you review legal options.
Filing a Complaint Against a Car Dealership in California
A bad deal isn’t always illegal, but some business practices cross the line. If a seller misled you, refused repairs, or added hidden fees, filing a complaint can hold them accountable. Here’s how to do it.
Step 1: Gather Evidence
Strong complaints come with proof. Collect:
- The original sales contract and any financing documents
- Emails, texts, or voicemails about the sale
- A vehicle history report from Carfax or AutoCheck
- Inspection records, repair estimates, or export opinions
- Any written promises or warranties
Step 2: Contact the Car Dealer
Sometimes, a formal complaint in writing can resolve the issue. Be direct. Outline the problem, reference any misleading claims, and request a solution. Keep a copy for your records.
Step 3: File a Complaint with Consumer Protection Agencies
If the business won’t cooperate, take the next step. File complaints with:
- Better Business Bureau (BBB): Tracks unethical business practices and can mediate disputes.
- California Department of Motor Vehicles (DMV): Investigates cases involving false advertising or odometer tampering.
- Federal Trade Commission (FTC): Handles deceptive business practices on a national level.
- California Attorney General’s Office: Protects consumers and enforces state laws.
Each agency has an online complaint form. Be clear, include supporting documents, and keep a copy.
Step 4: Consider Arbitration or Small Claims Court
Some contracts require arbitration before legal action. Small claims court may be a faster option if your claim is under a certain amount. California’s small claims courts handle cases up to $10,000.
Step 5: Speak with a Lawyer
Legal action may be the next step if compliments don’t lead to a resolution. An attorney can review your case, help recover damages, or take the matter to court if necessary.
Filing a complaint can pressure businesses to fix mistakes. If they won’t, you have other options.
What Kind of Lawyer Do You Need to Sue a Dealership?
Not every attorney handles disputes against sellers. The right one depends on your case.
- Auto Fraud Attorney: Specializes in deceptive sales, misrepresentation, or odometer fraud. Ideal for cases involving hidden fees, undisclosed damage, or contract breaches.
- Consumer Protection Lawyer: This type of lawyer focuses on unfair business trade practices and violations of federal or state laws. It is useful when a business engages in deceptive advertising or refuses to honor agreements.
- Lemon Law Attorney: This is the right choice if a vehicle has repeated defects and qualifies under state lemon laws.
Understanding Attorney Fees
Many attorneys offer free consultations to assess a claim. Some work on a contingency basis, meaning they only get paid if they win. Others charge flat fees or hourly rates, depending on the case.
What to Do If You’ve Been Charged Fake or Hidden Fees
Extra fees can add up fast. Some are legal, but others are deceptive. You have options if a seller slipped in charges you didn’t agree to.
First, review your contract. Compare the final numbers to what was promised. Look for vague charges or unexpected add-ons. Keep every document—sales agreements, financing terms, and emails.
Some cases qualify for legal action, especially if a scam, defective vehicle, or misrepresentation is involved.
The Law Office of Paul Mankin helps car buyers hold dealerships accountable. Contact us for a free consultation and learn how to get your money back. We work on a contingency basis, so you don’t pay unless we win or settle. See how auto dealer fraud laws protect you.
by Paul MankinCan You Cancel an Extended Warranty on a Car? Understanding Your Rights
An extended warranty sounds like a safety net—until you try to cancel it. Some dealerships make the process smooth, but others delay, dodge, or refuse outright.
You might have second thoughts about the cost. Maybe you found out the coverage overlaps with a manufacturer warranty. Or worse, you never agreed to it in the first place. No matter the reason, cancellation should be straightforward.
In this guide, you’ll learn how to cancel, what kind of refund to expect, and what to do if a dealership won’t cooperate.
Extended Warranties and Your Car
Dealerships love extended warranties. They present them as extra protection to buy peace of mind. However, not all warranty coverage is the same, and not all policies are easy to cancel.
Types of Extended Car Warranties
- Manufacturer-Backed Plans: These come directly from brands like Honda, Toyota, or Ford. They extend factory coverage and are generally more reliable.
- Third-Party Warranties: Often sold by warranty providers, these contracts may have more exclusions and require pre-approval for repairs. Some car dealerships push these harder because they bring in bigger profits.
What’s Covered? What’s Not?
Most plans focus on big-ticket repairs—engine, transmission, and electrical systems. But common exclusions exist: wear-and-tear items like brake pads, oil changes, and anything considered routine maintenance. Some contracts include a deductible per visit, which can make small repairs costly.
Why Dealerships Push These Plans
Extended warranties boost profits. Finance managers slip them into deals as “standard” or bury them in paperwork. Some even say you can’t qualify for a car loan without one. But in most cases, cancellation is possible—if you know how to push back.
Can a Dealer Refuse to Do Warranty Work or Cancel a Warranty?
Dealerships make promises. Some don’t keep them. You expect repairs to be covered. Then, suddenly, the claim is denied.
Why Repairs Get Rejected
- “Not covered” Excuse: Some dealerships argue the issue is outside the extended warranty contract. They may claim exclusions or fine print prevent the repair.
- Blaming the Owner: They might say misuse caused the problem. Lack of maintenance records, aftermarket parts, or previous repairs can give them a reason to deny service.
- Third-Party Hassles: If the coverage is through an outside company, the car dealer may refuse to work with them. Some service centers won’t deal with warranty providers they don’t trust.
Your Consumer Protections
The Magnuson-Moss Warranty Act prevents companies from unfairly denying coverage to new car owners. A manufacturer or dealership must prove a repair isn’t covered; if they can’t, they must honor the claim.
What You Can Do
- Check the Fine Print: Review the vehicle service contract. If the repair is listed, push back.
- Document Everything: Keep all service records and written communication.
- File a Complaint: Report the issue to the Better Business Bureau, the Attorney General’s Office, or the Federal Trade Commission.
- Seek Legal Advice: An attorney can force action if the dealer refuses repairs without cause.
What to Do if a Warranty Was Added Without Consent or Service is Being Refused
You didn’t ask for extra coverage, but the dealership slipped it in. Maybe you spotted the charge on your finance contract after signing. Or maybe you were told it was “included,” only to find out later you’re paying for it. Either way, this isn’t legal.
How Dealers Add Warranties Without Permission
- Bundled into Financing: Some dealerships add an extended vehicle warranty without telling you. They claim it’s required for loan approval or “recommended for peace of mind.”
- Verbal Promises, Hidden Fees: A salesperson may say something is free, but the contract tells a different story.
- Paperwork Sleight of Hand: Some dealers rush car buyers through signing, burying unauthorized add-ons in the fine print.
Hidden add-ons are shady and illegal. Dealers count on buyers not noticing or giving up, so don’t let them get away with it.
How to Cancel an Extended Warranty and Get a Refund
Extended warranties are often pitched as protection but aren’t always necessary. Maybe you realized you don’t need the coverage, or the dealership added it without asking. The good news is that most contracts allow cancellations. The challenge is getting your money back.
1. Find Your Warranty Contract
Check your sales agreement or new vehicle service contract for cancellation terms. Look for details on refund eligibility, cancellation fees, and whether you need to cancel in person or by submitting a cancellation request. Look for charges labeled as extended warranty or gap insurance.
2. Submit a Cancellation Request
Send a written cancellation form to both the warranty provider and the dealership. Include:
- Your name, phone number, and address
- The vehicle identification number (VIN)
- A copy of your extended warranty contract
- Your reason for canceling
Keep a copy of everything for your records. If submitting in person, ask for a signed acknowledgment. Send a cancellation form to the dealership and the factory warranty provider.
3. Know Your Refund Rights
- Full Refunds: Some contracts allow full cancellation within a set period (usually 30 to 60 days).
- Prorated Refunds: If you’ve used the coverage, you may get a prorated refund based on timeframe or mileage.
- Fees & Deductions: Some providers charge a cancellation fee or deduct the cost of claims already paid.
4. Follow Up With the Finance Company
If the warranty was financed with your loan, the refund goes to the lender, not you. This reduces your loan balance, but it won’t lower your monthly payments.
5. Escalate if the Dealer Refuses
If the dealership doesn’t cancel, take action:
- Call the warranty company: Confirm they received your request.
- File a complaint: Report the dealer to the Better Business Bureau (BBB) and the Attorney General’s Office.
- Consider small claims court: Legal action may be your next step if the dealer refuses a valid refund.
Contact Our Team to Review Your Case Today
If a dealership refuses to cancel your extended warranty on your new car or denies the service you paid for, don’t let it slide. You have options. Consumer protection laws exist for a reason.
A legal review can help you understand your rights and the next steps. Whether you need a refund, repairs, or a path to resolution, expert guidance can make a difference.
Book a free consultation today. Get answers and take action.
by Paul MankinCan You Return a Car Back to the Dealer? Your Rights Explained
Buying a vehicle feels like a commitment. But what if it turns out to be a mistake? Maybe the payments stretch your budget too thin. Maybe mechanical issues will show up too soon. Or maybe you simply changed your mind.
Some dealerships offer return policies, while others don’t. California laws provide options in certain cases, but there’s no universal right to undo a vehicle purchase. The rules depend on the type of sale, contract terms, and state laws.
This guide explains when a return is possible, how California’s cooling-off period works, and what steps to take if you need to return a vehicle.
California’s Laws and Cooling Off Period for Returning a Car
Some car purchases come with a built-in escape hatch. A cooling-off period. A way to walk away. But in California, that window is narrow, and it doesn’t apply to most vehicle sales.
California Buyer’s Remorse Law
This rule protects consumers from high-pressure car sales tactics. It allows certain purchases to be canceled within a short time frame. But here’s the catch—it doesn’t usually apply to vehicles.
Cooling-Off Rule for New Vehicles
California law offers a two-day cancellation option for some buyers, but only if the dealership sells it as an add-on. This option typically applies to purchases under a specific price and must be requested at the time of sale. If you didn’t buy this coverage, there’s no automatic right to return the vehicle.
Used Vehicle Limitations
Most used vehicle sales are final. Some dealerships offer return policies, but they’re voluntary. The law doesn’t force them to take a vehicle back unless it qualifies under the lemon law or contract cancellation option rules.
California New Car and Used Car Return Policies
Most sales are final, but some dealerships offer return options—voluntarily or through special agreements.
New Vehicle Returns: What Dealerships Allow
California does not require dealerships to accept returns on new purchases. The auto loan and monthly payments begin immediately if the vehicle is financed. Some dealers offer limited return options, often at an extra cost. This is part of a contract cancellation option that must be purchased at the time of sale.
Used Vehicles: “As-Is” Sales and Return Possibilities
Many used motor vehicles are sold “as-is,” meaning the buyer takes full responsibility after signing the sales contract. Returning the vehicle is unlikely unless a dealer offers a specific return policy. Private-party sales follow the same rule—once the deal is done, it’s done.
Refunds vs. Exchanges
Some dealerships offer exchanges instead of refunds. If the first purchase doesn’t work out, a buyer might be able to swap for another model. But this is rare and always depends on the dealership’s internal policies.
Deposits: Are They Refundable?
Deposits can be tricky. Some are refundable, while others are not. Before placing money down, ask if the purchase price deposit is part of the deal or just a hold. If it’s non-refundable, walking away means losing that money.
Steps to Take If You Want to Return a Car to the Dealer
Returning a vehicle isn’t always an option, but if you need to try, these steps can help.
1. Review the Sales Contract
Check for a return policy or a contract cancellation option. Some dealerships allow returns within a specific time frame, especially if the option was purchased at the time of sale. If no policy is listed, returning it may depend on the dealership’s goodwill.
2. Ask About the Dealership’s Voluntary Return Rules
Some businesses allow returns under certain conditions. They may charge a restocking fee or limit the return window. Others may offer an exchange instead of a refund. Speak to the salesperson or manager to understand your options.
3. Contact the Dealership Before Taking Legal Steps
Contact the dealership directly if you’re facing mechanical issues or unexpected problems. Explain your situation and ask if they are willing to work with you. If the issue falls under warranty or the lemon law, they may offer repairs instead of a return.
4. Keep All Communication in Writing
Save emails, texts, and documents related to your request. If a dispute arises, written proof can help. The Better Business Bureau (BBB) or the attorney general’s office may request documentation if you escalate the issue.
5. Seek Legal Advice if Needed
If the dealership refuses a return and you believe you were misled, consider speaking with a consumer protection attorney. Some cases qualify for a lemon law claim, while others may involve false advertising or contract violations.
What If You Can’t Return the Vehicle? Alternative Solutions
If the car dealer refuses, you still have options to reduce financial loss or find a legal solution.
1. Sell the Vehicle Privately
If returning it isn’t an option, reselling may be the next best option. A private sale often brings a higher market value than trading it in. Use sites like Carvana, Edmunds, or local listings to find a buyer. Just be sure to check state laws on title transfers and required disclosures.
2. Trade It in at Another Dealership
A trade-in can help if you need a different vehicle. While the offer may not match the purchase price, it could reduce the balance on a new car loan. Compare offers from multiple car buyers, including big retailers like CarMax.
3. Refinance to Lower Payments
If high monthly car payments are the issue, refinancing may help. A lower interest rate or longer loan term can make payments more manageable. Be sure to check your credit score before applying, as better rates go to borrowers with strong credit.
4. Consider a Legal Claim
Legal action may be an option if the car you bought has defects or the car dealership misrepresented its condition. Lemon law claims apply to certain defective vehicles, while fraud cases address misleading sales practices. Consulting a consumer protection attorney can clarify if you have a case.
Contact Our Team to Learn More about Car Return Options
Returning a vehicle isn’t always simple. State laws, contracts, and dealer policies all play a role. Getting the right advice can save you time and money if you’re unsure about your options.
An experienced attorney can review your case, explain your rights, and help you take the best next step. Don’t guess your way through it. Book a free consultation today and get the answers you need.
by Paul MankinCalifornia Lemon Law for Used Cars: What You Need to Know
A new purchase should come with peace of mind. But what happens when a vehicle turns into a headache? California’s lemon law offers protections if you’ve bought something unreliable. You have protections if it stalls on the freeway or won’t start. The seller may be responsible if it spends more time in the shop than on the road.
In this guide, you’ll learn what counts as a defective vehicle, how to file a claim, and what options you have if a dealership won’t make things right.
What Is the California Lemon Law?
The California Lemon Law protects buyers from getting stuck with defective vehicles. If a car, truck, SUV, or motorcycle has repeated mechanical failures and the seller can’t fix them, the owner may have a right to a refund or replacement. This law forces dealerships and manufacturers to stand behind what they sell.
A California Lemon Law applies to both new motor vehicles and used vehicles that come with a warranty. If a dealer attempts multiple repairs but the problem persists, the vehicle may qualify as a lemon. Safety issues, such as brake failures or engine stalls, can also strengthen a claim. Owners may need to go through arbitration or legal action to get compensation.
The Song-Beverly Consumer Warranty Act and the Tanner Consumer Protection Act outline these rights in California. If a vehicle is deemed a lemon, the manufacturer must either repurchase it or provide a replacement.
Some cases qualify for reimbursement for attorney fees, towing, and rental expenses.
California Lemon Law Requirements: Does Your Car Qualify?
Not every defective vehicle is a lemon. The law has strict rules on what qualifies. You may be entitled to a replacement or buyback if repairs fail repeatedly. Here’s what you need to know.
1. The Defect Must Affect Safety, Use, or Value
A minor issue won’t qualify. The problem must make the vehicle unsafe, unreliable, or significantly reduce its value. It may meet the standard if it stalls, has brake failures, or suffers repeated engine issues.
2. A Reasonable Number of Repair Attempts
The law sets clear limits:
- Two repair attempts if the defect poses a serious safety risk
- Four attempts for the same non-safety issue
- 30+ days in the repair shop for any issue
If a dealership or manufacturer can’t fix it within these limits, it likely qualifies as a lemon.
3. The Vehicle Must Be Under Warranty
California’s Song-Beverly Consumer Warranty Act protects vehicles with an active manufacturer’s new car warranty. If the warranty expires before filing a lemon law claim, the law won’t apply.
Used vehicles qualify only if they come with a warranty at the time of purchase. An “as-is” sale does not guarantee protection.
4. You Must Notify the Manufacturer
Before filing a claim, you must give the manufacturer a fair chance to fix the problem. This means sending a written notice explaining the issue. If they fail to resolve it, you can pursue legal action.
5. Compensation Options
If your vehicle qualifies, you may be entitled to:
- A replacement vehicle
- A buyback (refund of the purchase price)
- Reimbursement for attorney fees and other related costs
What to Do If a Dealership Sold You a Defective Vehicle
If you’re dealing with ongoing issues, follow these steps to protect yourself and your investment.
1. Gather All Documentation
Every piece of paperwork matters. Keep copies of:
- Repair records: List every visit to the shop, including dates, issues reported, and work done.
- Warranty details: Check coverage terms and expiration dates. A manufacturer’s new vehicle warranty may still apply.
- Purchase agreement: Review the contract for any clauses about returns or dispute resolution.
- Communication logs: Save emails, texts, or notes from phone calls with the dealership.
2. Contact the Dealership
Start with the seller. Call or visit the dealership and explain the issue. Many dealers will try to resolve problems by offering repairs, a replacement, or a refund. If they refuse to help or keep delaying, escalate your complaint.
3. Check for Manufacturer Support
Contact the automaker directly if the vehicle is still under the manufacturer’s warranty period. They may authorize repairs through an approved shop or offer other solutions. Some manufacturers have dispute resolution programs to handle defective vehicle claims.
4. File a Complaint With Consumer Protection Agencies
If the dealership won’t cooperate, report them. Agencies that handle auto fraud and defective vehicle claims include:
- The Department of Consumer Affairs: They oversee dealership complaints in the state of California.
- The Better Business Bureau (BBB): Some dealerships respond to complaints here to maintain a good rating.
- The Attorney General’s Office: This office may investigate if the issue involves fraud or service contract violations.
- The Federal Trade Commission (FTC): If the problem involves misleading sales practices, a federal complaint may help.
How Does the California Lemon Law Work With a Lawyer?
Some dealerships and manufacturers make the process harder than it should be. They delay repairs, reject claims, or refuse to buy back a defective vehicle. A lemon law attorney makes sure that doesn’t happen.
1. When to Consult a Lawyer
If a reasonable number of repair attempts haven’t fixed the problem, it’s time to seek legal help. Signs you may need an attorney include:
- The dealership keeps stalling or saying the issue isn’t covered
- The manufacturer refuses a buyback despite repeated defects
- You’ve missed work or lost money because the lemon vehicle is unreliable
2. What an Attorney Does
A California lemon law attorney fights for compensation or a replacement. Here’s how they help:
- Case evaluation: They review repair records and contracts to determine whether you qualify under the Song-Beverly Consumer Warranty Act.
- Handling negotiations: They deal with automakers and dealerships, so you don’t have to.
- Filing a claim: If needed, they pursue a lemon law buyback or reimbursement through arbitration or court.
3. Benefits of Hiring a Lawyer
- No out-of-pocket fees: The automaker covers legal costs if your case qualifies
- Faster resolutions: Attorneys push automobile manufacturers to settle instead of dragging out disputes
- Less stress: A lawyer takes care of deadlines, paperwork, and negotiations so you can focus on your daily life.
If you’re dealing with a defective vehicle, don’t wait. The Law Office of Paul Mankin can review your case and help you get the resolution you deserve. Contact us today for a free consultation.
by Paul MankinHow to Buy a Car Out of State: A Complete Guide
Buying from another state opens up new options. More choices, better deals, and sometimes rare finds. But crossing state lines comes with challenges. Taxes, registration, inspections—each state plays by its own rules. A smooth purchase starts with knowing what to expect.
Some states have stricter emission laws. Others require inspections before registration. Sales tax might be due in your home state, not where you buy. And then there’s the title transfer—an essential step that can’t be overlooked.
In this guide, you’ll learn how to handle taxes, paperwork, and registration so your purchase is smooth and hassle-free.
Can You Buy a Car Out of State? Understanding the Basics
Car buying across state lines is legal, but each state has its own rules. Some make it easy, and others add extra steps.
California, for example, has strict emissions laws. A vehicle that meets federal standards may still fail California’s smog test. Without passing, registration won’t happen. If you’re buying from a dealership, they should handle compliance. Private sales, though, put the responsibility on you.
Title transfers matter, too. A dealership typically submits paperwork to the DMV, while a private party requires you to visit in person. The bill of sale, odometer reading, and vehicle identification number (VIN) must all be accurate to avoid delays.
Taxes and fees depend on where you register. If you bring a car home, your home state charges sales tax—not the seller’s state. Some states have a “use tax,” which adds to the total cost.
There’s also temporary registration. Some states issue a short-term license plate so you can drive home legally. Others require you to arrange transport.
Steps to Buy a Car Out of State
A good deal can turn into a hassle if you skip steps. Here’s how to keep things smooth and avoid costly surprises.
Research the Vehicle
Not all deals are as good as they seem. Run a vehicle history report through Carfax or a similar service. Look for red flags—accident records, odometer tampering, or car title issues. Dig deeper if the VIN shows a salvage title or multiple past owners in a short time. If financing, confirm there are no outstanding liens on the vehicle.
Know State Laws
Each state plays by its own rules. Some have stricter emissions standards or higher sales tax. Some require vehicle inspections before registration. Visit the Department of Motor Vehicles website for both the purchase and home states. Know whether state sales tax is due at purchase or registration. If you’re buying in California, expect some of the strictest rules.
Inspect Before You Buy
Looks can be deceiving. A clean body doesn’t mean a perfect engine. If buying from a private party, hire an independent mechanic for a full vehicle inspection. If dealing with an out-of-state dealer, request documentation on past repairs and service records.
Rust, engine issues, or a failed emissions test can turn your dream deal into a nightmare, especially if it’s a used car.
Handle the Paperwork
Buying a vehicle across different state lines requires extra paperwork. Expect to deal with:
- Bill of Sale: Official proof of the transaction
- Title Transfer: Ensures proper ownership handover
- Proof of Car Insurance: Most states require coverage before you drive away
- Odometer Disclosure Statement: Required for most used vehicles
If financing, your lender may require extra forms. Your state’s DMV website will list what’s needed.
Transport the Vehicle Home
Driving it back? Some states provide a temporary registration and license plate for the trip, while others require shipping. If you drive, ensure your insurance policy covers the journey. If using a transport service, get quotes ahead of time—shipping costs can add up quickly.
Register and Pay Taxes in Your Home State
Once home, head to the local DMV with all the necessary paperwork. Bring:
- Title and Bill of Sale
- Emissions Testing Results (if required)
- Proof of Insurance
- Driver’s License
Expect to pay state sales tax, registration fees, and possibly a use tax. Some states require vehicle inspections before finalizing registration.
Pros and Cons of Buying a Car in Another State
A great deal in another state might look tempting. But before making the leap, weigh the advantages and challenges.
Pros
Better Prices
Some states have lower sales tax and fewer fees. An out-of-state car dealer in a high-inventory area may offer discounts to move stock faster. If demand is lower in one region, you could save thousands compared to prices in your home state.
More Options
Shopping across state lines expands your choices. A larger market gives you more choices. It helps you find a rare SUV, a specific trim, or a low-mileage vehicle.
Access to Rare Models
Certain models sell it fast in some regions but stay available elsewhere. If a limited-edition or highly sought-after vehicle is hard to find locally, looking in another state may be the only way to get it.
Cons
Extra Fees and Paperwork
A private seller or an out-of-state vehicle dealer won’t handle registration for you. That means you are responsible for vehicle registration, use tax, and temporary plates. Each state has different rules.
Transport Costs
If you’re picking up the vehicle yourself, factor in gas, lodging, and mileage on the odometer. Shipping it? Costs vary based on distance but expect to pay anywhere from a few hundred to over a thousand dollars.
Hidden Risks
Without an in-person inspection, you rely on photos and history reports. Even with Carfax, issues like previous damage, emissions failures, or mechanical problems may not be reported. A thorough pre-purchase inspection is crucial because not all accidents or repairs are reported.
Contact Our Team of Legal Professionals with Further Questions
Buying a motor vehicle across state lines can get complicated. Paperwork, taxes, inspections— it’s easy to miss a step. If something doesn’t seem right or a dealership is making the process harder than it should be, you don’t have to figure it out alone.
Getting legal advice early can save time and frustration if it’s title delays, unexpected fees, or registration issues. If you need guidance on your next move, reach out. An attorney can review your situation and help you understand your options.
Contact our team today for a consultation. Know your rights before it’s too late.
by Paul MankinUnderstanding Used Car Warranties
Buying a used vehicle comes with risks. You hope for reliability, but problems can appear after you drive off the lot. That’s where warranties come in. Some offer solid protection, while others leave you paying for costly repairs. Knowing the difference can save you from unexpected expenses.
Some vehicles come with manufacturer coverage, while others have dealer-backed protection or limited guarantees. The fine print matters. Understanding what’s included, what’s not, and how to use a warranty can make all the difference.
In this guide, you’ll learn how different warranties work, what to look for before signing, and what to do if a dealer refuses to honor a promise.
Used Car Dealer Warranty: What You Need to Know
Buying a used vehicle comes with questions. What happens if something breaks? Who pays for repairs? Here’s what you need to know.
Types of Warranties
Not every used vehicle comes with protection. Some have strong coverage. Others are sold “as is,” meaning repairs are your responsibility the moment you leave the lot.
- Manufacturer’s Warranty: If the vehicle is still within its original warranty period, you may have bumper-to-bumper or powertrain protection left. Some manufacturers let you transfer it to a new owner.
- Certified Pre-Owned (CPO) Warranty: Backed by the manufacturer, these warranties are included with select pre-owned vehicles that pass inspection. They often cover repairs beyond the original warranty.
- Dealer-Provided Warranty: Some dealerships offer their own coverage, but terms vary. Some cover parts and labor, while others have strict exclusions. Read the fine print.
- Extended Car Warranty: Third-party companies sell service contracts that act as extra coverage, but these can have high deductibles, repair limits, and calm restrictions.
Understanding the Buyer’s Guide
Under federal law, dealerships must provide a Buyer’s Guide for every used vehicle they sell. It tells you if the vehicle is sold “as is” or with a written warranty. If there’s coverage, the guide must list:
- What does the warranty cover (engine, transmission, electrical, etc.)?
- Length of the warranty (time or mileage limits)
- Who pays for repair costs (full coverage or shared expenses)
- If there’s a deductible
If a dealer promises coverage, it must be in writing. Verbal promises don’t count.
State-Specific Protections
Some states have stronger protections than others. In California, the implied warranty of merchantability means a dealer can’t sell a vehicle that isn’t fit to driveーeven if it’s sold “as is.” Some states also require a limited warranty on vehicles below a certain mileage or age.
Vehicle Warranties and Lemon Laws
A warranty gives you repair coverage but doesn’t guarantee a vehicle is free from defects. Lemon laws may apply if a dealer keeps trying to fix the same issue without success. However, lemon laws for used vehicles are different from new ones. Coverage depends on the state, warranty terms, and number of repair attempts.
The Dealership Sold Me a Bad Used Car – What Can I Do?
A vehicle should run as promised. If it has persistent problems, you have options.
Step 1: Check the Warranty and Buyer’s Guide
Before taking action, review the warranty coverage or Buyer’s Guide provided at the time of the sale.
- The dealer is responsible for covered repairs if the vehicle comes with a written factory warranty.
- If it was sold “as is,” the dealer may not have legal obligations unless they misrepresented the condition.
Some extended warranties or service contracts may cover vehicle repairs, but check for deductibles, exclusions, or claim limits.
Step 2: Contact the Dealership
Many issues can be resolved directly with the salesperson or manager before taking legal steps. Provide documentation of the problem, including:
- Service records from a repair shop confirming defects
- Vehicle history reports from a repair shop confirming defects
- Odometer readings to verify mileage accuracy
Step 3: File a Complaint with the DMV or Attorney General
If the dealer refuses to help, escalate the issue to state authorities:
- DMV Complaint: The local Department of Motor Vehicles handles licensing and registration violations.
- State Attorney General: Consumer protection laws vary, but some states allow legal action for misrepresentation or failure to disclose major defects.
- FTC & Federal Law: The Federal Trade Commission enforces rules against unfair or deceptive practices.
Step 4: Explore Refund or Replacement Options
Lemon laws protect new vehicles more than used ones, but some states have protections for certified pre-owned models or those sold with warranties. You may qualify for a refund or replacement if the dealership can’t fix a defect after multiple repair attempts.
Step 5: Consider Legal Action
If the problem isn’t resolved, an auto fraud attorney can help determine if legal action is an option. If a dealer knowingly sold a defective vehicle, they could be held accountable.
When to Contact a Lemon Law Attorney
A bad vehicle shouldn’t leave you stranded. If repairs seem endless or problems persist, lemon laws may protect you. But not every defective purchase qualifies.
Does Your Vehicle Qualify Under Lemon Laws?
A vehicle may be considered a lemon if:
- It has a major defect affecting safety, functionality, or value
- The dealership attempted multiple repairs, but the problem continues
- The vehicle has been out of service for an extended period due to repairs
Each state has different rules, and certified pre-owned vehicles may have better protections than those sold.
If the case is strong, an attorney can negotiate for:
- A refund of the purchase price or down payment
- A replacement vehicle under factory terms
- Compensation for the cost of repairs and legal fees
Why Legal Help Matters
Car dealerships and manufacturers don’t always make the process easy. A lemon law attorney levels the playing field.
- They know state and federal laws and how to apply them
- They handle negotiations, so you don’t have to battle with salespeople or service managers
- They push for a faster resolution, helping you avoid costly repairs or endless back-and-forth
Contact Our Team of Used Car Attorneys Today
You may have legal options if a dealership fails to honor a warranty, refuses to address a serious defect, or misleads you about a vehicle’s condition.
Time matters. Lemon laws and consumer protections have deadlines. If you wait too long, you might lose your chance to take action. Ensure you have the Vehicle Identification Number (VIN), copies of repair orders, and other necessary information.
Contact the Paul Mankin team today for a free case review. Our firm works on a contingency basis, so you won’t be responsible for providing lawyer fees to fight your case. You don’t pay unless we win or settle.